WalMart to buy Disney Stores?

[raidermatt]

While looking at other sites for rumors on the other minor goings on at Disney right now, I saw a rumor that WalMart was looking to make an offer to Disney for the Disney Stores, and that Disney was likely to say yes.

I saw it on a couple of sites, but there wasn't anything in the way of a verifiable confirmation, so I'm not bothering with a link.

Anyone hear anything on this?

[Tekneek]

That would be horrible. Walmart is a horrible company to be involved with. They have probably done more to drive down wages and benefits in this nation than any other corporation during the past 20 years. The scandals all across the country regarding them forcing workers to do OT "off the clock" were big news recently. They settled for millions of dollars. People hold up the founder as some genius, who is big-time rich, while they contribute paltry amounts towards employee benefits, and pay less than half their smaller competitors do. This would make The Disney Store even worse than it is now.

[mitros]

Amen to that!!

[Werner Weiss]

Anything is possible. But this rumor sounds like it might have come from someone's imagination. (I am not accusing Mr. raidermatt of anything.)

WalMart has never shown an interest in operating any sort of small-sized specialty stores in high-rent shopping malls. It's not what what WalMart does. It's not what they're good at. It's not what they understand.

[lucky_bunni]

Originally posted by Werner Weiss
WalMart has never shown an interest in operating any sort of small-sized specialty stores in high-rent shopping malls. It's not what what WalMart does. It's not what they're good at. It's not what they understand.

Actually, if you look into it, they have been toying with a couple of smaller-scale retail ideas in Europe. Their interests have mainly been in apparel and in a confection store concept. I wouldn't put it past them because I'm sure the price tag for the stores would be change Walmart could find in its sofa. Besides, has anyone seen the amount of Disney stuff is sold in Walmart stores? You could probably find more Disney stuff in a Walmart store than in a Disney Store. I'm not saying I even think this will happen, just making an arguement for why the rumor makes sense.

[CM Tinkerbell]

From what I've heard, Disney is not interested in selling to another large retailer. If the Disney Stores are sold, they are making sure that they still maintain a very large amount of control as to how the stores are run, the merchandise, etc. If they are sold to another retailer, they feel they will not have the sort of control that they would like. It's my understanding that they've been courting more "investment" types and not retailers.

[Grog]

You could probably find more Disney stuff in a Walmart store than in a Disney Store.
I was thinking the same thing. Over the past few years, I've seen way more Disney items (the kind people want to buy, not the stuff that's in the Disney Store now) at Wal Mart than at our local Disney Store. I don't know how much truth there is to this rumor, but I could see this working, because Wal Mart will probably bring back the adult sized clothing and collectibles that people want.

[deb305]

Frankly, all of Disney merchandising seems messed up. Back when the Disney stores first opened they carried high quality clothing, unique stuffed animals, unique costumes. Things rarely went on sale, and they style/quality of the products were very distinct from the few items being sold elswhere. Disney had tight control on their brand, and the Walmarts/Kmarts of the world sold only a very few cheap items.
Today the Disney Stores are filled with junk, and half of the toys can be bought at Walmart for much better prices. Also Disney went nuts and licensed the brand everywhere, there is actually a Disney Isle in our Walmart. Our thin size 5 daughter bought a Disney Ariel costume from Walmart, that didn't last a week before ripping.
Finally the Disney Store was a great place to buy good Disney clothes in larger sizes. No more, the highest they go is 2x, a very small 2x. Have you been to WDW lately, there seem to be more Pooh sized people (like me) than non-Pooh.!
The Disney Stores reflect what has gone wrong with all of Disney in the last 10 years. As long as they were a premium high quality brand in the (parks, stores, movies, etc) they did great. As soon as ME brought in management teams that get improved results by cost cutting (cheap new parks, reducing upkeep of current parks, lower quality merchandise, second rate television programing, etc),while maitaining high prices, instead funding real product growth, their customer base began eroding.

[DouglasF]

I just wanted to add my voice to what already has been stated. I doubt even if Wal-mart were to take over Disney's retail operation they would implement the changes that the Disney Stores need. Disney stores need to reintroduce products that would interest adults, not just five year old girls who need a "princess fix". Merchandising in the theme parks seem to do ok with products geared toward adults. Hey it's a major focus for Epcot! I just thought it was incredibly idiotic when I went to a Disney Store and they didn't even carry photo albums. Seemed like a no-brainer to me. I ended up going with Disney's Mail Order Division.

[Candlelady]

A few years ago Disney approched our company with the idea of carrying the Disney line in our retail stores. We ultimately declined. Disney was informed it would be too costly to redesign our stores to include their products and we did not want to 'stray' from our core product.
The truth of the matter is their products were not up to our standards.

