KidZania: Spreading Fun Around the World

1. How is KidZania able to differentiate in the competitive entertainment market? What is

unique about KidZania’a offer?

Kidzania is differentiating by giving the Education plus entertainment concept without

rides and violence where the children are away from the electronic gadgets which every
parent want.

And kidzania has created a virtual world for children without any device.

KidZania has the franchise’s mostly form those who has relationship with the
environments themes such has traffic rules, citizenship, environment, health and
community.

Who are KidZania’s stakeholders? What do they contribute to the experience and what do they
receive in return?

There are mainly 4 stake holders , children &parents(60%), schools(30%) ,the malls near
the kidzania & the industry partners(10%)

For children it is an edu entertainment and they fulfil the dreams such as doctors , bankers,
etc

For parents it is a safe educational place includes children interaction , and they can see a
move or spend time in mall.

For schools it is a means of teaching “practical reinforced what was learned in class”.

For malls kidzania helped in differentiate the mall and generate traffic.

For industry partners – it’s a new communication channel for the next generation
customers and they can bring their products to children and families in an interactive way.

2. Is KidZania’s current strategy sustainable in the long term given the competitive
landscape?
Yes, to some extent due to the growing demand for the outdoor experience’s and the unique
ness of the kidzania’s economy however the penetration of the internet usage needs to be
considered for the long run .

3. If you were Xavier Lopez Ancona, which one out of the four alternatives namely opening
more parks, developing a different type of indoor park, expanding into the digital world,
and developing media content based on KidZania characters would you recommend to
the board of directors to position, consolidate and differentiate the brand? Discuss the
pros and cos of each of these four options to help you arrive at a decision. (Hint: Use
Ansoff Matrix to assess and discuss the four growth options).

Opening more parks –

Pros – increase the market share, new places and increase in the brand image.

Cons- takes 18-24 months to get it completed ~30mm which is marginally low than the
larger parks., direct local parks competition.

Different type of indoor park- small parks

Pros – due to limited growth to the original park model ,small parks in smaller cities , gives
a new markets and revenue .

Cons- doubtful on the second visit, no difference experience .

Digital world.-

Pros- growing industry and easy to reach customers beyond radar.

Cons- illegal in most markets to digitally advertise directly to children, no support form the
parent’s because of the online nature.