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Focus on entertainment thru experiences based on creativity

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Focus on entertainment thru experiences based on creativity and memorable storytelling ... The four sections, Studio Entertainment, Parks and Resorts, Consumer ... – PowerPoint PPT presentation

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Title: Focus on entertainment thru experiences based on creativity


1
The Walt Disney Company Presented by Shanna
Baumgarten
Erin Clark Becca Crossen
2
I Company Overview
  • Founded in 1923 by Walter Elias Disney, he and
    his brother Roy created the short film Alices
    Wonderland
  • Focus on entertainment thru experiences based on
    creativity and memorable storytelling
  • Grown to be a vital competitor in the
    Broadcasting Entertainment industry
  • Separates business into four segments (1) Studio
    Entertainment, (2) Parks and Resorts, (3)
    Consumer Products, and (4) Media Networks

3
II Business Mission
  • Strong commitment to using quality and creative
    content in all aspects of its entertainment
    experiences and storytelling production
  • The four sections, Studio Entertainment, Parks
    and Resorts, Consumer Products, and Media
    Networks each focus on operating in a manner to
    maximize exposure and experience long-term,
    worldwide growth

4
II Business Mission
  • Focus of the Studio Entertainment Segment To
    continue creating animated features and
    live-action motion pictures that provide quality
    entertainment for the whole family
  • Focus of the Parks Resort Segment To provide
    consumers with a unique experience with Disney
    cast members ensuring the encounter will long be
    remembered. The goal of making dreams come true
    every day is a key element in the global growth
    strategy

5
II Business Mission
  • Focus of the Consumer Product Segment To uphold
    the Disney high standard of quality and
    innovation
  • Focus of the Media Segment To provide quality
    content, updated platforms, and have the ability
    to change to meet consumer demands

6
II Business Mission
  • Environmentality program
  • The program is a fundamental ethic that blends
    business growth with the conservation of natural
    resources
  • Part of long-term, sustainable growth, and cost
    savings
  • Efforts in this program go beyond that of just
    compliance with regulations and environmental
    law
  • Disney purchases recycled products and practices
    waste minimization and resource conservation
  • Disney also commits to research and development
    on behalf of environmental awareness, is involved
    in community activities, and provides and
    education regarding the environment to help
    ensure success of the program

7
III Marketing Objective
  • In 2005 Disneys CEO, Robert Iger, identified
    three strategic priorities
  • 1) To foster an environment of creative
    innovation in all aspects of the business.

8
III Marketing Objective
  • 2) Global expansion, meaning to grow the
    business, particularly internationally in the
    growing markets of China and India, while
    ensuring long-term, sustainable growth.
  • 3) A strong application of technology. Disney
    must remain on a platform that can meet changing
    consumer demands in a well-priced and
    well- timed manner.

9
IV Situation Analysis Studio Entertainment
  • Studio Entertainment Segment Description
  • The Studio Entertainment unit is the foundation
    on which The Walt Disney Company was built.
  • This segment of Disney is responsible for
    producing animated features, both traditional
    hand-drawn and computer-generated films, and
    live-action motion pictures.

10
IV Situation Analysis Studio Entertainment
  • Industry Analysis
  • Disney, along with their top three competitors,
    are all set to release blockbusters within a few
    months of each other in mid 2007.
  • Sony Pictures Entertainment Spider-Man 3
  • Disney Pirates of the Caribbean At Worlds
    End
  • Dreamworks Shrek 3
  • Warner Bros Harry Potter and the Order of the
    Phoenix

11
IV Situation Analysis Studio Entertainment
  • SWOT Analysis Strengths
  • The 2006 acquisition of Pixar allows Disney to
    incorporate their ideas and innovation, while
    reducing the threat from a competitor.
  • The technology utilized by Disney has given
    movie-goers a level of quality and anything less
    is noticed.
  • Well established company and strong financial
    backing. To reduce production costs the second
    and third Pirates movie were filmed together.

12
IV Situation Analysis Studio Entertainment
  • SWOT Analysis Strengths
  • The Pirates of the Caribbean Dead Mans Chest
    was the number one movie of 2006, and it is
    likely the third Pirates will claim the 2007
    title.
  • As the FTC and the public criticize Broadcasters
    for TV violence and language. Disney will likely
    avoid much of the negative attention due to their
    current standard of family entertainment quality.
  • Disney is a trusted and known image in the public
    eye.

13
IV Situation Analysis Studio Entertainment
  • SWOT Analysis Weaknesses
  • Movies based on Marvel comics have grown in
    popularity and number in the past few years. Most
    comic movies are family oriented and very
    successful, Spider-man being a prime example of
    this.
  • Consumers may assume Disney products or
    experiences are geared towards children. This is
    not true in all cases, but the Disney image may
    prevent potential customers from trying a Disney
    product due to the association to child-related
    entertainment.

14
IV Situation Analysis Studio Entertainment
  • SWOT Analysis Opportunities
  • The third installment of the Pirates of the
    Caribbean movie series. The third movie has the
    potential to break the record for opening weekend
    sales.
  • As Disney pursues the global expansion goal, the
    opportunity to reach new demographics with their
    motion pictures may open new markets. This
    expansion may also provide new storylines to the
    creators of Disney films.

