I made this presentation during my Internship program under Prof. Sameer Mathur, IIM Lucknow. Please go through it and comment if any there are any questions. Thanks.

2. “ADULTS ARE ONLY
KIDS,GROWN UP
ANYWAY”
“BORN OF
NECESSITY, THE
LITTLE FELLOW
LITERALLY FREED
US OF IMMEDIATE
WORRY”
“DISNEYLAND WILL
NEVER BE COMPLETED.
IT WILL CONTINUE TO
GROW AS LONG AS
THERE IS IMAGINATION
LEFT IN THE WORLD”
“I ONLY HOPE THAT
WE DON’T LOSE
SIGHT OF ONE THING
– THAT IT WAS ALL
STARTED BY A
MOUSE”

3. AGENDA

8. Retail stores in Europe and the US stocked the DCP
The main model presupposed getting the license for
the use of Disney brand on quality products made by
other companies
In 1998 - 1999 the sales on US and Japanese markets
decreased by 10% and 15%
Andy Mooney introduce direct to retail(DTR) and DTR
distribution model, and also keep the traditional
licensing model
Business Situation

12. TRADITIONAL
LICENSING
MODEL
PARTNERING
DIRECTLY WITH
RETAILERS
CREATE PRODUCT
THEMSELVES BUT
MARKETED BY
LISCENSE

13. LICENSED PRODUCTS MAILNY INCLUDE
SWEETS AND TREATS

14. CHECK OUT WHAT
HAPPENED

23. HEALTH EXPERTS
ESTIMATED MORE
THAN 30% OF
CHILDREN BETWEEN
AGE 5-9 WERE
OVERWEIGHT AND 14%
WERE OBESE

24. INCREASED
CONSUMPTION OF SUGAR
SWEETEND FOOD
LAC OF EXERCISE

25. SO WHATS NEXT FOR DCP???

26. IN 2004 DCP ESTIMATED
THAT ITS BRANDED
PRODUCTS ACCOUNTED FOR
LESS THAN 1% OF
CHILDREN’S FOOD MARKET

27. Problem definition
Could Disney use its ‘magic’ to switch children from sugary
to more nutritious diet? Could they sustain?

29. DISNEY WAS ACCUSED
CONTRIBUTING
TOWARDS THE
GROWING OBESITY
EPIDEMIC
DISNEY NEEDED TO
RECONSIDER THE
NUTRITIONAL VALUE OF
THEIR FOOD PRODUCTS
ESTABLISH CREDIBILITY
WITH THE
GOVERNMENT,
MANUFACTURERS AND
NUTRITIONIST

31. Mothers perceived
Disney products with
high quality.
They associated Disney
with “Magic”

32. CHILDREN
INFLUENCE
PURCHASE
DECISIONS
PEER PRESSURE
AND
ADVERTISEMENT
INFLUENCES
CHILDREN’S
PREFERENCES

35. CAN DISNEY MEET THE
NUTRITIONAL
GUIDELINES SETUP BY FDA?

37. PRODUCTS COMPILED WITH
THE STANDARD
PRODUCTS ARE PLANNED
TO BE PHASED OUT

39. DAILY
1800-
CALORIE
DIET FOR A
CHILD
3 MEALS 2 SNACKS
1
BEVERAGE
1 TREAT
15%
85%

41. NUTRITION CONTROL:
CONTROL LEVELS OF
ADDED SUGAR
CONTAIN NO TRANS OR
HYDROGENATED FATS
PROMOTE FIBRE AND
CALCIUM
MINIMIZE THE USE OF
ADDITIVE
PREFER TO USE WHOLE
FOODS THAT ARE
INTRINSICALLY DENSE IN
NUTRIENTS

42.  Establish Disney Nutritional Guidelines
 Using three licensing and distribution models
June 2006, Disney Consumer Products ( DCP ) decided
to change the nutritional content of their product and
introduce new healthy foods for children under the
slogan of “Better for you”

47. DCP EXECUTIVES
KNEW THE FOOD
HAD TO APPEAL TO
CHILDREN AND
DELIVER ON THE
BRAND’S PROMISE
OF DISNEY MAGIC

48. PRODUCT WITH ATTRACTIVE PACKAGING TO INSPIRE
PRODUCT SAMPLING. e.g.: MAKING BOTTLES IN SHAPE OF
CHARACTERS

52. I-Farms Profile
• Marketing company of Disney branded fresh produce…Disney Garden
• Privately funded
• Uses co-packers, licensees who sell and ship the products
• Website: i-farms.com

53. I-Farms Mission
Increase the consumption of fresh fruits & vegetables
among children
I-Farms Goal
Become the number one trusted brand for healthful
food choices for kids

56. Disney
34%
Warner
10%
Nickelodeon
8%
Marvel
8%
Sanrio
7%
Lucas
5%
4Kids
5%
HIT
4%
Mattel
4%
Universal
3%
20th Century Fox
2%
Pokemon
2%
Sesame
2% Others
7%
MARKET SHARE

58. 1. BRAND VALUE
2. Growing criticism from
activists, parents and
governments around the
world about contribution to
the growing obesity epidemic
1. Doesn’t have own
manufacturing for DCP
2. Growing criticism from
activists, parents and
governments around the
world about contribution to
the growing obesity epidemic
1. Mothers beliefs and
expectations about DCP
2.Disney channel
3. Leading licensors of
character
1. Competitors
2.High expectations from
mothers
3. More than 14000 new food
and beverage entered US
market each year but less
than 6% were successful
STRENGHTS WEAKNESS
OPPURTUNITIES THREATS
SWOT
ANALYSIS

60. FOOD AND BEVERAGE
PRODUCTS ENTERS THE US
MARKETPLACE EACH YEAR
ARE SUCCESFUL

66. CREATED BY SOHAM
MAZUMDAR, IIT KANPUR,
DURING A MARKETING
INTERNSHIP UNDER PROF.
SAMEER MATHUR, IIM
LUCKNOW