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Disneyland

SWOT Analysis of Disneyland
BusinessManagementMarketingSWOT & PESTLE Writing

Want to Read SWOT Analysis of Disneyland, USP, and Competitors?

by Shamsul February 21, 2022

SWOT Analysis of Disneyland, USP, and Competitors

 

SWOT is the most important tool to analyze the strengths, weaknesses, opportunities, and threats of a company like Disneyland. It covers both internal and external factors of a business that help the company set its targets. It also helps to identify the weaknesses and threats. So a company can mitigate these factors by making effective strategies. Disneyland is a big name with a unique selling proposition in the tourism & hospitality industry. Here is the detailed SWOT analysis of Disneyland:

Company Name: Disneyland Park

Founders: Walt Disney, Roy O. Disney

Founded: July 17, 1955

Headquarters: Anaheim, California, United States

Parent Company: The Walt Disney Company – Disney Parks, Experiences & Products

CEO: Bob Chapek (Feb 25, 2020-)

Type: Amusement Parks

Sector: Tourism & Hospitality

Tagline: Where Dreams Come True; The Happiest Place on Earth

Unique Selling Proposition: A wonderful amusement park for both children and adults.

Customers: Local and International Tourists

Target Consumers: High Income Group Families

Revenue: 67.4 billion US dollars (2021)

Net Income: 2.02 billion US dollars (2021)

Strengths of Disneyland – SWOT Analysis of Disneyland

  1. Disneyland is one of the most popular and indeed, it is the most prominent theme parks globally.
  2. In the sector of theme parks certainly, Disneyland is unbeatable in every category.
  3. According to reports, more than 150 million all around the world visit Disneyland Park every year.
  4. Disneyland has designed its theme park for both children and adults. Its offerings are very diverse, and it is one of the biggest strengths of Disneyland.
  5. More than 100000 people are working for Disneyland.
  6. When it comes to a brand recall value, Disneyland is the leader.
  7. Brand equity, brand backing, and also, visibility are some strengths of Disneyland.
  8. Disneyland and resorts are currently working in Shanghai, Hong Kong, USA, Tokyo, and Paris.
  9. The main aim of Disneyland is to provide a magical experience to its visitors. It is one of the huge strengths of the company.

Weaknesses of Disneyland – SWOT Analysis of Disneyland

  1. The company spends a huge amount of money to maintain its operations globally. Certainly, it is a weakness of Disneyland, and they must resolve it ASAP.
  2. Moreover, Negative feedback or controversies can harm the brand image and profitability of Disneyland.

Opportunities for Disneyland – SWOT Analysis of Disneyland

1- Growing tourism and travel can give so many growth opportunities to Disneyland. They have a chance to attract more customers from all around the world.

2- By building new attractions and introducing innovation in its offerings, Thus, Disneyland can achieve immense popularity.

3- Indeed, the company’s high brand recall value offers several opportunities in different ways.

4- Disneyland can give unique offers to its tourists in emerging economies to earn more revenues.

Threats to Disneyland – SWOT Analysis of Disneyland

1- Rising competition in the tourism and hospitality industry can impact the business performance of Disneyland.

2- New theme parks around the world can steal the limelight and visitors from Disneyland.

3- The tourism and hospitality sector is facing a severe crisis due to pandemics and economic recession. These factors can disrupt the business of Disneyland.

Competitors of Disneyland:

  1. Legoland
  2. SeaWorld Parks
  3. Six Flags
  4. Universal Studios
 
 

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Disneyland Hong Kong
BusinessManagementMarketingSWOT & PESTLE 

PESTEL Analysis of Hong Kong Disneyland Fantasy and Adventure

by Shamsul February 14, 2022

PESTEL Analysis of Hong Kong Disneyland

 

What is PESTEL? How you can use PESTEL Analysis of Hong Kong Disneyland?

PESTEL is an excellent tool for analyzing businesses by evaluating macro-environment factors like political, economic, social, technological, environmental, and legal. The impact of these factors is really big on a company’s overall business. The effect of geographical situation, socio-economic environment, and industry environment is also huge while doing PESTEL Analysis of Hong Kong Disneyland. Managers at Hong Kong Disneyland must examine the above factors to develop better business ideas and strategies.