When You Care Enough to Send the Very Best.;)

[Micca]

They could change the name of the stores to "Walt-Mart":p

[Grog]

They could change the name of the stores to "Walt-Mart"
Good one! :teeth:

[Planogirl]

Originally posted by Candlelady
A few years ago Disney approched our company with the idea of carrying the Disney line in our retail stores. We ultimately declined. Disney was informed it would be too costly to redesign our stores to include their products and we did not want to 'stray' from our core product.
The truth of the matter is their products were not up to our standards.

When You Care Enough to Send the Very Best.;)
If your company is the one that I think it is, I would definitely agree. :)

[exDS vet]

I think a Wal-Mart purchase of the Disney Store chain would be appropriate. Too many people are living in the past where DS is concerned. As a former Disney Store manager, I can tell you that the demise of that store has been and will eventually lead to it's permanent closure.

If any company can purchase the store and get the rights to sell Disney's exclusive product, they would be right to carry it in their own stores. Disney Store is nothing today. Sure, the company has boasted about their great Thanksgiving sales. Big deal! So did everyone else. We haven't heard much since, have we. And the sales were being compared to 2002, which wasn't much, considering the dismal comp sales they had to beat after 2001.

Disney Store was once a great business unit of TWDC. That history was just that during my tenure with the company. The upper management was horrible, and the product mix was on the decline.

Believe it or not, adult clothing does not sell at Disney Store. It never did, and it won't come back. As much as everyone cries about it, they all just need to get over that fact. Toys sell at Disney Store. Overpriced toys that you can buy anywhere else. I remember a time when DS merchandise was special. That all ended shortly after Paul Pressler went to Disneyland. Videos and DVD's sell at Disney Store, but they don't make any money on them. Disney pre-sells videos with those lithos and coupons just to get you to come back to buy overpriced toys.

If Wal-Mart or another large retailer buys the Disney Store chain, it will finally bring what many people have been waiting for. The closure of the Disney Store chain. Trust me, it won't be long before Disney Store becomes a memory, just like the Warner Bros. Store.

[Cruelladeville]

It's actually a smart idea for Walmart to buy out Disney, since they currently stock Disney merchandise. If they bought out the Disney Store then Disney's only retail outlet would be thru Walmart, and Walmart could force Disney to cut their costs further. When Walmart contracts with smaller companies to supply them, Walmart tells THEM how much they are going to pay per item, how it will be packaged, how it will be shipped, and when and which warehouse it will go to. Then it levies stiff penalties if all their demands aren't met once the contract is signed. Walmart is not a nice company to do business with. Walmart can ask whatever price that it wants to in its stores.

[nicurn]

I did notice that in order to buy any kim possible merchandise (with the exception of 1 pin in MGM studios and a few t-shirts at the disney store) I had to go to walmart. Kim possible (the disney channel character) is a walmart exclusive. (at least through christmas). maggie

[Tekneek]

Originally posted by Cruelladeville
Walmart is not a nice company to do business with.

Yep. They are a horrible company. They treat their employees far worse than their competition does. Since my wife and I finally read about how horribly that company is ran we have stopped doing any business with Walmart.

[exDS vet]

Originally posted by Tekneek
They treat their employees far worse than their competition does. Since my wife and I finally read about how horribly that company is ran we have stopped doing any business with Walmart.

Ever look into how the Disney Store is run and how they treat their employees? You might want to stop doing business with them as well.

[Tekneek]

Originally posted by exDS vet
Ever look into how the Disney Store is run and how they treat their employees? You might want to stop doing business with them as well.

A big difference would be that The Disney Store is not putting people out of work and driving down wages across an entire industry, like Walmart is.

[Jestocost]

America can be an…interesting…place. As Henry Ford said (paraphrased), I want to pay my employees enough that they can buy my cars. Today, people aren't willing to pay more, but they all want to earn more. As a result, manufacturing jobs have headed overseas, because what consumers are willing to pay rules the day in the end. (Don't tell me that if we paid more, people would be able to buy more, because that only means that products would cost more, so people would have to be paid more…)

As to Wal-Mart buying the Disney Stores, did the Disney Stores sell in a year what Wal-Mart sells in a day? I LOVE the Disney Stores, but I don't know that Wal-Mart would even have to announce the purchase, since it would not be material. It's just so far from the Wal-Mart business model that I can't imagine it.

Go Hens!

