disney consumer products : marketing nutrition to kids
TRANSCRIPT
Disney consumer products : Marketing
nutrition to kids
History :Let’s take a sneak peak at the past
1923 - Mickey Mouse debuts in steamboat willie
1932 - a formal licensing business is established
1954 - Disney debuted it’s first television program, “the wonderful world of Disney”
1955 - opened the first Disneyland in California
2004 - the obesity phenomenon
2006 - Walt Disney Company has managed to establish 4 major segments
Walt Disney Company in 2006
Media network
Studio Entertainment
DCP
Park and Resorts
DCP
Disney sells the rights to use it’s characters to licensees for marketing purposes at exorbitant rates due to the fact that Disney characters resonate well with kids
DCP’s licensing models :
Licensing models
Sourcing (Product designing is controlled by disney alone )
Direct to Retailer(brand sold directly to retailer)
Traditional licensing model
Current scenario
Brands like Disney are being blamed for increasing rates of obesity among children
14% of the American juvenile population areObese and 30% of the american kids are overweight
Disney has traditionally marketed treats and sweets that target its core
Consumer groups
Due to factors like :
Retail industry consolidation
Increasing occurance of obesity among kids
New licensing models
New FDA Rules
Disney sees an opportunity to expand on it’s product range by rolling out “Health food”
THE QUESTIONS THAT MATTER
How to customize the food serving in order to ensure that the nutritional content meets the USDA and FDA guidelines ?
How to stay loyal to the core values of the brand (fun , trust and happiness) and how to stay relevant to kids
Analysing the market to come up with a hypothesis that solves this case
Using focus groups and mother’s support groups to gauge public perception of the brand
Moms associate Disney
Strongly with magic—it is the
key image that comes to mind
even when it comes to Food ,
they place a lot of trust on the
Brand
It has been observed that kids play a
vital role in the decision making process
involved in purchasing .
Kid’s decisions are largely
driven by peer pressure
and commercials
Inferences drawn
Must look good and flashy , for the kids
Must meet the daily nutrition requirements of kids without compromising on the kid’s choice
The Solution ????
“Good food , great fun”!!! , a combination of all of the above factors and observations used to design a new generation of products
EXECUTIVE DECISIONS TAKEN (Proof and action)
Steps taken after auditShrink out certain
portions
Reformulate certain products
Maintain certain products
Phase out other products
Disney licensed it’s characters to imagination farms , which is a national fresh produce company as a part of its new strategy
Using fun facts on the cover of the products to explain the importance of nutrition to kids
Using Store Keeping Units to market basic staple food items
Using PLU tags to differentiate between products
Competition Disney had multiple competitors in the everyday accessories and consumables segment , but none of them were able to recreate the magic of disney
Disney strikes back with DTR
Disney teamed up with Kroger , the largest retail grocer in USA to establish Disney Magic Selection which turns out to be a cut above the rest ….the rest is history
Alternatives ???
Creating new characters and storylines that target different segments of the market by being relevant to people from different ethnicities and backgrounds
Created by NITIN. N , IIT Madras during a
Marketing internship under Prof Sameer
Mathur , IIM Lucknow
Image sources :
Flickr , Wikipedia , google images
DISCLAIMER