Marketing Nutrition to Children

1. Disney Consumer
Products : Marketing
Nutrition to Children

3. The Walt Disney Company
Founders: Walter Elias Disney and Roy 0.
Disney
1923 – Walt Disney Company with the debut
of Mickey Mouse
1937 – Snow White, Highest grossing film at
that time
1954 – Television program(The Wonderful
World of Disney)
1955 – Mickey Mouse Club: Children series,
Disneyland
1984 – Michael Eisner became CEO
1996 – Bought ABC
2003 – First studio to surpass $3 billion
2006 – Imagination Farms,Disney Magic
Selection.

4. Disney’s major business segments

5. Net income : $2.5 billion

6. Families immersed for around
9.16 billion hours immersed in
Disney branded experiences and
products

7. World’s most valuable franchise characters
$5.8 billion
$5.6 Billion
$3 billion

8. Merchandise Licensing
Merchandise Licensing
DCP consisted of six lines of business:
Soft lines (apparel, footwear and accessories)
Buena Vista Games
Home and Infant
Hard lines (food, health & beauty, stationery)
Publishing
Toys

9. Distribution Models
Licensing Model
Sourcing model
Direct-To-Retail(DTR)
Disney used all the above models with its
food and beverage products. But it relied
heavily on ‘’Disney-branded , value priced ,
active licensing model’’

10. Current situation
Disney is accused of contributing to the
growing obesity epidemic.
Disney’s licensing with McDonald's which
contributed to obesity to a much greater extent
was also a huge setback.
Disney has to examine and re-consider the
nutritional value of its food products of
children.
Has to establish credibility with government ,
manufactures , retailers , parents and health
experts.

11. problem
Could Disney use its “magic” to get
children to switch from sugary,
processed
foods and become lifelong converts
to a more nutritious diet?

12. Disney saw the obesity problem and
decided to market nutritious food to
children

13. Main task to achieve:
The food if it is tasty and fun children will love it and if it is also nutritious even
mom will love it.
‘’The original kid pleasin ,
mom-lovin, dippity delicious
snack”

15. Disney Nutritional Guidelines
Products would be minimally processed
They will have controlled levels of added sugar
Contain no trans or hydrogenated fats
 Calories were limited by either adjusting a food’s
formulation or its portion size.
In addition, the company minimized the use of
additives.

16. DCP executives knew that creating foods that met tough nutritional guidelines was
only half the battle— the foods had to appeal to children and deliver on the brand’s
promise of Disney magic.

17. Imagination
farms
Imagination farms is a national fresh
produce marketing company
Serves as a licensee to DCP
Three pronged development strategy:
Differentiate commodity produce
through promotion,
Create value-added products
through product preparation or
packaging
Develop exclusive produce varieties
that would yield more child-friendly
foods.

18. Products

19. Main competitors

20. DISNEY IN SUPERMARKETS
Disney developed a broad range of products
with Kroger Supermarkets.
It is the largest pure grocery retailer in the
United States.
Disney and Kroger sized the opportunity at
$250 million in annula revenue.

21. What are the risks
faced by DCP because
of the re-positioning?

22. 1.Pricing
“But for these products,
affordable equals value, not
price.”
“We have to deliver quality
to represent our brand
well.”
-Mooney

23. 2.Legacy
It isn’t useful to ask where are we
are today—that’s based on
decisions made many years in the
past. Now we are focused on
developing ‘better for you’ products
and how we’re going to get there,”
-Mooney.

24. 3.Differentiation and Competition
“We expect competition and channel
friction, but we believe we can beat the
competition because even if they develop
and match our nutritional standards, they
cannot access Disney magic,”
- Ndi

25. 4.Growth and Distribution
“Other retailers won’t turn our products down
because of the Kroger relationship. We need to
find exclusives for them, too. Their chief concern
and ours is that our products are profitable for
them,”
Mooney

26. What next?

27. • Capitalizing on the vast resources to gain
market share and acceptance,
• Publishing cookbooks,
• Televising cooking shows for children,
• Linking its nutritional efforts with
exercise programs,
• Extending its offerings from retail
supermarket products to food service
and out-of-home consumption in
restaurants.

29. Presentation prepared
by Aravindh Sekar
under the guidance
of Prof.Sameer
Mathur during the
summer internship
from 16th May 2016
to 12th June 2016