Download - Disney Consumer Products- Marketing Nutrition to Children ( Naina Gupta , Delhi University)
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Disney Consumer Products- Marketing Nutrition to Children
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History
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The Disney Journey
19231955
1980-1984
2004
2006
1923
2004
2006
1980s-1990s
1955
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World’s Most Franchise Characters
5.8$ Million worth 5.6$
Million worth
3$ Millionworth
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Families spent an annual average of 9.6 billion hours with Disney.
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DCP’s 6 lines of business1. Soft lines 2. Toys 3. Publishing
4.Buena Vista Games 5. Home & Infant
6.Hardlines(Food,Health & Beauty,Stationary & Electronics)
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Distribution Models 1.Licensing Model
2.Sourcing Model
3.Direct-to-Retail (DTR) Model
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Problem faced by DCP
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Obesity Epidemic in America
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Major Contributing Factors
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1. Increased Portion Size
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2. Lack of Exercise
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3. Sugar Sweetened Products
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Because of Disney’s licensing with McDonald’s , People criticised DCP for its CONTRIBUTION to Obesity Epidemic.
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Disney saw the controversy as an Opportunity to broaden and reassemble its range of products.
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Could Disney provide leadership for the rest of the food industry & use its brand strength to reach children ?
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Main Goal to Achieve
To satisfy both,
Children and their Mothers.
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Steps taken by Disney
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Disney Nutritional Guidelines
Products would be minimally processed Control levels of added sugar Promote fibre and calcium Contain no trans or hydrogenated fats Minimize the use of additives
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Three strategies are adopted
1. Offer products that already had broad appeal2. Already healthy products : Make them more
“fun”3. Use packaging to inspire product sampling
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Imagination Farms
Marketed fresh fruits& packaged goods with licensed Disney Characters.
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DCP and Imagination Farms used a three-pronged strategy
1. Differentiate Commodity produce through promotion
2. Create Value added products
3. Develop exclusive product varieties
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DCP established a DTR relationship with Kroger Supermarket, the largest grocery retailer in US, to develop an exclusive line of Disney-
branded products.
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Who will be DCP’s major Competitors ?
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Top rated US basic cable
network, seen by 89 million households.
Sales of Darling clementine’sincreased by almost 25% after the Dora and SpongeBobcharacters were added toproduct packaging
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Pre-schoolers’ consumption ofbroccoli increased by 28% when the vegetable was brandedwith a Sesame Street character
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Ready Pac featured WBCharacters on its Cool Cuts Ready Snacks single-serving packages of fruit
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What are the challenges faced by DCP ?
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1. Pricing & Value
The shift of premium pricing to lower pricing was a marketing challenge for DCP
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2. Legacy
Change in brand positioningto new “Better for you”products created ambiguityamong DCP managers
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3. Differentiation and Competition
Competition and Channelfriction is expected from the competitors such asNickelodeon, SesameWorkshop and Warner Bros
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4. Growth and Distribution
After establishing a DTR relationship with Kroger,DCP wanted to license ordevelop additional lineswhich could be differentiated using characters, brand and price.
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What’s next?
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Thank you !
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