I think what happened is that because Encanto came out in 2021, a time when many theaters were closed and many people were staying home and social distancing, Encanto didn’t actually make a lot of box office money compared to past hits. Which is all the corporate people look at ofc🙃 Encanto didn’t really take off until Christmas when it was released on Disney+ and then it became super popular almost overnight.
You can compare Encanto’s box office here
With something like Zootopia which came out in 2016 long before Disney+ or the pandemic
And that’s why there is a Zootopia land and Zootopia 2 on the way, even though Encanto seems to be more popular than Zootopia right now. The people approving these sequels are only looking at the money the first movie made. It’s cheaper to make Encanto merchandise to feed the hype than to make another movie. But I really wish they would make something too🥲
you know what? I actually find it wild we are coming up to 3 years of encanto being released but there hasn’t been a single announcement for a short? or anything really. It’s actually bizarre to me because encanto has been the only HIT this decade but the last piece of animated content we got was ouas and before that it was a whirlpool commerical💀