Disney+ Streaming Taken Over by America’s Largest Supermarket

in Disney

The image shows a digital disney+ interface featuring the iconic disney castle logo with "disney" written in stylized script. below are thumbnails for various movies including "sleeping beauty" and "maleficent".

Credit: Disney+

The Walt Disney Company has been losing billions by trying to compete with Netflix as the dominant streaming service in the world, and it’s desperate enough to team up with a supermarket in order to get an edge against the competition.

Bob Iger with a serious expression, beside the white disney logo on a blue gradient background.
Credit: Inside the Magic

Although the Disney+ streaming service currently has an impressive 150 million subscribers worldwide, that still pales in comparison to Netflix’s 260 million and counting. It is also bad news for Disney investors that the service is losing subscribers at an alarming rate, down over ten million since the end quarter of 2023. CEO Bob Iger has been candid that the streaming service, which he invested some $5 billion into launching, has not come anywhere close to turning a profit.

In fact, things are so bad for Disney+ that losing slightly less money than it did in a previous fiscal quarter is considered positive news. It is not surprising, then, that the company is trying increasingly sweaty means to get new subscribers and hold onto them.

Related: Disney+ Users Warned as Streaming Service Prepares to Shut Down, Replacement Promised

Disney+ logo covered by falling money
Credit: Inside the Magic

Most notoriously, Bob Iger has announced that he is taking his cues from Netflix and cracking down on subscribers who share their passwords with people outside of their somewhat vaguely defined “household.” Although the previously announced timeline for the crackdown (which can involve paying customers having their accounts suspended or even canceled) was set to begin in “some” countries in June, it appears Disney is already moving forward with the ban.

Diego Luna as Cassian Andor
Credit: Lucasfilm

Disney+ is also trying to make money via “ad-supported” subscriptions, which means paying slightly less a month to watch commercials interrupting The Mandalorian or Andor. Needless to say, considering the initial promise of streaming television was being able to do away with commercials in exchange for a single monthly price, that has not been going over well with customers.

So, Disney+ is now working to pair up with other companies to foist its streaming service onto them. Inside the Magic has previously reported on the current campaign to bundle the service along with Verizon Wireless Unlimited plans in exchange for six months of free content, with the presumptive hope being that some customers will just roll with it when they have to start paying.

Logo of kroger featuring stylized blue text with a smiling shopping cart above the 'k'.
Credit: Kroger

Now, the company is looking into partnering with Kroger, the single largest supermarket conglomerate in the United States. Under various brand names (like Fred Meyer, Mariano’s, and Ralph’s), the Kroger Company operates nearly 3,000 retail markets across America and is really pushing Boost, its home grocery delivery program.

According to a new report in Bloomberg, Disney+ and Kroger are in talks to partner to offer the streaming service as a Boost perk, providing both an incentive for shoppers to sign up and new subscriber numbers to report to investors eager to see a turnaround.

Related: Disney Executives Flee Company as Disney+ Streaming Continues To Lose Billions

It is not yet known whether there would be an additional charge for Boost customers, but it is safe to say that Disney will likely push for the ad-supported option to be added, allowing them to earn some income even without a fee. Currently, Boost costs $7.99 a month for next-day delivery or $12.99 a month for same-day delivery, numbers roughly equivalent to the Disney+ Basic and Premium tiers.

The image features the word "boost" in large white letters on a bright pink background. below are logos of various supermarkets such as kroger, baker's, and fred meyer in smaller white font.
Credit: Kroger

This is some precedent for Kroger essentially taking over Disney+ subscriptions for its shoppers. Rival retailer Walmart has partnered with Paramount+, and home delivery service Instacart did the same with Peacock, but both streaming services are far less prominent than Disney+ and, basically, much less of a big deal.

Reportedly, Disney+ and Kroger have not yet made a firm commitment to their deal, but clearly, the Mouse is getting pretty desperate. Who will we see them partnering up with next?

Give us your guesses as to who will offer “free” Disney+ partnerships in the comments below!

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