subscribe to this page
The 2006 Annual Report from The Walt Disney Company summarizes the financial status of the company in comparison to the past two years. It is sent to every shareholder and available online as well. While reading through their statistics, I was looking to see if they made mention of “High School Musical” as having any amount of effect on their success and to see how much they specifically credited made-for-TV movies or feature animation as key to their survival.
Disney has their hands in a large variety of markets, from their parks and resorts to movies to cable TV channels, international markets, and consumer products, and their newest endeavor with the Walt Disney Internet Group. Each of these components contributes to their overall financial success. Featured on the title page of the the section on “Media Networks: Cable Networks” is a two-page spread picture of the cast of “High School Musical,” claiming that nearly 90 million viewers have seen the movie since its debut on the Disney Channel.
Overall, the company boasts revenues at $34,385 million for the year, a seven percent increase since 2005. For perspective, 2005’s revenues were a four percent increase from those of 2004. Their net income weighed in at $3,374 million, which is thirty three percent higher than last year’s income. The percent difference between 2005 and 2004 was only eight percent (p.57). Obviously they’re heading in the right direction, up. But when I was looking at the numbers for their Media Networks section, nothing seemed unusual or different from the previous year. The eleven percent increase to revenue of $14,638 million is close to the twelve percent increase last year (p.59). The increase specifically from cable networks (as opposed to broadcast television) was ten percent, whereas last year’s revenues increased by thirteen percent (p.60). At least when looking at the numbers, it doesn’t look like the cable networks experienced any sort of huge jump from previous years.
The note about Disney’s purchase of Pixar, however, shared some relevant insight into the company’s philosophy of the nature of feature animated films: “Disney believes that the creation of high quality feature animation is a key driver of success across many of its businesses and provides content useful across a variety of traditional and new platforms throughout the world.” (p.83) Not only do they consider feature animation important in its own right, but they see the multitude of possibilities that it creates in their other markets. Disney is already used to the idea of cross marketing, because they’ve existed across so many different forms of media for a long time already. I’m glad to see that they’re sticking to tradition in putting feature animation at the top of their priorities, because it has been proven to be their most successful endeavor as well as a valuable fuel for the rest of their departments.
Note: Page numbers are based on the print version of the Annual Report. To download a PDF copy, click on the tab labeled “Financials.”
Disney has their hands in a large variety of markets, from their parks and resorts to movies to cable TV channels, international markets, and consumer products, and their newest endeavor with the Walt Disney Internet Group. Each of these components contributes to their overall financial success. Featured on the title page of the the section on “Media Networks: Cable Networks” is a two-page spread picture of the cast of “High School Musical,” claiming that nearly 90 million viewers have seen the movie since its debut on the Disney Channel.
Overall, the company boasts revenues at $34,385 million for the year, a seven percent increase since 2005. For perspective, 2005’s revenues were a four percent increase from those of 2004. Their net income weighed in at $3,374 million, which is thirty three percent higher than last year’s income. The percent difference between 2005 and 2004 was only eight percent (p.57). Obviously they’re heading in the right direction, up. But when I was looking at the numbers for their Media Networks section, nothing seemed unusual or different from the previous year. The eleven percent increase to revenue of $14,638 million is close to the twelve percent increase last year (p.59). The increase specifically from cable networks (as opposed to broadcast television) was ten percent, whereas last year’s revenues increased by thirteen percent (p.60). At least when looking at the numbers, it doesn’t look like the cable networks experienced any sort of huge jump from previous years.
The note about Disney’s purchase of Pixar, however, shared some relevant insight into the company’s philosophy of the nature of feature animated films: “Disney believes that the creation of high quality feature animation is a key driver of success across many of its businesses and provides content useful across a variety of traditional and new platforms throughout the world.” (p.83) Not only do they consider feature animation important in its own right, but they see the multitude of possibilities that it creates in their other markets. Disney is already used to the idea of cross marketing, because they’ve existed across so many different forms of media for a long time already. I’m glad to see that they’re sticking to tradition in putting feature animation at the top of their priorities, because it has been proven to be their most successful endeavor as well as a valuable fuel for the rest of their departments.