Case Study of Hong Kong Disneyland:

This case study highlights the struggle of Disney throughout the years in different countries. Disney started its theme park in 1983 with the inaugural of Tokyo Disneyland. It was considered the most famous amusement park. After this enormous success, Disney tried to replicate another Disneyland in France. Disney opened Disneyland Resort in Paris, which gained more success than Disneyland in Japan. After that, Disney opened its third in Hong Kong, popularly known as Hong Kong Disneyland. They successfully adopted the Chinese cultural environment to make Hong Kong Disneyland successful in that region.

Importance of PESTEL:

The importance of PESTEL in the strategic planning process is immense, and it often requires five steps,

1- I am selecting the reason for Hong Kong Disneyland’s existence and mission, and vision.

2- Examine the Hong Kong Disneyland external competitive factors to investigate threats and opportunities. PESTEL is the most suitable tool for analyzing the external macro factors and gives a great chance to Hong Kong Disneyland to build a sustainable competitive lead.

  1. Identify the weaknesses and strengths of Hong Kong Disneyland.
  2. Making effective strategies that help to maximize its strengths and reduce weaknesses.
  3. Learn how to execute a strategy in the development of Hong Kong Disneyland.

Read Also: DISCOVER WHAT PESTLE ANALYSIS IS? ITS USES, AND APPLICATIONS

PESTEL Analysis of Hong Kong Disneyland

Political Factors – PESTEL Analysis of Hong Kong Disneyland

The impact of political factors in the overall business operation of Hong Kong Disneyland is huge. This factor is directly linked with investment strategies. It also has a crucial role in the cost of running a business to achieve long-term sustainability. Factors like armed conflict, law & order, governance, military coup chances, and democracy are some important political factors.

  • The governance system of a country indicates its stable political condition. In this kind of environment, it will be easier for Hong Kong Disneyland to make strategies and policies.
  • The overall record of Hong Kong is really great in signing treaties and agreements with global partners. It shows the consistency in rule and regulation, which creates a better opportunity for Hong Kong Disneyland.
  • After the incident of 9/11, companies like Hong Kong Disneyland are operating under the shadow of fear, such as terrorist attacks. It is necessary to invest in security and insurance in order to mitigate the loss.
  • Currently, Hong Kong is dealing with armed conflicts of neighboring countries. But, Hong Kong Disneyland has no connection with such armed conflicts.
  • Government regulations and deregulations impact the performance of Hong Kong Disneyland. Sometimes, government policies can benefit the company and sometimes not.
  • Change of government and policies are also important factors that fall under the political scenarios. If a government follows the rules and policies of the previous government, then it is really suitable for Hong Kong Disneyland.
  • In Hong Kong, plenty of government agencies works really hard to reduce the risk of nuisances. But, it also increases the operational costs of the company and getting clearances.
  • Both national and local governments can enhance the company’s growth in the short term. The company can employ it in its favor by taking advantage of the current political scenarios of the country.

Economic Factors – PESTEL Analysis of Hong Kong Disneyland

Besides political factors, economic factors have a significant impact on Hong Kong Disneyland. It involves various factors such as GDP, disposable income, inflation rate, etc., that directly impact Hong Kong Disneyland.

  • Due to forex risk, many companies like Hong Kong Disneyland have faced losses in the last few years. Hong Kong Disneyland must understand the forex risk in order to avoid big losses.
  • The stagnant household income and increasing consumption is leading to several problems in the United States. So, the concept of saving is totally diminished because people don’t have much to save. It is important for Hong Kong Disneyland to make useful strategies according to customer purchasing power.
  • The rise in disposable income also has a massive impact on companies like Hong Kong Disneyland. Hong Kong Disneyland can exploit this trend by creating various marketing campaigns.
  • In today’s era, people are more experienced and skilled. It gives an excellent opportunity to Hong Kong Disneyland to hire a skilled workforce in order to remain competitive in the market.
  • The increment in employment rate will affect Hong Kong Disneyland in two ways – it will increase its customer base, and secondly, it will create problems for the companies to hire skillful workers.
  • The change in the inflation rate can affect the need for Hong Kong Disneyland products. In case of a high inflation rate, Hong Kong Disneyland must increase the price of its products, which impacts its customer base. In such a scenario, cost-based pricing could be fatal for the company.
  • If the GDP growth rate is high, it indicates the growing demand of products in the country. Hong Kong Disneyland can utilize this trend and expand its business. It is essential to understand customers’ purchasing behavior before making any policy or strategy.

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Social Factors – PESTEL Analysis of Hong Kong Disneyland

The importance of social factors is considerable in PESTEL analysis. It involves various factors like demography trends, gender equality, societal norms, etc. These elements have a bigger impact on the country’s economic condition and the company’s performance too.

