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?