Note: Page numbers are based on the print version of the Annual Report. To download a PDF copy, click on the tab labeled “Financials.”
tagged Disney_Channel animation cross-platform_marketing disney feature_animation high_school_musical movie_musicals television
by mjyasner
...on 13-MAR-07
TELEVISION; Oh, Grow Up, Mr. Ross - New York Times
Jacques Steinberg, October 22, 2006
In this article, Steinberg presents an inside look at the daily work of Mr. Rich Ross, president of Disney Channel Worldwide. He is at the head of the company responsible for what most children watch on television, not just in this country but all over the world. Mr. Ross often consults with an expert in the area of child audiences when making decisions about Disney’s television programming, that is, he has a family friend’s eleven year old daughter take a look at what Disney’s been working on and offer her opinion. But that anecdote is not meant to minimize his credibility. In fact, Mr. Ross has worked hard to keep up in the changing nature of children’s marketing, and he’s been quite successful. He was able to coordinate the publicity of “High School Musical” between Disney’s radio stations, magazines, and websites, which ended up as the perfect combination to create such a strong fan base. It’s nice once in a while to get a glimpse at what goes on in the boardrooms and the studios, and to see that the people running these major companies are just normal people who happen to love their jobs and be very good at them. But it may be fair to note that it seems Steinberg has gone a little far in praising what appear to be purely capitalist motives on the part of Mr. Ross, sugarcoated with idealism and altruism.
Mr. Ross seems to think a little more idealistically about the television shows than one would expect from the president of a huge moneymaking entertainment business. He values the fact that “High School Musical” and many of Disney’s other recent programs “share an unapologetic emphasis on traditional life lessons” just as the Disney programming of his childhood did. He wants music to be embedded within the storyline; he wants each episode to demonstrate strategies of problem solving when issues arise between friends or with parents. As an example of his desire not to condescend to his audience, the Disney Channel website now features a space where children can create mash-ups of their favorite episodes and have control over how they turn out. Steinberg presents this as a measure of Ross’ connectedness to his audience, but it seems more like Ross is just picking up on the user-generated content trend that has become prevalent because of the internet and the accessibility of video editing software. Since Mr. Ross feels that “High School Musical” is truly about kids anywhere and not just about Americans, he has traveled all over the world to bring the movie to as many countries as possible. My reaction to this statement is questioning whether he is doing all that traveling just for the sake of spreading the good messages in the movie, or to make more money in the international entertainment markets. Ross’ influence on the nature of the channel can certainly be felt when looking back to the days before he entered the scene. His leadership helped bring the Disney Channel into its current 90 million homes from a bare 15 million, and lead it to practically knock all other children’s television channels out of the competition.
Jacques Steinberg, October 22, 2006
In this article, Steinberg presents an inside look at the daily work of Mr. Rich Ross, president of Disney Channel Worldwide. He is at the head of the company responsible for what most children watch on television, not just in this country but all over the world. Mr. Ross often consults with an expert in the area of child audiences when making decisions about Disney’s television programming, that is, he has a family friend’s eleven year old daughter take a look at what Disney’s been working on and offer her opinion. But that anecdote is not meant to minimize his credibility. In fact, Mr. Ross has worked hard to keep up in the changing nature of children’s marketing, and he’s been quite successful. He was able to coordinate the publicity of “High School Musical” between Disney’s radio stations, magazines, and websites, which ended up as the perfect combination to create such a strong fan base. It’s nice once in a while to get a glimpse at what goes on in the boardrooms and the studios, and to see that the people running these major companies are just normal people who happen to love their jobs and be very good at them. But it may be fair to note that it seems Steinberg has gone a little far in praising what appear to be purely capitalist motives on the part of Mr. Ross, sugarcoated with idealism and altruism.
Mr. Ross seems to think a little more idealistically about the television shows than one would expect from the president of a huge moneymaking entertainment business. He values the fact that “High School Musical” and many of Disney’s other recent programs “share an unapologetic emphasis on traditional life lessons” just as the Disney programming of his childhood did. He wants music to be embedded within the storyline; he wants each episode to demonstrate strategies of problem solving when issues arise between friends or with parents. As an example of his desire not to condescend to his audience, the Disney Channel website now features a space where children can create mash-ups of their favorite episodes and have control over how they turn out. Steinberg presents this as a measure of Ross’ connectedness to his audience, but it seems more like Ross is just picking up on the user-generated content trend that has become prevalent because of the internet and the accessibility of video editing software. Since Mr. Ross feels that “High School Musical” is truly about kids anywhere and not just about Americans, he has traveled all over the world to bring the movie to as many countries as possible. My reaction to this statement is questioning whether he is doing all that traveling just for the sake of spreading the good messages in the movie, or to make more money in the international entertainment markets. Ross’ influence on the nature of the channel can certainly be felt when looking back to the days before he entered the scene. His leadership helped bring the Disney Channel into its current 90 million homes from a bare 15 million, and lead it to practically knock all other children’s television channels out of the competition.
belongs to Disney Musicals and Children's Entertainment project
tagged Disney_Channel cross-platform_marketing disney fans high_school_musical mash-ups
by mjyasner
...on 13-MAR-07