  | 
|
 |
|
Disney Consumer Products offers a vast array of merchandise, including books, toys, apparel, computer software, magazines, artwork and collectibles, to Disney fans around the globe. MERCHANDISE LICENSING Despite a crowded retail market last summer, toys and apparel based on the hit animated film Tarzan proved popular with consumers. Nevertheless, declines in worldwide merchandise licensing resulted in lower revenues for the company. Among the many strategies underway to reverse these declines are a 50 percent reduction in the number of Disney licensees, which will allow for more effective management of key licensee relationships; greater focus on relationships with the most important retailers in the market; and the placing of greater emphasis on consumer research and marketing in order to bring the right product to the right market at the right time. Last Thanksgiving’s release of Toy Story 2 was eagerly anticipated by fall retailers, who expected the film to generate one of the best-selling product lines of the holiday season. This summer’s Dinosaur has inspired products that blend prehistoric adventure with modern colors, designs and technology. Tigger will bounce onto retail shelves this spring along with the theatrical release of The Tigger Movie, while 102 Dalmatians will have consumers seeing spots this holiday season. Pooh will make more appearances this year on the international front, especially in Asia, where the region’s first-ever Pooh Friendship Day celebration will tie in to the release of The Tigger Movie. This millennium year, Disney Merchandise Licensing will give special focus to Mickey and Minnie, unveiling an unprecedented television advertising campaign designed to generate excitement in the retail marketplace for everyone’s favorite mice. Showcasing a broad array of Disney products, Toys ‘R’ Us rolled out a program that places Disney in special, front-of-the-store locations. This high-impact retail initiative was introduced last summer and soon expanded to three Toys ‘R’ Us locations in the U.S., with more planned this year. THE DISNEY STORE The Disney Store hit a milestone of 700 total stores last March. Among the major openings in 1999 were a flagship store on Chicago’s famed Michigan Avenue and another in Rome, Italy. Since the introduction of new products and fashions, The Disney Store enjoyed an 11 percent same-store increase in infant and children’s apparel, and 21 percent growth in plush toys. The 1999 Halloween season saw 60 percent same-store sales increases, thanks to the popularity of Disney character costumes ranging from Tigger to Tinker Bell. However, overall sales were down in 1999. To help return The Disney Store to strong growth, a new merchandise strategy with an emphasis on young boys and girls, pre-teens and adults has been implemented. It is being backed with direct consumer advertising and an all-new store design that will see existing Disney Store locations thoroughly renovated beginning late this year. The new store design will include computer kiosks that will make it possible for consumers to purchase items not available in a particular store through The Disney Store Online.
|
 |
|
 |