Aflac duck does deal with Disney

Posted on May 8, 2009 10:04 by Janet Conley

The Aflac duck sure knows how to take a calculated risk.

Aflac duck

This Saturday, the obnoxiously loudmouthed fowl is slated to appear in a commercial touting not just insurance but also the new Disney-Pixar film “Up,” which involves the rather dangerous idea of a flying house. He’ll also grace driver Carl Edwards’s racecar as it speeds around the track at the Southern 500 NASCAR race at Darlington Raceway the same day.

But it’s neither airborne disaster nor road rage the duck needs protection from. It’s anything that might, ahem, foul his image.

And supplying that kind of protection, in this multiparty promotional deal involving Aflac, Disney-Pixar, Roush Fenway Racing, Ford Motor Co. and driver Edwards, was Aflac Associate Counsel Jensen Melton’s job.

As sole counsel for Aflac, she worked with in-house lawyers from Disney-Pixar on contract, licensing and trademark issues surrounding the famous fowl.

“This [deal] was a little more complex than I’m used to in that we were taking some of our intellectual property, namely, the duck—and for me, my job is protecting the duck—and we were taking this beloved piece of property to another company and letting them animate it according to their process,” says Melton. “So from my standpoint, from an ownership standpoint, it was sort of a frightening thing.”

Easy to see why: Since the duck took flight as Aflac’s prime marketing tool in 2000, the $16.6 billion company’s brand recognition has grown from 11 percent to around 94 percent.

In the commercial, the duck is shown offering financial help to the hero of “Up,” Disney’s first 3-D film, about a balloon salesman who ties thousands of balloons to his house and, with an 8-year-old stowaway aboard, flies to South America.

“We had … creative control over the content of the commercial, so we knew, even though we were partnering with Pixar for custom animation … what the duck was going to be doing and what the voiceover theme would be,” she says.

Melton says Aflac has a license from Disney for the commercial. “There really isn’t a specific fees portion,” she says. “We addressed it from more of a promotional tie-in angle, as in what could we give each other, as opposed to a license fee issue. … A lot of it has not been monetarily based.”

According to Nielsen statistics cited in Adweek, Aflac spent about $80 million on U.S. media in 2008.

Aflac also has a deal with Roush Fenway to “wrap,” as the lingo goes, the Aflac 99 Ford Fusion racecar that Edwards will drive at the Southern 500 in duck- and Up-related graphics.

“When you get companies the size of Aflac and Disney-Pixar together, I thought this would be difficult,” Melton says. “But this was one of the easier contract negotiations we’ve had for it to be such a major deal.”

“Up” is scheduled to open in theatres May 29.


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Janet ConleyThe Deal Watch Blog is devoted to bringing you the latest news in business law in Atlanta, the Southeast and the U.S. The lead writer is Daily Report associate editor Janet L. Conley.

Janet L. Conley is an attorney who returned to journalism after practicing law with Akin, Gump, Strauss, Hauer & Feld in Washington and with the Georgia Legal Services Program in Atlanta.

During her tenure at the Daily Report, Janet, now the paper's associate editor, has covered law firm economics and management, business and federal courts. In 2007, she received the Georgia Associated Press Story of the Year award and the Atlanta Press Club’s Journalist of the Year award, both for small circulation newspapers, for "Green to Gold," a series of articles on how climate change will alter business and the law.

Janet has written for The American Lawyer magazine and the National Law Journal, among other publications. She also served as managing editor of GC South magazine.

Janet holds a journalism degree from Southern College and a juris doctor degree from the University of Pennsylvania. She lives in Decatur with her husband Mark Harper, also an attorney, and their three children.

She can be reached at jconley@alm.com.

Andy PetersThe contributing writer is Daily Report staff reporter Andy Peters.

Andy Peters has been a journalist since graduating from Furman University in 1992. A short list of the subjects he’s covered includes the Georgia state Legislature, the U.S. semiconductor industry, the Alabama-Florida-Georgia “water wars” litigation, the 1999 American Airlines pilots strike, Coca-Cola and PepsiCo’s battle to acquire the Gatorade sports-drink brand, indie rock music and high school football. Andy has written for Bloomberg News, the New York Times Web site, the Macon Telegraph, the Spartanburg (S.C.) Herald-Journal and the Atlanta Business Chronicle.

Andy has written the Deal Watch column for the Daily Report since March 2006. He was born in Chattanooga, Tenn. in 1971 and grew up in Ringgold, Ga. He lives in Decatur with his wife and two children.

He can be reached at apeters@alm.com.

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