MARKETING

1923Debut of Mickey

mouse in Steamboat

Willie

1932Disney won

the academy award for

best cartoon 1954First TV program1955Opened Disneyland in California

1980-1990

Renaissance of Disney Animation

2004 The obesity epidemic2006 DCP launched nutritious eatables

Responsible for extending the Disney brand

to merchandise

DCP

Softlines

Buena Vista

games

Home and

InfantHardlines Publishing Toys

DCP Business Lines

Apparel

Footwear

Accessories

Food

Health and beauty

Electronics

Stationery

Business Situation

1998-1999 the sales on US and Japanese markets decreased by 10%and 15%

Decline due to:High royalty rates and reliance on

character licensing from new firms

In 2000,Andy Mooney provoked shift from pure licensing business model to models that offered more flexibility

Introduced Direct to Retail(DTR)model and DTR Distribution model along with traditional licensing model

Link food with magic and fun

Food items mainly focused on were sweets, ice creams 

and other confectionary items that were a  rich source of sugar 

and fats

2-5 year 6-11 year 12-19 year0%2%4%6%8%

10%12%14%16%18%20%

19752005

(Age)

Obesity Rate in children(U.S.A)

Television Advertisements

Consumption of larger portions irrespective of

their age

Problem

Analysis

Contributing towards the growing obesity epidemic

Need to reconsider the nutritional value for their food products

Establish

withGovernment, parents,

manufacturers and nutritionist

Children's taste impact the consumption

Alter eating patterns of children

Bring new and healthy products with

the brand of Disney

28% of DCP were not meeting the criterion of nutrition and they had

to be phased out Managing negative attitude

towards DCP due to increasing concern of people

related to obesity

Corporate Strategy

DCP offers products that already had

broad appeal such as milk or peanut butter

Challenge is how do we make products they already

love “healthier”?

DCP offers products that were already healthy and make them more “fun”

RegularPasta

Boring

Pasta in

Disney character shapes

Adds fun

Packaging to inspire product sampling

Water bottles in shape of Disney characters attracts children

Advertisements made by the company spread the common message of the

high nutritional production contents offered under the Disney brand

Use of characters such as Mickey Mouse

on products attracts children who associate products

with the characters

“Better for you”

Disney partnership with Kroger is very impacting in promoting high nutritious value

In 2006 Imagination Farms was founded to serve DCP as a licensee in fresh produce

High price as the product sold under

Disney brand

Supplied through major

supermarkets and stores

Television advertisements ,stickers and attractive packaging

New products related to food and beverages are healthy and nutritious

are available in attractive packaging

Allowed DCP to adapt with the change in the society in the

form of increased awareness about

health issues of children.

 Ability to expand its product line in the emerging market of healthy food items

and maintain its position in the market

despite having big companies as rivals.

Versus

Strong ties with the suppliers and retailers enabled DCP to reach 

the consumers at a mass level with ease and efficiency

POLITICAL ECONOMIC

SOCIAL TECHNOLOGY

Increasing concern of people has been addressed

by USAD

DCP able to generate profit, with an increase in the revenue

of food and beverage

Increased concern of people about damaging

consequences of consuming sweets and confectionary on the health of children

PEST

DCP formulated new set of products with

packaging of Disney characters in a short time

PEST Analysis

The marketing of DCP can be further improved by carefully monitoring the nutritional value

of the food products. DCP can also provide nutritional information for

parents on the packages of food items Popularity of the characters is not guaranteed, new characters should be created to handle the

competition

The application of good business development strategies defines the success of DCP. The

development of products in accordance with the current market requirements enables the company to position itself as the leader in the healthy food production which has the potential to sustain the

business model

Manodhar Allu National Institute of Technology, Jamshedpur.

"These slides were created by Manodhar Allu, as part of an internship done under the guidance of Prof. Sameer Mathur (www.IIMInternship.com)"