Iger says he sees national advertising returning, though visibility is limited, and he doesn't see local ads coming back. But Iger isn't bogged down in the ad markets. He sees growth from Disney's content from other revenue streams, like international sales and digital distribution revenues. Iger admitted that the TV channel alone is challenged, but together with the content studio, it's a great value proposition.
Iger didn't hold back when it comes to the movie studio, blaming the disappointing results on bad content, plus a challenging market for DVDs. This kind of finger pointing is certainly easier now that he has shaken up studio management. So what does this new team need to do? First, they need to improve Disney's live-action movie slate, and figure out what the consumer really wants. The industry is facing more competition than ever, and pressure on the DVD business, so Iger says that cost control and strategic marketing is key.
While the theme parks have been suffering from the economic downturn and pullback in consumer spending, Iger points out that discounting strategies have kept attendance high. It's not just about keeping the parks hopping; he says this also brings in new visitors who probably wouldn't have gone to the parks at a higher price point. Iger is confident that now that people are introduced to Disney, they'll keep coming back. Now he's looking to China, and a park in the works in Shanghai, as a big driver of growth. He pointed out that 300 million people live within a two-hour drive of the park Disney's planning.