Hong Kong Disneyland

  • Hong Kong Disneyland needs to conduct ethnographic research to fully identify customers’ attitudes towards comfort. By identifying such things, Hong Kong Disneyland can make strategies accordingly to stabilize its business.
  • The focus on the health and safety measures indicates the manufacturing process and cost structure of products. Hong Kong Disneyland has strict standards for safety and health in emerging as well as developed economies.
  • Before stepping into a specific country or region, Hong Kong Disneyland must identify the social relation between society and government. For example, it is very tough for US-based health companies to make a place in the UK health system.
  • It is necessary to evaluate the education level of society before entering into it. If the education level is high, it means the chances for jobs are high, and you can easily hire a skilled workforce.
  • Before entering any country, Hong Kong Disneyland must identify its level of social awareness and social concerns. If it is high, then you will face immense pressure from pressure groups, individuals, and non-governmental organizations.
  • The birth rate is another good sign for the company for future demand.
  • By evaluating the level of societal issues, liberal nature, women’s rights, etc., you can easily decide whether this market or country is suitable for work or not.

Technological Factors – PESTEL Analysis of Hong Kong Disneyland

Having the latest technology enables you to gain a competitive edge over competitors in this modern era. It involves artificial intelligence, machine learning, analytics, and other tools. These things are necessary for the constant growth of Hong Kong Disneyland.

  • Hong Kong Disneyland should assess the production costs in which it operates. Technological innovation is a must for constant growth. Otherwise, you will lag in every segment.
  • It is essential to evaluate the intellectual property rights and patents protection before going to any country for doing business.
  • If a country is highly advanced in technology, then Hong Kong Disneyland should evaluate whether they can go with this fast pace of technology or not.
  • For the business model of Hong Kong Disneyland, e-commerce is one of the most critical factors. Due to this reason, they should see the e-commerce infrastructure before going to a new region or market.
  • Companies like Hong Kong Disneyland need to assess the legal position of intellectual property rights and other property rights.
  • China is leading in mobile payment services. Hong Kong Disneyland should evaluate a country’s local mobile payment process and the business model.
  • In order to deminish the risk of corruption at the local level, Hong Kong Disneyland should pay attention to the digitalization of several processes.
  • The penetration of the internet and mobile phone indicates the business model of that country. It shows the local business needs because small businesses are based on these two factors nowadays.

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Environmental Factors – PESTEL Analysis of Hong Kong Disneyland

Climate change, carbon footprint, ecosystem, and other eco-related concerns really matter nowadays. People are now more aware of the environment.

  • Before entering a new market, Hong Kong Disneyland must analyze the role of environment norms enforcement agencies to avoid any controversy in the future.
  • It is crucial to know the per capita carbon emission of the region or country. It will help Hong Kong Disneyland identify the country’s eco-related policies.
  • The influence of climate change can make or break the business performance of Hong Kong Disneyland. Sudden climate change will lead to problems in the supply chain and distribution.
  • It is necessary to identify the government policies regarding Paris Climate Agreement. If they are following the rules and regulations of the Paris Climate Agreement, then it is a great place for doing business.
  • To follow all guidelines, Hong Kong Disneyland must identify a country’s waste management policy. It will save Hong Kong Disneyland from many troubles and nuisances.
  • The impact of the environment will also affect the production cost of the products.

Legal Factors – PESTEL Analysis of Hong Kong Disneyland

Factors like entering the market, laws, and resolving any issue, fall under the legal category of PESTEL. If the legal system of a country is strong, then it provides plenty of opportunities for growing business.

  • First of all, uncover the employment laws of the country in order to run your business smoothly.
  • It is important to identify how much time a country takes to resolve a court case. It will save the company from several legalities and challenges.
  • Health and safety laws are also important for operating in a specific country. It requires to follow all the safety and health laws in order to prevent the risk of trouble.
  • In order to make effective and consistent decisions, Hong Kong Disneyland must evaluate how transparent is the judicial system of a country.
  • Hong Kong Disneyland must identify the security laws of the country.
  • Data laws are also crucial in order to work safely in a country.
 

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Is Walt Disney Marketing Strategy Effective to Become Entertainment King?

by Shamsul February 14, 2022

Is Walt Disney Marketing Strategy Effective to Become Entertainment King?