[Tekneek]

Times are going to be changing. As larger percentages of the population have their jobs offshored, or have wages cut by 4/5, people will begin to understand that how they spend their money has an effect on everyone else around them. Sure, it seems the bottom will have to fall out before they understand what is happening all around them, but it will happen. I think that when that day comes, Walmart and the tactics they have employed in all of their markets will also catch up to them.

[Peter Pirate]

Tekneek, for what it's worth we do not shop at Walmart anymore either (because of their neighborhood impact and desire to 'own it all') but I wonder if the others, Target, K-Mart, etc., don't have the same nationwide economic effect? (Am I being hypocritical?).

Currently my only other boycotts are Nike and Bongo's Cuban Cafe.

Nike for their labor practices as pointed out years ago to their ridiculous advertising salaries (Serena Williams, the racist tennis player, just rec'd a $40 million per year contract).

Bongo's because of their unxious owners Gloria & Emilio Estefan, who, once the Miami Sound Machine had a recognizable hit sound, fired ALL of the band members in favor of scale rate musicians so Gloria could reap all of the benifits...
pirate:

[mitros]

I have said this many times before, Walmart gets most of it's goods from China, so, by shopping at walmart, we are helping to support chinas prison {slave camps} system and build their huge military complex. And if you think that we don't have to worry about china,just wait. Of course. disney also sells mostly chinese made merchandise...check out the labels next time you shop there. :(

[Tekneek]

Originally posted by mitros
I have said this many times before, Walmart gets most of it's goods from China, so, by shopping at walmart, we are helping to support chinas prison {slave camps} system and build their huge military complex.

Most of the flags used in the US, as I understand it, come from China. I believe that is where the government purchases them from as well. I am not positive about the US government, but I know the State of Georgia buys them from China. The situation is way out of control.

[doombuggy]

Ever look into how the Disney Store is run and how they treat their employees? You might want to stop doing business with them as well.

I disagree with part of this statement. You sound a bit bitter to me. After 7+ years with the company, I'd give them more plus than minus. You want to talk about how an employer treats its employees, let me tell you about my other job................

[shirley 38]

I have worked for the Disney Stores for 9 years. I love working there.
We are treated very well and we are like a family.

I do however agree with the product we sell is not the best or for everyone.

When I started way back in 1994, we had at christmas time Annimate figures that moved, all kinds of watches, jewelry I could go on and on.

Our product now is not the greatest. But we have imporved with bringing in some adult clothing and infants clothing.

But there is nothing like working for Disney. It is a great experience.

[exDS vet]

Originally posted by doombuggy
You sound a bit bitter to me. After 7+ years with the company, I'd give them more plus than minus. You want to talk about how an employer treats its employees, let me tell you about my other job................
There's quite a difference between being bitter and being a realist. I'll admit that when I left TDS I was bitter. Not just at their horrible upper management, but at the trail of lousy business decisions that they made back then, and that they are still making today.

You are, or were obviously a non-management CM. I'm glad that you have been happy there, but (no disrespect intended) most part time CM's see the world of DS through rose-colored glasses. More often than I'd care to count, I spent my time explaining the real business world with my CM's and trying to clear-up their blurred vision where the company was concerned.

You sound like a dedicated, hard worker. You probably love your job, but after 7+ years with Disney, you might want to think about moving on, before you have no choice, because that's exactly what's going to happen not if, but WHEN the chain is either sold or closed.

And if you worked for the company that I now work for, you would realize the difference between DS and a great company.

[disney_parrothead]

I don't see a business parallel between Wal-Mart and Disney, but I do know one thing. Wal-Mart didn't get where it is today by luck. It does one thing well -- it gives the people what they want. If you want the highest quality product you can get, you avoid Wal-Mart like the plague. But if you want to pay pennies for paper towels and don't care whether they were made in USA or China or Mars, then Wal-Mart is the store for you. The truth is, Wal-Mart hasn't put a single store in this country out of business. THE PEOPLE who shop there, instead of those other stores, is what allowed this to happen.

One report I recently read said they made $244 billion last year. That money came from people who have one intention when they shop, and that is to save money.

Sorry ... on to my point. Wal-Mart may not take over the DS per se, but they may begin to have some special connection with Disney to sell their merchandise with some kind of exclusivity. And my guess is that Disney's merchandisers would then have to negotiate with Wal-Mart as to what price they will be paid. May God have mercy on them if that happens.

I guess it comes to this -- if your dear old Aunt Maggie wants to buy a stuffed Mickey, she probably doesn't care where it was made, but she DOES care how much it costs -- and THAT'S why she would buy it at Wal-Mart and not the DS.

My opinion only. Others may vary.

