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Following a star-studded event in May, Disney has wrapped its upfront negotiations.
The entertainment media company saw the overall revenue and volume of its commitments grow 5% year over year, according to the company. It declined to share whether CPMs had risen or fallen.
“Disney’s unrivaled storytelling paired with our unparalleled ad technology and data capabilities delivers the outcomes our partners continue to push us on, and we continue to raise the bar,” said Rita Ferro, the company’s ad sales chief. “Our growth in the number of marketers we work with and the increased investments in advertising innovation, demonstrates Disney’s differentiator.”
The upticks in revenue and volume were driven largely by growth in streaming and sports, which both increased by double-digit percentage points in volume.
Investment in multiyear sports deals rose at a mid-double-digit level, reflecting persistent advertiser interest in live programming and the continued growth of women’s sports. Last week, Disney secured the rights to one of three NBA distribution packages, for which it will pay an average of $2.62 billion a year for the next 11 years.
More than 40% of the total upfront dollars committed were earmarked for streaming and digital offerings, roughly the same allocation as last year. Streaming volume specifically increased by 10% compared to 2023.
Earlier this week, the company laid off 140 staff—roughly 2% of its total workforce—from its Disney Entertainment Television group. The cuts reflect the company’s ongoing efforts to right-size its headcount as streaming revenues overtake its linear business.
The company touted another gain in commitments against its multicultural programming, which rose 15%. Advertisers also expressed growing interest in new, more engaging ad formats like advergames and shoppable integrations, which Disney unveiled in April.
Categories that performed well for the company include international auto, beverages, food, personal care, financial services, healthcare, travel and restaurants. As Disney+ continues its expansion into Europe, Asia and Latin America, Disney hopes to attract further advertiser interest from brands in those regions.
With the news, Disney joins NBCUniversal as the only other media company to close its upfronts so far.
In 2023, the company said overall revenue and volume were “in line with the prior year,” when the company reported $9 billion in advertiser commitments.