15
IV Situation Analysis Studio Entertainment
  • SWOT Analysis Threats
  • The three greatest threats to the Studio
    Entertainment segment of Disney are the other
    summer blockbusters Spider-man 3, Shrek 3, and
    Harry Potter and the Order of the Phoenix. The
    threat is not only these movies, but also future
    movies in each of the series. Spider-man will
    likely have at least a fourth, Shrek will have
    five movies in total, and Harry Potter will
    likely have at least one more movie.
  • Movie ticket prices
  • Piracy issues

16
IV Situation Analysis Parks Resorts
  • Parks Resorts Segment Description
  • The place where dreams come true and the
    memorable Disney characters come to life!
  • Disneyland resort in Anaheim, CA opened in 1955.
  • Grown to develop
  • Disney Cruise Line
  • Adventures By Disney
  • 7 Disney Club Vacation Resorts
  • 5 resort locations encompassing
  • 11 theme parks on 3 continents

17
IV Situation Analysis Parks Resorts
  • Industry Analysis
  • Holds leading position in the primary industry of
    Amusement Parks, Arcades, and Attractions.
  • Competing with Six Flags, Universal Parks
  • Secondary industry is resorts.
  • Top competition with Hyatt
  • Disney holds the power in their industries by the
    motivation to keep their primary focus on
    fulfilling each customers needs of each park and
    resort being a magical escape where they can
    experience a world of fantasy and imagination.

18
IV Situation Analysis Parks Resorts
  • SWOT Analysis
  • Strengths
  • Grow and benefit from the resurgence of tourism
    and travel
  • 50 years of experience in the industry
  • 10 sales growth in 2006
  • Weaknesses
  • Parks and Resorts segment has gotten so large
    that management may have trouble covering each
    specific issue

19
IV Situation Analysis Parks Resorts
  • SWOT Analysis
  • Opportunities
  • Advancement in technology
  • Use life-like computer-animation technology
    created by Imagineering
  • Engage audience in a conversation with either sea
    turtle from Finding Nemo or the fiesty blue
    alien from Lilo And Stitch
  • The fiesty blue alien is located in the Hong
    Kong Disneyland and allows audience to interact
    in either Cantonese, English or Putonghua
  • Threats
  • Parks and Resorts segment so wide that
    competition can be more specific in their
    individual industry
  • Six Flags can focus on primary target of the
    Amusement Park industry
  • Rising gas prices will decrease the amount of
    travel to each Disney destination
  • Terrorism

20
IV Situation Analysis Consumer Products
  • Consumer Product Segment Description

21
IV Situation Analysis Consumer Products
  • Industry Analysis
  • Trends
  • how the food industry is affecting Disney
  • technology
  • Competitors toys, clothes, books, and games for
    babies, children, and adults
  • Profile Disney Consumer Products (DPC) is the
    worlds largest licensor with global retail sales
    of 23 million in 2006.
  • Technology toys with electronics

22
IV Situation Analysis Consumer Products
  • SWOT Analysis
  • Strengths
  • Strength in numbers
  • direct-to-retail
  • International markets
  • Weakness
  • Weakness in numbers?
  • Consumers
  • Retailers
  • Contracts
  • Confusing

23
IV Situation Analysis Consumer Products
  • SWOT Analysis
  • Opportunities
  • Endless
  • Threats
  • Consumer income
  • Family structure
  • Gas prices
  • Divorce rates
  • Food regulations
  • Terrorism

24
V Marketing Strategy Target Market Strategy
  • Families!! (entertainment and experiences for
    every member of the family.)
  • Domestic and Global
  • Cross Cultural
  • Basically, every person on the earth (just about)
    can find a Disney product that satisfies a want
    or need.

25
V Marketing Strategy Marketing Mix
  • Product Place
  • Studio Entertainment Animated and live-action
    films (in theater and on home format, such as DVD
    or iPod), available in theaters or at retail
    locations
  • Parks and Resorts The experience from each
    memorable attraction, available at the various
    locations of theme parks, cruises, vacations,
    etc.
  • Consumer products A massive variety of
    products available at retail locations along with
    other sources

26
V Marketing Strategy Marketing Mix
  • Promotion
  • Studio Entertainment Posters, movie trailers,
    tv commercials, fast food chains (toys/games with
    characters from new movies), the internet
  • Parks and Resorts Disney website, magazine
    ads, tv commercials, the internet, Disney Store
  • Consumer products TV commercials, magazine
    ads, food/drink products, retail flyers
    (limitless)

27
V Marketing Strategy Marketing Mix
  • Price
  • Studio Entertainment Average U.S. price of a
    movie ticket 6.55, or purchase of DVD is 20
  • Parks and Resorts Varies by package
  • Consumer products Varies by product

28
VI Implementation, Evaluation, and
Control Financial Projections
Past Revenues 2002 25,329 2003 27,061 200
4 30,752
2005 31,844 2006 34,285
Future Revenue Predictions 2007 36,713 2008
38,992
2009 41,272 2010 43,551
29
The End
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