Question

I must write 2 to 3 pages on my selected company’s sales strategy. My company of choice is Walt Disney. Do they sell direct or through dealers, retail locations, or on the Internet alone? Evaluate the strengths and weaknesses of its sales strategies then make recommendations on how it could improve sales effectiveness by interacting with marketing differently?

Please list resources used in answering this question. Thank you.

Answer 1

Company: Walt Disney Company

Company Background:

Walt Disney Company is an American Multinational Media entertainment company. It is head quartered in California, USA with Bob Iger as its CEO and Christine Mccarthy as CFO. Company was found in 1923 by Walt and Roy Disney.

Walt Disney is leader in American entertainment industry offering diversified products like Theme parks, television shows and films. It currently operates in four business segment namely media network, consumer products and interactive media, Parks and resort and studio entertainment.

Company’s sales strategy:

The main customer for the company is middle class and upper middle class population, hence main strategy of Walt Disney is to sell product at lower prices i.e. it follows mass selling strategy. It makes profit by achieving economy of scale.

The main marketing channel of Disney is movies and Television shows. It targets young population and produces movies and television shows which helps them to attract customers to theme park and buy merchandises.

Location of sales:

Walt Disney has customer throughout the globe.

Customer segments:

Young Children are major customers for Walt Disney

Strength:

1. Walt Disney focuses on mass selling, hence it has large customer base.
2. Walt Disney has young kids as its customer who get attracted to cartoon pretty quickly. Hence efforts required to make sales is minimum.

Weakness:

1. Limited number of assortment: Walt Disney focus only on limited number of cartoon character for its sales. This becomes difficult to attract customers again and again.
2. Higher revenue from USA: Major portion of Disney revenue is derived from USA. Hence if USA slips to recession, sales reduces.
3. Aging population: Most of the developed country are facing aged population problem. Hence these countries offer little sales growth to the company.

Recommandations

1. Company should focus on increasing sales outside of USA and should concentrate on countries like India which has younger population.
2. Company should start targeting middle aged and old population to bring in incremental sales as growth in young kids segment is stagnating.
3. Company should enter other areas of entertainment like Gaming industry to diversify its offering.
4. Company should use social media as its marketing tool to increase sales.