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Utilizing the Disney Name to Market Disney Garden™ Fresh Produce to Children: What Does the Future Hold?. Brian Williams Ben Blomendahl. Overview. Childhood Obesity Imagination Farms Disney Brand Economics SWOT Analysis Recommendations. Children’s Health.
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Utilizing the Disney Name to Market Disney Garden™ Fresh Produce to Children: What Does the Future Hold? Brian Williams Ben Blomendahl
Overview • Childhood Obesity • Imagination Farms • Disney Brand • Economics • SWOT Analysis • Recommendations
Children’s Health • Cost of obesity related disease • Diabetes, high blood pressure, heart disease, etc. • $117 billion/year (National Center for Health Statistics, 2004) • Obesity and fruit and vegetable consumption are inversely related • 32 percent of obesity explained by consumption (or lack of) of fruits and vegetables (Blomendahl, Williams, 2008)
Obesity in the U.S. 1990 2007 Source: Center for Disease Control Behavioral Risk Factor Surveillance System
Disney and Childhood Obesity • Disney offered high-fat, high-calorie foods in parks and resorts • Disney consumer products (DCP) division • Offered less healthy foods • Children linked fun to less than nutritious foods
Disney Going Healthy • Opportunity for change • Phase out fattening products • Healthier choices in theme parks • Chose not to renew contract with McDonalds • New line of healthy foods for children • Began taking proposals for using Disney name
Imagination Farms, LLC • Don Goodwin • Former COO of Green Giant Fresh and Produce Marketing Consultant • Matthew Caito • Caito Food Services • Brought idea to Disney • Disney Garden™ fresh produce • Mission: “Increase consumption of fresh fruit and vegetable among children”
Branding in Produce • Reasons consumers purchase specific brands • Design • Prestige • Durability/Quality • Consumers are willing to pay less for fresh produce branding than branding in other products • Younger people are willing to pay more (Jin, et al, 2008) • Disney is associated with fun, magic, and wholesome family values
Economics • Supply and demand for fresh produce in supermarkets P
Economics • I-Farm’s Goal: Shift the industry demand out. • Provide supply to meet new demand • Bring new suppliers into supermarkets • Enter market w/o hurting current companies S P2 P1 D2 D1
Economics • I-Farm’s Goal: Shift the industry demand out. • Provide supply to meet new demand • Bring new suppliers into supermarkets • Enter market w/o hurting current companies S A B C P1 D D2 D1
Economic Reality • Monopolistic Competition • Product differentiation (perceived or otherwise) • Disney Garden™ may increase industry demand • The substitution effect • How can I-Farms best exploit these realities to their advantage?
Disney and I-Farms Changing Children’s Eating Patterns • Disney characters create demand • Children influence parent’s purchasing • Parents more willing to buy fruits and vegetables • Easily influenced by peers as well as by advertising • Disney makes healthy foods fun
Supplement the Strengths • Use Disney name as an advantage • Retailers can market with the Disney name • Continue educating on the importance of healthy eating • Disney channel • Website • Convenient packaging for putting in lunch boxes
Wipe Out Weaknesses • New to the market • Must provide a quality product to gain credibility • Keep Disney Garden™ fresh and exciting • Change packaging to match new movies • Promotions via collectibles, puzzles, prizes • Limited Resources • Promote efficiency in the workplace • Outsource less important tasks • On-going search for high quality employees
Wipe Out Weaknesses • Suppliers accustomed to marketing commodities • Offer seminars or other training for supplier marketing representatives • Give tools to take advantage of Disney name • Higher Free on Board (FOB) prices for retailers • Offset higher FOB prices with more sales • Additional traffic in stores
Optimize Opportunities • I-Farms can become a pioneer • Product differentiation in produce • Bring children into the produce market • 13 percent of US families with children consume the recommended amount of fruits and vegetables daily (Produce for Better Health Foundation, 2003) • Use care not to expand too fast • Focus on quality before quantity
Terminate Threats • Food safety • Random product testing • Quality assurance process • Competition • Product differentiation • Creativity is the key to set yourself apart from the competition
Terminate Threats • Seasonal quality differences • Expand to global suppliers • Offer certain items seasonally • Recession • Food is less affected by recession than other products • Turn into an advantage by encouraging less eating out, more eating in
Bibliography • Behavioral Risk Factor Surveillance System. Center for Disease Control. (apps.nccd.cdc.gov/brfss/). (accessed July 23, 2008) • Blomendahl, Ben. Williams, Brian. Findings on Obesity. 2008 • Jun, Yanhong H. Zilberman, David. Heiman, Amir. Choosing Brands: Fresh Produce Verses Other Products. American Journal of Agricultural Economics. May 2008: 463-475 • Lin, Biing-Hwan. Fruit and Vegetable Consumption: Looking Ahead to 2020. Economic Research Service. Agricultural Information Bulletin. November 2004. (www.ers.usda.gov/publications/aib792/aib792-7/). (Accessed July 23, 2008) • Lin, Biing-Hwan. Reed, Jane. Lucier, Gary. U.S. Fruit and Vegetable Consumption: Who, What, Where, and How Much. Economic Research Service. Agricultural Information Bulletin, October 2004, (http://www.ers.usda.gov/publications/aib792/aib792-2/aib792-2.pdf). (Accessed July 23, 2008) • National Center for Health Statistics. Prevalence of Overweight and Obesity Among Children and Adolescents: United States. 2003-2004 (www.cdc.gov/nchs/products/pubs/pubd/hestats/ overweight/overwght_child_03.htm). (Accessed July 24, 2008)
Bibliography • National Center for Health Statistics. Prevalence of Overweight and Obesity Among Adults: United States. 2003-2004 (www.cdc.gov/nchs/products/pubs/pubd/hestats/ obese03_04/overwght_adult_03.htm). (Accessed July 24, 2008) • Nestle, Marion. Food Marketing and Childhood Obesity — A Matter of Policy. New England Journal of Medicine. 2006: 2527-2529. • Palmer, Edward L. and Courtney F. Carpenter. Food and Beverage Marketing to Children and Youth: Trends and Issues. Media Psychology. 2006: 165-190 (http://www.informaworld.com/10.1207/s1532785xmep0802_6 ). (Accessed 17 July 2008). • Progress in Preventing Childhood Obesity: How do we Measure Up?. Report Brief, Institute of Medicine, September 2006 • State of the Plate: Study on America’s Consumption of Fruits and Vegetables. Produce for Better Health Foundation. 2003