Better For You

Let’s go back little in time

Timeline

Started by Walter Elias Disney

He made his debut in 1923

• Merchandise Licensing

Retail sales of $23 billion in

90 countries in 2006

First character to be licensed

DCP’s Licensing and Distribution Methods

Uses the traditional licensing model

Licensees handled product innovation, manufacturing, sales

and marketing

SOURCING DIRECT TO RETAIL

Absent of these factors

Disney associated withFOOD TREATS

Found in TheatersTheme parksSupermarkets

THE OBESITY EPIDEMIC

Numbers30% kids between age of 5 to 9.Were overweight and 14% obese.

USA

At Supermarket

Previously BUT• Started facing criticism

An extension

to park experience

But Disney Saw

• DCP thought changing licensing models , retail industry and obesity epidemic offered

Borden and rationalize it’s product

offering

Mother's trusted Disney• High quality• Trustworthy• Familiar and they are the SHOPPERS

But…Kids influenced the decision

Mother wants Kids wants

Disney

Who should I target?

Disney’s nutritional guideline

We need good food

great fun!!!

Divided food in

Meal*3 Snacks Beverage

1800 calorie diet

Treat

Tried to control •Sugar•Trans fat

Calories were adjusted either byControlled portions or food’s formulation

As a result

• By 2005 75% of it’s US products compiled with DCP’s nutritional standards

• Aimed to bring all it’s product into compliance or phased out by 2008

• All new licensing contracts should adhere to the guidelines

If they were able to adapt we stayed with them. But in case where a vendor

could not meet our nutritional demands we parted ways

They understood that market

needed something

different and to survive and

dominate they needed to change

even if it meant breaking the old ties they were

ready to take that risk.

only half battle won

Needed kids attention

Product needed their favorite character

Aura and MAGIC

Imagination farm

• DCP embraced a “whole food first “ philosophy

• Disney began licensing it’s characters to Imagination Farm

• Founder Mattew Caito and Don Goodwill.• They won they contract because the

understood Disney’s strategy and their missions concided

The competition

Disney and Kroger

• DCP developed a broad range of product with Cincinnati based Kroger market.

• Pricing and Value: Though Kroger’s products were priced similar to private

brands, Imagination Farm’s Disney Garden Products were priced competitively.

Disney is accustomed to be a premium pricing brand , to go out low pricing will be challenging.

Delivering quality will also be necessary to represent the brand well.

• LegacyThey are confident that the product will be child

friendly healthy and fun but it’s the vocal criticism they should be worried about