Disney+ bets on vertical video to boost daily engagement and Ad appeal

Disney is preparing to introduce vertical video to Disney+ later this year, marking a significant shift in how the streaming service hopes to drive more frequent user engagement and attract advertisers. The move was announced during the company’s Tech + Data Showcase at CES in Las Vegas, where Disney also outlined new advertising tools aimed at linking brand storytelling more closely with performance outcomes.

The vertical video format, already tested through ESPN’s “Verts” feature launched last August, is being positioned as a way to build habitual, daily viewing rather than simply promote longer shows or films. According to Disney executives, the company is exploring multiple formats, from original short-form content to reworked clips and scenes from existing titles, designed to feel native to how audiences already consume content.

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Disney Entertainment and ESPN EVP of Product Management Erin Teague said the company is still evaluating how best to integrate vertical video across Disney+. The focus, she said, is on creating a seamless experience aligned with user behavior, rather than introducing something that feels disconnected from the core platform. The lessons learned from ESPN suggest that short, snackable videos are particularly effective in encouraging repeat visits.

The push reflects broader shifts in viewing habits, especially among younger audiences. Teague noted that Gen Z and Gen Alpha increasingly prefer bite-sized content experiences, even on connected TVs. Drawing on her experience at YouTube, she pointed to how short-form video has evolved from a mobile-first format to one that now performs strongly in living-room settings.

Alongside content changes, Disney used the CES platform to highlight new advertising innovations. Global advertising president Rita Ferro emphasized the continued dominance of live programming, particularly sports, in driving viewership and ad impressions. She said ESPN accounted for roughly a third of all live sports viewing in 2025, with sports content overwhelmingly leading audience attention during major moments such as Christmas Day.

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Disney also announced a new Brand Impact Metric designed to measure how brand-focused campaigns and performance advertising work together. The tool combines Disney’s first-party data with third-party measurement insights, offering marketers a clearer view of how ad exposure translates into tangible results.

Dana McGraw, senior vice president of data and measurement science, said the goal is to help advertisers better understand not only what drove outcomes, but how different tactics contributed across the funnel.

With vertical video, live sports dominance and enhanced ad measurement now converging, Disney is signaling that Disney+ is evolving beyond a traditional streaming library, and toward a platform built for everyday engagement and advertiser relevance.