[exDS vet]

Originally posted by disney_parrothead
The truth is, Wal-Mart hasn't put a single store in this country out of business. THE PEOPLE who shop there, instead of those other stores, is what allowed this to happen.

I guess it comes to this -- if your dear old Aunt Maggie wants to buy a stuffed Mickey, she probably doesn't care where it was made, but she DOES care how much it costs -- and THAT'S why she would buy it at Wal-Mart and not the DS.

Thank you for two great points!

I am so tired of all of these people who blame large companies for putting the smaller ones out of business. The last time I looked, Wal-Mart was a business just like all of the others. People need to stop putting down large companies just because they are successful. Is it Starbucks Coffee's fault that over 25 million people go to their stores every week?

I encountered hundreds (if not thousands) of "dear old Aunt Maggies" when I worked at DS. And when it came to just about every item that we sold, they said that they could find it at their Wal-Mart, K-mart, Costco, etc. Most of us know that DS merchandise is exclusive to Disney, where all of the other retailer's Disney merchandise is still licensed by Disney to those retailers.

What makes more sense to you consumers? Purchasing a Disney Classics piece at Disney Store or a theme park for full price, or buying the same exact piece at Costco or on sale at your local WDCC dealer?

For me, if the piece is $275 at Disney and $150 at another retailer, Disney is losing the sale. And think about the mark-up on those pieces if retailers are selling it at such a low price. Disney never marks down WDCC pieces. They "MOS" (mark out of stock) those items and return them to the company, or even destroy them. That's their choice. Other retailers have an option, and many of them opt to reduce the price to move them. I have purchased most of my WDCC pieces at discounts of up to 90%. It pays to look around.

[PatMcDuck]

Just a quick comment on the stores, to ex-DS vet:

Adult product sold like gangbusters in Q1. And we sold a fair amount of it AT FULL PRICE. Even I was amazed......... It was a very successful re-entry into the adult market. Prior to this Q1, I also felt that we would never sell adult product except at 50-75% off. I was wrong.

The stores are better managed now than they were the last 2 years...........

[doombuggy]

What makes more sense to you consumers? Purchasing a Disney Classics piece at Disney Store or a theme park for full price, or buying the same exact piece at Costco or on sale at your local WDCC dealer?

You have found WDCC on SALE somewhere??? I have never been able to find these pieces on sale! What's your secret?

PS: you are correct in assuming that I am not a SM/ASM or lead. I have been (and still am) just a CM since 1996. I have worked in other retail outlets, though, in an assistant manger position.

[exDS vet]

Originally posted by doombuggy
You have found WDCC on SALE somewhere??? I have never been able to find these pieces on sale! What's your secret?

Here's the secret. You have to shop around, but there are bargains on WDCC out there. Most Hallmark stores are independently owned. Some of them are authorized WDCC dealers and they carry a surplus of these items. You probably know that many WDCC pieces don't move very fast. And once the supply exceeds the demand, they really stop moving. So these stores put them on sale. Especially the event pieces and some retired ones.

I found the Simba/Mufasa "Pals Forever" event piece at a Hallmark store for $75.00. I believe the retail for this one was over $250. Bambi, Amigo Donald and Medium Mushroom (Fantasia) all at 50% off retail.

Once I stumbled onto a 5th anniversary Charter member piece for WDCS (Steamboat Willie), at a collectibles store that was going out of business. I bought the piece for $50 and then turned around and sold it for $450.

Since you are a CM, I'm sure you know about Company D. Sometimes they have a surplus of WDCC peices too. I found the Disneyland special edition Mr. Toad set at the DL Company D store for $40.00. This retailed for $300.

Lots of other smaller retailers carry these pieces at discounts. I recently visited a store here in Phoenix that had their entire WDCC collection priced at 10% off. Big deal for a CM right. I'd assume you get the 35% discount now. But it's nice for others who don't normally see discounts on such product.

Happy searching

[Cheshire27]

.

[Xtine76]

Oh dear god I hope not! I can't stand walmart and I'd hate to see Disney associated with white trash central!!!

[mickey4ver]

Originally posted by Xtine76
Oh dear god I hope not! I can't stand walmart and I'd hate to see Disney associated with white trash central!!!

You are entitled to your opinion and can shop where you like, and NO I would not care to see Wal-Mart involved with TDS, but your comment above isn't very nice about those who choose/like to shop at Wal-Mart. :(

[tdsryan]

Forget the white-trash customers. What about the employees at Wal-Mart? I like to call them "Marties", kinda like carny folk. There are different types of Marties. The most prevelant type is the 18 to 25 year old girls with the 1980's overpermed hair or modified mullet cut. They are also usually knocked up. Then there are the disturbing old men at the front door. Don't even get me started on the chain gang... err... the flow team that stocks the store at night at the 24 hour Wal-Mart Supercenter by my house.

