Disneyhongkong Presentation

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Hong Kong Disneyland

Joshua Bloom, Kate Epstein, Maureen Hanrahan Cameron Lewis, David Miller, Julie Schechter Group 2, Section 003 December 12, 2005

Company • Company Strengths: – Diverse portfolio – Global presence – Strong brand equity

• Company Weaknesses: – Studio entertainment sector – Hong Kong Disneyland

Hong Kong Disneyland • Strengths: – – –

Attention to culture Brand recognition Accommodations

• Weaknesses – –

Expensive entrance fee Limited attractions

Current Problems • Low attendance • Strong competitor • Small park size • Negative publicity

Customers • Mainland Chinese (tourists) – Increasing disposable income – Increasing number of outbound travelers – Desire for Western products

• Hong Kongers (locals) – Price sensitive – Small household size – Close proximity to park

Competitors • Direct: – Ocean Park • Better attractions • Strong brand recognition • Lower entrance fee • Old, under-maintained

• Indirect: – Victoria’s Peak – Bars, clubs, restaurants, cinema, arcades, karaoke – Family attractions: zoos, museums, gardens

Segments Family Life Cycle Families

Teenagers

Geographic Region

Parents with children ages Local 0-19 Tourist Ages 13-19

Young Professionals

Ages 20-30, no children

Empty Nesters

No children living at home

Local Tourist Local Tourist Local Tourist

Positioning Map Family Oriented 5 12

Ocean Park

Disney

6 2

One-Day Visit Zoo

3

Movie Theatres 4

1. 2. 3. 4.

HK Families HK Teenagers HK Young Adults HK Empty Nesters

Individualistic

All Inclusive Vacation

7

8

5. 6. 7. 8.

Chinese Families Chinese Teenagers Chinese Young Adults Chinese Empty Nesters

Target Market • Mainland Chinese families • Large segment (40%) • Need accommodations • Growing disposable income

Positioning Statement For Chinese families, Hong Kong Disneyland is the most convenient tourist destination because it offers theme park attractions, hotels, transportation, dining, and nightlife entertainment.

Alternative Options • Park expansion – Smallest Disney park – Large costs

• Market to local Hong Kongers – Easy-to-access segment – Don’t need our accommodations

• Market to mainland Chinese families

Price Park

Disneyland Hong Kong

Ocean Park

Type

Week

Weekend/ Peak Days

General Admission

Adults

US$38

US$45

US$24

Children (3-11 yrs)

US$27

US$32

US$12

Senior Citizens (65 yrs +)

US$22

US$26

Free (w/ HK ID)

Children (under 3yrs)

Free

Free

Free

* Peak days will include Hong Kong public holidays, summer school holidays (i.e. July and August) and the Golden Weeks (1st week in May and October every year). (7)

Product • Animal Kingdom – Petting Zoo – Dinosaur Exhibit – African Safari

• More photo shops • Childcare facilities • Expand park

Place • Utilize Chinese travel agencies – Dealer incentives

• Non-Disney hotel concierges – Offer free passes – Distribute information and tickets

Promotion • Advertisements – Institutional advertisements – Advertisements in railway system – Feature hotel accommodations

• Holiday promotions – Peak travel time – 15% discount

Questions?

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