Content
i) History
ii) Problem Definition
iii)Analysis
iv)Solution
v) Conclusion
History
Responsible for extending Disney Brand
to merchandise
The situation when…
Sales Dropped in America &
Japan
American kids are
overweight
Obesity is increasing
Andy Mooney introduced
DTR and also kept
The Problems..
Growing obesity epidemic
Establish credibility with
government
Nutritional Value with
taste
Problem Definition
To make mom & kid both
happy
Could Disney use it ‘magic’ to switch children from sugary to more
nutritious diet ?
• Can Disney meet
requirement of FDA ?
• Can Disney make kid &
Parent both happy?
• Can Disney Keep up with
its brand image?
Analysis
Contribution for obesity
Reconsider nutritional
value for food products
Establish brand image & credibility with governement, parents &
nutritionalist
Children’s taste impact on
consumption
Alternatives
What DCP did??
Merchandise licensing
Licensing & distribution
model
TLM
Sourcing
DTR
What DCP did??
• Used 3 licensing & distribution model
• Established nutritional guidelines
• They saw it as opportunity to reconsider its range of
food
DCP’s Steps
DTR Model: Success
• Successfully established DTR relationships with retailers
(Target, Walmart etc)
Disney at supermarkets
Market research: Mom’s trusted Disney (Brand Image)
Behavioral Study:
• Advertising effect,
• Gap between mom and kid’s want
• Balance of product potfolio
Adapting Market response & new scope
SWOT Analysis
Strength
• Good Brand image
• Strong
characteristics
• DTR
Weakness
• No self
manufacturing
• Critics
• Different wants
Opportunities
• Leading licensers
• Mother’s belief
• Channel
Threats
• Competitors
• New consumption
pattern
• Expectations of
moms
Product Portfolio
Main
meal
Side
dish
Snacks
Drinks
Treats
• 75% of DCP’s product were compiled with
nutritional standards by 2005
• The company planned to have all its products
being compiled or phased out by 2008
Now the question is..
• Can Disney use it’s brand
image to reach out
children?
• Or it will bring down the
brand value of Disney ?
Solution
Solution ctd..
• Collaborate Healthy food with
Disney programs
• Healthy food campaign for parents
• New Characters
• Promotion through kindergarden
Collaborate healthy foods with Disney Programs
Disney films shows
healthy food consumed by
Disney characters to
affect the children who
can also consume healthy
food
Tell the children
disadvantages of
consuming non healthy
food items
Healthy food campaign for parents
Parents must also tell the
advantage of healthy
foods and give them that
in right proportion
Tell the parents that
Disney has products which
meet the nutrition
requirement and
standards
New Character
Disney could create new character that
has advantage of healthy foods on their
adventure
Promotion through kindergarden
Create children’s habit to eat
healthy since kindergarden
Children must understand
advantage of healthy food
Marketing strategy
Differentiate commodity
produced through promotion
(using stickers)
Create value added products
through products preparation
Develop exclusive produce
varieties that would yield
more child friendly foods
The Disney Magic Selection (DMS)
Will the competitors sit quiet?
There are competitors who already have
healthy foods and related programs but
they failed to create the magic that
Disney was able to deliver
The Confidence
“ We expect competition, but we believe
we can beat the competition because even
if they develop and match out nutritional
standards, they can not access Disney
magic” VP, Disney
The new challenges..
• It had to face the problem of pricing & value
• Leaving behind the legacy!
• Differentiation & competition
• Growth & distribution
“Within DCP we will take a short term hit
financially, but we are doing the right thing &
getting food business results” Mooney & Dolmon
Conclusion
Disney was able to
create its magic in
nutritional food
products fighting
against obesity!
Was not easy to adopt
wining solution in all
aspects but they
succeed
Disclaimer
Created by Tarun Kateja, IIT Madras
under the mentorship of Prof Sameer
Mathur, IIM Luchnow

Disney Consumer Products: Marketing Nutrition to Children

  • 2.
