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DISNEY BRAND MANTRAFly away into the world of Fun Family Entertainment Palash GuptaPGP31160

Company OverviewFounded in 1923 by Walter Disney and Roy O. DisneyHeadquartered in Burbank, CaliforniaWorlds 2nd Largest entertainment and media conglomerate with revenues of $52.46 billionWent through a radical management change in 2006 with excellence, creativity and innovation acting as the guiding principlesFour business segments:

To be one of the world's leading producers and providers of entertainment and information. Using our portfolio of brands to differentiate our content, services and consumer products, we seek to develop the most creative, innovative and profitable entertainment experiences and related products in the world.

MissionValues

Let us take an aerial view of the brand and customers view of it

Segmentation & TargetingDisney Theme Parks located in major cities around world seeing maximum tourist influxUrban markets preferred for deciding store locations and content to be developedMain targets 4-12 year olds with 35-55 year olds secondary target marketWalt Disney said Youre dead if you only aim for kids. Adults are only kids grown up, right?They aim to target reasonably affluent, educated families with modern lifestyles looking for a fun family experience

GeographicDemographic and Psychographic

Positioning of Brand

Brand PromiseDisney as a brand promises joy. It aims to create joy not for children but for child in us. It promises a fun family entertainment experienceIt also aims to convey memories which dont have a price. It promises to take you back to your childhood and awaken child in youBrand MessageThe brand logo is traditional, decent, fun and an American icon. It represents a fun magical experienceThe brand slogan make the dream come true tries to bring alive past memories and create joy for child in each of us.

Existing problem with BrandDisney grew manifolds in mid-1980s through product development and licensing. It however felt its characters were being used inappropriately and becoming overexposed. It therefore sanctioned a brand audit and a consumer study-brand exploratory The first issue which came up was that Disney characters were being used to market almost everything without any discerning rationale. This gave impression that it was exploiting its brand name to sell products without any value additionThe second issue was that for customers, Disney was Disney and they didnt differentiate between endorsements. It impacted brand equity as customers felt it was hampering special relationship they had with brand

Brand MantraFAMILYENTERTAINMENTFUNThe first element- Fun/Magical consists of giving consumers great amount of happiness by skyrocketing them into a magical and fancy world

Family is the essence of the brand as it aims to deliver a marvellous experience to entire family

Entertainment is the core value of the brand, something which helps fight competition. Disney excels at delivering quality entertainment to masses

Brand ImageOne of the most well known and successful brands globallyPositive associations of fun, magic, joy, family, entertainmentAcclaimed for high quality of products and servicesHigh degree of customer involvement in deciding how Disney experience should beFocusses on innovation and technology in entertainment

The worlds most beloved brand with emotional linking index of 74.7

Brand Awareness Disney is one of the most successful and well known global brands

Brand elements like the Disney logo with the Cinderella castle , the blue background, music When you wish upon a star, slogan of Make the wish come true and name Walt Disney written in distinctive way are well known and pervasive

Thinking of Disney characters evokes images of fun, magic and entertainment

It is a brand based in hearts and memory of millions. It is most beloved brand according to APOC world survey, with 74.7 score on emotional linking index

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The common theme running across print ads for all Disney products/services is consistent with the Brand Mantra of fun family entertainment and brand promise of creating joyful memories

I wonder what is the reason behind Disney still being creative after so many years?

Park attractionsAnimation and movie productions (Pixar)TV channelsCustomer-orientedExcellence in customer serviceCaters to all market segmentsCore competitivenessInnovationResponsiveness to customers

Competitive advantage

MANAGEMENT PRINCIPLES:

CentralizationAuthority and ResponsibilityOrderInitiativeControlDisciplineBEHAVIORAL MANAGEMENT:

Collaborative approachEmpowermentLess centralizedAuthority goes with knowledgeWhen Michael Eisner was in charge.Robert Iger assumed as the new CEO

Management Practices

Creativity is back in place!

Teamwork and collaboration

Synergy among business divisionsRelationship with Pixar got better

Launch of new products and shows

Development of franchises

Increase in revenues!

The result

Lets see how we fare against our rivals?

Competitive Analysis

Film, TV, cable TV, publishing, InternetMore than a third of revenues comes from cable TV Struggling with AOL business

More diversifiedTravel and tourism industry very hurt

Film, TV, publishingHard hit by the declining newspaper industry and declining ads revenues on TVDownsizing in 2009Change in executive leadership in 2009

Focused on TVMultiple channels, mass audience, ads across channels Ads account for more than 65% of salesFocusing on international markets for growth

SWOT ANALYSISTHREATSPiracyAdvertising revenues decreasingWeak economyIncreasing competition

STRENGHTS

Synergy among business divisionsBrand awarenessManagement styleStrong corporate cultureOPPORTUNITIESFranchisingNew platformsInternational MarketsMedia integrationHotel+park dealsWEAKNESS

Retail OperationsLack of AdvertisementsDiseased CultureReliance on relationships

About the Company

Customer based Brand Euity

Segmentation & Positioning

Competitive Analysis

Internal Analysis

DISCLAIMERThese slides have been made as part of the PGP Brand management course taught by Professor Sameer Mathur at IIM Lucknow ThanksPalash GuptaPGP31160+91-8860390193

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