License Magazine - August 2007 - (Page 35) casestudy Back to High School Disney’s “High School Musical” scores an A with Wal-Mart in the critical back-to-school category. By Tony Lisanti The back-to-school (BTS) season has become one of the most competitive and most important selling seasons for U.S. retailers as they attempt to drive sales and gain momentum pushing into the crucial fourth quarter. In addition, licensing is playing a much bigger role during the BTS season as retailers continue to develop exclusive products in order to achieve the winning formula to attract customers. According to a study conducted for The National Retail Federation (NRF) by BIGresearch, BTS spending will reach $18.4 billion in the United States, an average of $563.59 per family of school-aged children. Wal-Mart is driving the competitive BTS business this season, not only with its exclusive and comprehensive licensing program with Disney Consumer Products’ “High School Musical,” but with aggressive price cuts announced last month on 16,000 products with an emphasis on the top BTS brands. “We know it’s tough right now and Americans are looking to us to provide the best value, and we will. Let there be no doubt—we mean business when it comes to price leadership,” says Bill Simon, executive vice president and chief operating officer, Wal-Mart Stores, U.S., about the program called “Operation Unbeatable.” “We’ll provide families savings where it counts, and continue to work closely with key suppliers, reduce packaging, and lower shipping costs as we steer this program through fall and beyond.” And while Wal-Mart is once again focusing on its low-price strategy, it is also attempting to be hip, cool, and on-trend to the important tweens segment. According to Ron Johnson, vice president retail development, gm, Wal-Mart, DCP, the “High School Musical” partnership program is a culmination of a vision, which began in spring 2003 when DCP established an office in Bentonville, Ark., near The “High School Musical” back-to-school program consists of more than 100 products in apparel, accessories, jewelry, electronics, toys, DVDs, games, books,and cosmetics. August 2007 www.licensemag.com 35 http://www.licensemag.com
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