    Content i) History ii) ProblemDefinition iii)Analysis iv)Solution v) Conclusion
  • 3.
  • 4.
    Responsible for extendingDisney Brand to merchandise
  • 5.
    The situation when… SalesDropped in America & Japan American kids are overweight Obesity is increasing Andy Mooney introduced DTR and also kept
  • 6.
    The Problems.. Growing obesityepidemic Establish credibility with government Nutritional Value with taste
  • 7.
    Problem Definition To makemom & kid both happy Could Disney use it ‘magic’ to switch children from sugary to more nutritious diet ? • Can Disney meet requirement of FDA ? • Can Disney make kid & Parent both happy? • Can Disney Keep up with its brand image?
  • 8.
    Analysis Contribution for obesity Reconsidernutritional value for food products Establish brand image & credibility with governement, parents & nutritionalist Children’s taste impact on consumption
  • 9.
  • 10.
    What DCP did?? Merchandiselicensing Licensing & distribution model TLM Sourcing DTR
  • 12.
    What DCP did?? •Used 3 licensing & distribution model • Established nutritional guidelines • They saw it as opportunity to reconsider its range of food
  • 13.
    DCP’s Steps DTR Model:Success • Successfully established DTR relationships with retailers (Target, Walmart etc) Disney at supermarkets Market research: Mom’s trusted Disney (Brand Image) Behavioral Study: • Advertising effect, • Gap between mom and kid’s want • Balance of product potfolio Adapting Market response & new scope
  • 14.
    SWOT Analysis Strength • GoodBrand image • Strong characteristics • DTR Weakness • No self manufacturing • Critics • Different wants Opportunities • Leading licensers • Mother’s belief • Channel Threats • Competitors • New consumption pattern • Expectations of moms
  • 16.
  • 18.
    • 75% ofDCP’s product were compiled with nutritional standards by 2005 • The company planned to have all its products being compiled or phased out by 2008
  • 19.
    Now the questionis.. • Can Disney use it’s brand image to reach out children? • Or it will bring down the brand value of Disney ?
  • 20.
  • 23.
    Solution ctd.. • CollaborateHealthy food with Disney programs • Healthy food campaign for parents • New Characters • Promotion through kindergarden
  • 24.
    Collaborate healthy foodswith Disney Programs Disney films shows healthy food consumed by Disney characters to affect the children who can also consume healthy food Tell the children disadvantages of consuming non healthy food items
  • 25.
    Healthy food campaignfor parents Parents must also tell the advantage of healthy foods and give them that in right proportion Tell the parents that Disney has products which meet the nutrition requirement and standards
  • 26.
    New Character Disney couldcreate new character that has advantage of healthy foods on their adventure
  • 27.
    Promotion through kindergarden Createchildren’s habit to eat healthy since kindergarden Children must understand advantage of healthy food
  • 29.
    Marketing strategy Differentiate commodity producedthrough promotion (using stickers) Create value added products through products preparation Develop exclusive produce varieties that would yield more child friendly foods
  • 30.
    The Disney MagicSelection (DMS)
  • 32.
    Will the competitorssit quiet? There are competitors who already have healthy foods and related programs but they failed to create the magic that Disney was able to deliver
  • 37.
    The Confidence “ Weexpect competition, but we believe we can beat the competition because even if they develop and match out nutritional standards, they can not access Disney magic” VP, Disney
  • 38.
    The new challenges.. •It had to face the problem of pricing & value • Leaving behind the legacy! • Differentiation & competition • Growth & distribution “Within DCP we will take a short term hit financially, but we are doing the right thing & getting food business results” Mooney & Dolmon
  • 39.
    Conclusion Disney was ableto create its magic in nutritional food products fighting against obesity! Was not easy to adopt wining solution in all aspects but they succeed
  • 40.
    Disclaimer Created by TarunKateja, IIT Madras under the mentorship of Prof Sameer Mathur, IIM Luchnow