hong kong disneyland hkd

Hong Kong Disneyland

Team Members

• Sudhir Singh Rajput• Yatish Mittal• Amit Yadav• Arun Joshi

• Anurag Shukla• Vikrant Arora

ABOUT DISNEY

• The Walt Disney Company (NYSE: DIS)

Founded on October 16, 1923 as  Disney Bros.

Studios

• By brothers Walter Elias Disney (1901-1966) and

Roy O Disney (1893-1971)

• Incorporated in 1938 as Walt Disney Productions

Disney Mission

Mission Statement

“the Walt Disney company is committed to

balancing environmental stewardship

with its

corporate goals and operations throughout the worlds”

Disney Vision

Vision Statement

“to make people happy”

Business Diversity

TV Networks

Motion Pictures

Theatres

Animation

Park & resorts

Media Networks

Consumer Products

Hong Kong Disneyland

• Opening :- September 12, 2005 • Cast Member :- 5000• A joint venture between The Walt Disney

Company and the Government of the Hong Kong Special Administrative Region (HKSAR Government).

• In 2006, Hong Kong Disneyland ranked among the top five most popular places to visit in Hong Kong.

Attractions

- Main Street, U.S.A.

- Pirateland

- Fantasyland

- Tomorrowland

Tokyo Disney Resort

Disney opened its first non- U.S. park in Tokyo, Japan in 15 April1983.

Cost US$1.4 billion Joint venture between Mitsui and Keisei

Financed by Oriental Land Co. to minimize the risk

Disney was as licenser and designer

Received US$100 million royalty

Support and attendance

Disney Resort Paris

France was the largest consumer It also named Euro Disney Came in operation in 1992 after a long negotiation Avoid mistake Problems -cost overrun -No profit Added new theme park-Walt Disney Studio Loss-US$190million

Reason Primary language is French

Recruitment and training process are not well Dress code

Disney policy of banning alcoholic beverages

Different Outcomes Disney so successful in Tokyo and largely failure

in Paris

Americana represented by Disney was an asset in Japan but liability in France

Revers cultural imperialism

HRM requires happiest place on earth

PRODUCT

MICKEY MOUSE

US

Sqeaky-clean ,all american boy

JAPAN

Safe and reliable

FRANCE

Cunning , street smart detective

COWBOY Rugged , self -reliant

Quintessential team player

Carefree , anti establish individual

SOURENIRS Fun part of experience

Use as a mementos and gift giving , sembetsu

Tacky , waste of money

Hong Kong Tourism Industry

Tourism is the fastest growing of the Four Pillar Industries in Hong Kong.

The industry is relatively labor intensive and thus is an important driver for generating jobs. Between 2000 and 2009, 28.4% of the new jobs created were in the tourism sector.

Tourism performance Economic significance of tourism in Hong Kong

– HK$52.3 billion value added, 3.4% of GDP– Employs a workforce of over 190 000

Total visitor arrivals in 2009: 29.6 million (+0.3%)

Visitor Arrivals (in millions)

0

5

10

15

20

25

30

35

98 99 00 01 02 03 04 05 06 07 08 09

Other markets Mainland

International Tourist Arrivals

Local Attractions

Victoria Peak

Repulse Bay

Open-air Markets

Ocean Park

Government House

Statue Square

Victoria Peak

Victoria Peak

Repulse Bay

Statue Square

Open-air Markets

Government House

Ocean Park

Occupied a quasi-monopoly position

Founded in 1977

Located near Hong Kong Central District

Had an annual attendance of more than 4 million visitors

Ranked one of the top amusement park in the world by Forbes Magazine in 2006

Ocean Park

Ocean Park

Hong Kong’s Disneyland

Disney initiated a conversation with the HKSAR government in Aug 1998

Initially planned to simply run the park on a management fee and Licensing contract basis

Created 18,400 jobs and was expected to increase 35,800 in 20 yrs

3.4 million visitors attracted to the park

Over a period of 40 years, it was forecast that HKD would generate an economic benefit equivalent to KH $ 148 billion

The Concluded Deal After a year of negotiation the final contract was

signed in December of 1999

Hong Kong International Theme Park Limited(HKITP) , The joint venture formed between Disney and the Hong Kong government in Dec 1999

While Government developed the infrastructure, Disney provided master planning, real estate development, production development….