Low Prices (and IQs) Everyday!

[mickey4ver]

Again, regardless of what anyone thinks of who shops/works or feels about Wal-Mart, the above references really are quite unkind to be posting. JMHO

[patsal]

Some of the comments have been unkind, yet I will not do business with a company (Wal-mart) that pays their employees so little that even though they work full time they are entitled to benefits that come out of taxpayers pockets. I doubt it is worth my savings of a few dollars in the long run since my tax dollars have to supplement these workers incomes. I'd rather see no Disney store than one run by Wal-mart.

[IluvDisney326]

No, DISNEY CAN'T SELL TO WALMART
WHy would they? I haven't heard any reason to sell to walmart.

[mitros]

And don't forget those Rah! Rah! meetings they hold with the employees at different times of the day. They get all the employees to come together in some part of the store and tell them what a wonderfull job they are doing, then they all scream and cheer! {no extra money though} Talk about brainwashing!:crazy: :grouphug:

[DebbieB]

Originally posted by IluvDisney326
No, DISNEY CAN'T SELL TO WALMART
WHy would they? I haven't heard any reason to sell to walmart.

I can't understand why Walmart would want to buy the Disney Stores (nothing against the Disney Stores). It's just not their style. Walmart and Sams Clubs are huge standalone stores. They run them based on low prices by doing high volume at low expense. Why would they want a chain of small retail stores located mostly in malls? I just don't see how the stores would fit in with Walmart's overall business structure. I don't think the Disney Stores are making a huge profit where Walmart would want to jump over into that type of business. As said above, alot of people do not shop at Walmart/Sams because of their reputation with the treatment of their employees (and being non-union), why would Disney want their name associated with that?

[mobmilli]

That and they would have to compete with the catalog and disneystore online. I think if them buying disney stores is true, it's only to gain the rights and then to close them all, leaving Walmart only to carry disney merchandise??

[AnnaE4]

I have to agree with Cheshire27. Matter of fact, I was in her store today and bought several items! I have met several managers of this store over the years and they have all seemed upbeat and happy about working at the DS. I will miss the DS but I will miss the employees more and hope they find jobs at other stores I shop in so I can visit with them!

I'm trying to understand why there is talk about Wal-Mart taking over any Disney stores. It is my understanding that the Disney stores are closing one by one as their leases expire and will not be reopened. The one in my area is slated to close this month and then there will be no more DS in South Carolina!

I guess I'll just have to get my "Disney fix" by going to the extremely small gift shop at the HH resort or my twice a year trips to the catalog outlet in Jonesville, SC.

[Planogirl]

I'm a little surprised to see the unkind comments being made about Wal-Mart employees. It's one thing to dislike a company but to pick on the people that work there when some of them ended up there because of a bad economy? Many people who for various reasons can't find other work have ended up working there including a few DISers.

As for Wal-Mart buying the DS, I agree that I don't see how this would help Wal-Mart. I could see them buying the rights to sell Disney products instead. I hope that the Disney Stores survive somehow. :(

[exDS vet]

Originally posted by Cheshire27
I just want to ensure people don't keep receiving negative comments regarding the stores. Like so many things, it's all in the positive approach you take.

You are obviously very passionate about your job and even the company. Unfortunately there's not much that you can do about the negative comments, because they are all true. Those comments will continue until there is big change, or until DS is completly phased out. And the phase out is the only big change that I can see.

There's positive aproach and then there's denial. I think you might have a little bit of both. All all of your CM's going to be placed in other stores? Will anybody (including yourself) get a bonus or severance package for staying until the store closes? While I am sure you have some wonderful CM's, I don't believe for a minute that morale has not gone down with the knowledge that the store is closing.

When employees start talking about it themselves, and then you have the guests crying about the coming closure, it can only create negative morale.

When a store in my area was closing, all of the CM's were told that they would be placed in another store if they stayed until the store closed. Every CM stayed and three of them were placed in other stores. The rest were told that they would have to re-apply or that there were no openings. One of those CM's was a ten year DSvet who I was told was nothing but trouble. When I met with her, I immediatly noticed her passion as well as here realistic view of all things Disney. I hired her and then promoted her to Lead CM. She has since moved on to Disneyland.

Good luck to you and your team. I wish you nothing but the best in your post Disney career.

[nats]

It would be a disaster. Walmart is cheap in every way. Would their comercials show Mickey Mouse flying around and cutting prices.