Case Assignment: Disney the Happiest Brand on Earth

REPORT 1 CASE concession Disney The Happiest Brand on Earth In 2006, Disneys Pixar released the hit celluloid Cars, which grossed $462 million worldwide. Since then, Cars merchandise has generated over $2 billion in sales each year. Pixar has since created a series of Cars shorts to be aired on the Disney Channel with a subsequent DVD release. A Cars sequel is in the works for 2011, and an online virtual gaming world is set to release 2009. In 2012, Disneys California Adventure theme park leave heart-to-heart its 12-acre Cars Land attraction.At Disney, the brand is the name of the game, and cross-platform success of the Cars franchise is by no means the exception to the rule. Disney also has the Jonas Brothers, Hannah Montana, High School Musical, the Disney Princesses, Pirates of the Caribbean, and the list goes on and on. The man behind the magic is Disneys CEO, Bob Iger, who has lead a dramatic revitalization of the Disney brand since succeeding longtime head Michael Eisner i n 2005. When he first gear took the post, his strategy shifted Disneys focus around its persistent of franchises. These franchises are distributed across Disneys multiple company platforms and divisions, such as Disneys various television broadcasts platforms (the Disney Channel, ABC, ESPN), its consumer products strain, theme parks, Disneys Hollywood Records medicinal drug label, and Disneys publishing arm in Hyperion, just to name a few. Igers franchise strategy has been supported by the other major move he made upon first becoming CEO. On his first day on the job, Iger told the board that revitalizing Disneys animation business was a top priority, which would be improved through the purchase of Pixar.As spell of Igers franchise strategy the deal made perfect sense, as many of Disneys latest TV shows, Disneyland rides, and merchandise were found on Pixar characters. Finding a virgin market to push the Disney franchise became a priority as well. With the Disney brand growi ng flat, it was becoming evident that Disney had befuddled some opportunities for broader success due to a narrowing of its target market, which was at the time largely associated with younger children.Igers first move was to put out Disneys viewership by moving the Disney Channel from premium to basic demarcation and launching local versions in key global markets. Then, Disney began pushing franchises to fuck by the rapidly growing tween market. Putting its support behind the Disney channels High School Musical and Hannah Montana and the Jonas Brothers, who were emerging out of Disneys music label, Disney quickly generated a series of franchise juggernauts in the tween little girl market.Though Disneys focus has remained on family-friendly fair, Iger has shown a new willingness to look to fifty-fifty broader markets if they fit with the Disney brand. Disneys Pirates of the Caribbean, the first Disney film with a PG-13 rating, based off the classic theme park ride, played a m ajor bureau in refocusing the brand, and it also helped expand the Disney appeal to older kids and flush adults. The Pirates and Cars franchises also provided preliminary steps for Disneys latest endeavors to crack the tween son market, one traditionally difficult for media companies to sustainably capture.Their efforts focus around the new Disney XD channel, which has a broad range of offerings, such as potential new franchises wish well the science fiction action-adventure show Aaron Stone and showcases of new musical talent. Disney will also be able to leverage ESPN to create original sports- based programming. The channel will be accompanied by a Disney XD weathervane site, which will promote the channels programs, as well as offer games and original videos, social networking, and online community opportunities.As it continues to expand and provide new franchise offerings, Disney looks to have relatively strong momentum, even in the middle of rising economic challenges. As Steve Jobs, Apple CEO and Disney board member, puts it, Family is a renewable resource, and right now, Disney is making the most of it. SOURCES Richard Siklos, Bob Iger Rocks Disney, Fortune, January 19, 2009, 8086 Peter Sanders, Disney Focuses on Boys, The Wall Street Journal, January 8, 2009, available at ttp//online. wsj. com/ phrase/SB123137513996262627. html (accessed January 14, 2009). 1. Do a brief market opportunity outline for Disney, identifying the major markets that Disney has expanded into. 2. How does Disneys cross-platform franchising help create sustainable warlike advantage? 3. portray the marketing mix for one of Disneys franchises. 4. Describe the major components of Bob Igers strategic plan when he first became CEO.