Disney also set up a wholly owned subsidiary, Hong Kong Disneyland Management Limited, to manage HKD on behalf of HKITP

“This is a happy marriage between a world-class tourism attraction and a world class tourist destination. We hope that Hong Kong Disneyland will not just bring us more tourists, but also wholesome quality entertainment for local families as well”. – Stephen IP, Hong Kong Secretary for Economic services

A Rocky Start

4 weeks prior to the official opening, HKD invited 30,000 selected individuals per day to visit the park to test the rides and other attractions.

The firs problem noticed was that capacity limit of 30,000 visitors may have been to high.

The park faced another problem when inspectors from the Hygiene department were asked to remove their badges and caps .

OPERATIONS

1) Product Offerings :

• Ticket Price – HK$ 295 for weekdays & HK$ 350 for weekends & peak days.

• Special passes – HK$ 250 for child & HK$ 200 for seniors aged above 60.

• Ticket Booking – Via website & travel agencies.

Classic Attractions

Mad hatter Tea Cups

Space Mountain

Dumbo

Mainstreet USA

Steam train at Main Street for tour of the park

Fantasy Land

• Sleeping beauty castle

• Also include Dumbo & Winnie the pooh

• Mickey, Minnie & other popular Disney characters

Adventure land

Jungle river cruise

• Includes Tarzan’s tree house

• Festival of the Lion’s King Show

Tomorrow Land

• Includes science fiction & space adventures.

HKD’S Hotel

Hong kong Disneyland Hotel

Disney’s Hollywood Hotel

2) Marketing :

• HKD collaborated with Hong Kong govt. to promote the park.

• A TV program ‘Magical world of Disneyland’ was broadcast in Hong Kong.

• HKD also launched a special TV channel on local cable TV.

• HKD launched Disney theme on the apparel of Giordano.

2) Marketing :

• HKD outsourced a part of marketing to Color Life magazine to feature the grand opening of HKD.

• Comp. donated 200 HKD umbrellas to newsstands in Guangzhou to gain more publicity.

• HKD partnered with Communist Youth League of China to run special events for children (Mickey Mouse drawing competition).

3) Human Resource Management :

In April 2005 HKD launched one of the city’s largest recruitment event.

Employees were referred as cast members.

In Jan. 2005 HKD sent 500 cultural representatives to Walt Disney World in Orlando for a 6 month training.

Hong Kong crew was trained as per the standards set by Walt Disney.

3) Human Resource Management :

Employees have opportunity to work in various divisions like merchandising, food & beverage operations, park operations, custodial services, hotel operations.

Employees were provided with Handbooks by HKD which included all the rules & regulations.

4) Local Cultural Responsiveness :

Feng Shut masters were consulted for advice on park layout & design.

New construction always began with good luck ceremony.

A ballroom was constructed to be 888 sq. mt. as 8 was considered lucky no. & signifies good fortune.

The Hotels skipped 4th Floor as 4 was considered unlucky by Chinese.

4) Local Cultural Responsiveness :

Signs in the park were written in both Chinese & English.

Adaptation was even in the toilets.

Restaurants offer a wide variety ranging from American Burgers & French fries to Chinese dim sum & sweet & sour pork.

Hong Kong Disneyland’s Negative Publicity

Flaws in Ticket System

Offered Discount Tickets

Failed to learn the Chinese culture and consumption

habitMore than 300 claims by travel

agencies.

Customers Complaints

Few Hong Kong Themed Attraction

Mistreated by HKD’s Employees

Lack of Safety

Statistics

First year - Park

attracted 5.2 millio

n

below its

target of

5.6 million

Visitor numbers fell 20% in the second year to 4 million

Increased by 8% in the third year- attracting a

total of 4.5 million

In 2007- 4.5 million

In the 2009/2010 - 5.23 million

HKD’s RESPONSETo tackle following problem :- Low park attendance Limited attractionLong queuesDisgruntled employees & guests’ accounts of rude

treatment

New Promotions

Ticket discounts for local customers (HK$ 50 / US$ 6.41) Ticket express package 50,000 taxi drivers were invited to HKD free of charge in

given time 50% discount to 3 family members or friends of taxi drivers “ One day trip Guide ’’ in Mandarin Launching free to air channel and endorsing the brand by

local celebs Local TVC, Testimonials, Enticing scene from inside HKD

Setting The Course For Eventual Success

THANK YOU