DISNEY BRAND MANTRAFly away into the world of Fun Family Entertainment

Palash GuptaPGP31160

Disney Business Segments

Walt Disney Studios (Touchstone, Pixar,

Miramax)

Parks and Resorts (Disney Cruise line &

theme parks)

Disney Consumer Products (Toys, Apparel, Food)

Disney Media Networks (ESPN,

ABC)

Company Overview• Founded in 1923 by Walter Disney and Roy O.

Disney• Headquartered in Burbank, California• World’s 2nd Largest entertainment and media

conglomerate with revenues of $52.46 billion• Went through a radical management change in 2006

with excellence, creativity and innovation acting as the guiding principles• Four 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.”

Mission

QualityInnovation

community storytelling

decencyoptimism

Values

Let us take an aerial view of the brand and customer’s view of it

Segmentation & Targeting

Disney Theme Parks located in

major cities around world

seeing maximum tourist influx

Urban markets preferred for

deciding store locations and content to be

developed

Main targets 4-12 year olds with 35-

55 year olds secondary target

market

Walt Disney said “You’re 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

Geographic

Demographic and Psychographic

Magical Customer

Experience

Superiority in terms of services,

quality and technology

Family Fun and

entertainment

experience

Nostalgia, every adult is grown up kid

Premium Offering and

content

Social Messages

Positioning of Brand

Brand Promise

Disney as a brand promises joy. It aims to create joy not for children but for child in us. It promises a fun family entertainment experience

It also aims to convey memories which don’t have a price. It promises to take you back to your childhood and awaken child in you

Brand Message

The brand logo is traditional, decent, fun and an American icon. It represents a fun magical experience

The 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 addition

The second issue was that for customers, Disney was Disney and they didn’t differentiate between endorsements. It impacted brand equity as customers felt it was hampering special relationship they had with brand

Brand Mantra

FAMILY ENTERTAINMENTFUN

• The 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 Image

One of the most well known and successful

brands globally

Positive associations of fun, magic, joy,

family, entertainment

Acclaimed for high quality of products

and services

High degree of customer

involvement in deciding how Disney experience should be

Focusses on innovation and technology in entertainment

The world’s 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

Print AdvertisementsThe 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 channels

Customer-orientedExcellence in customer serviceCaters to all market segments

Core competitiveness

Innovation

Responsiveness to customers

Competitive advantage

MANAGEMENT PRINCIPLES:

• Centralization• Authority and

Responsibility• Order• Initiative• Control• Discipline

BEHAVIORAL MANAGEMENT:

• Collaborative approach

• Empowerment• Less centralized• Authority goes

with knowledge

When 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 divisions

• Relationship with Pixar got better

• Launch of new products and shows

• Development of franchises

Increase in revenues!

The result…

Let’s see how we fare against our rivals?

Competitive Analysis

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

• More diversified• Travel and tourism industry very hurt

• Film, TV, publishing• Hard hit by the declining newspaper industry and declining

ads revenues on TV• Downsizing in 2009• Change in executive leadership in 2009

• Focused on TV• Multiple channels, mass audience, ads across channels• Ads account for more than 65% of sales• Focusing on international markets for growth

SWOT ANALYSIS

THREATS•Piracy•Advertising revenues decreasing•Weak economy•Increasing competition

STRENGHTS

•Synergy among business divisions•Brand awareness•Management style•Strong corporate culture

OPPORTUNITIES•Franchising•New platforms•International Markets•Media integration•Hotel+park deals

WEAKNESS

•Retail Operations•Lack of Advertisements•Diseased Culture•Reliance on relationships

About the Company

Customer based Brand

Euity

Segmentation & Positioning

Competitive AnalysisInternal

Analysis

DISCLAIMER

These slides have been made as part of the PGP Brand management course taught by Professor Sameer Mathur at IIM Lucknow

ThanksPalash GuptaPGP31160+91-8860390193