 

When it comes to American brands, Walt Disney is referred to as an icon. The product portfolio of Disney is really diverse. Disney is the hub of family entertainment from movies to radio, television, theme parks, and most loved products by adults and children. You can’t underestimate the scope and size of Walt Disney Company. It is a marketing genius and knows how to attract customers. As a result, the company is continuously growing due to its effective marketing strategy. This article will help you uncover some of the biggest marketing secrets of Disney that make the company affluent and successful in such a competitive environment.

Marketing Mix (4Ps) of Disney:

The marketing mix is an important factor that decides the competitive standing of Disney in different markets. This marketing mix is the mixture of four important factors as Product, Price, Place, and Promotion also referred to as “4Ps”. If a company successfully sets these four factors that can position itself in the competitive market which is filled with various giants like Time Warner, Viacom, Sony, and Comcast. Marvel and Pixar are some famous subsidiaries of Disney.

We analyze these four factors based on the business structure of Disney. It involves everything such as its resorts, mass media, retail industry, consumer items, parks, and entertainment.

Product Strategy:

As a global brand, the product offerings of Disney are endless. Most of its products or services are from entertainment and media. Several acquisitions have made the product portfolio of the company really diverse. Here are some products from different categories of Disney:

  • Studio Entertainment (stage plays, video content, motion pictures, and music)
  • Media Networks (radio, cable, and TV)
  • Resorts & Parks (themed hotels, Walt Disney World Resort, and Disneyland Paris)
  • Consumer Goods (video content, video games, books, magazines, comic books, and others)

Disney only had products from the entertainment and media sector in the past years. But, they evolved the company in the last few decades in the form of amusement parks, consumer products, attractions, and outlets. This portion of the marketing mix indicates the diversification of Disney products. The best thing is that Disney is unstoppable in all these sectors due to its genius business strategies at the global level. Moreover, further acquisitions will help to bring more services and products under its portfolio.

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Price Strategy:

It is a factor that can create a big impact on the business performance of a company. Disney sets the price of products on the basis of saturation, managerial concerns, development, business chances, and risks. Due to this reason, its pricing strategy in resorts and parks is different in different countries. Moreover, the company offers entertainment services at competitive prices due to the presence of other giants. Disney follows the following pricing strategy:

  • Market-oriented
  • Value-based

In a market-oriented pricing strategy, movies are the main concern. Resorts and parks fall under the value-based pricing strategy. Value-based pricing is mainly dependent on the behavior of the target audience. On the account of this strategy, multinational companies optimize their costs because they have to maintain marketing campaigns and brand reputation. In short, Disney is earning a huge sum of money every year due to its effective pricing strategy.

Place Strategy:

It highlights how Disney allocates its products in different countries. Currently, Disney is really active in the US, Paris, Hong Kong, and other parts of the world. According to the demand, Disney offers its products such as entertainment, parks, resorts, and consumer goods. For storing magazines, books, comic books, and other consumer goods, the company uses the following places:

  • Theaters
  • Disney stores
  • Official websites
  • Third-parties

It shows the place diversification of Disney. It allocates its movies via Apple, theaters, and other digital content distributors. Third-parties and licensees help to generate a big portion of its revenue like ESPN. Through this place strategy, It is reaching every corner of the world in a significant way.

Promotion Strategy:

This specific part of the marketing mix involves how Disney attracts customers through advertising or marketing. For this purpose, It uses various tactics, depending on the item or service being marketed. There is no doubt that marketing or advertising can create all the differences in the sales and revenues of a company. You can see Marvel movie advertisements as an example. Disney reaches its customers through various international and local marketing approaches such as:

  • Sponsorship
  • Advertising
  • Public relations
  • Direct selling
  • Sales promotion

Disney uses a traditional marketing strategy and it is one of its biggest strengths. The company exploits various traditional platforms for advertising its resorts, parks, and movies.

Direct selling is another important and effective strategy. Disney also uses sponsorships to propagate its products to all over the world. The company believes in a sales promotion strategy, and due to this reason, it gives special offers and packages to its customers. All these factors play a huge role in the success of the company.

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4 Key Marketing Strategies of Disney:

1- It Tells Stories That Inspire:

In the entertainment industry, Disney is considered the best storyteller. Its stories convey a specific message that describes one’s emotions. On the other hand, The company created several meaningful memes on various seasons and events to promote its films. These memes look funny but successfully convey a message. They teach their customers a specific lesson through stories and memes.

2- It Builds Disneyland and Disney World:

You can guess the brand’s recall value of Disney that every kid knows about. It is a dream of every kid to see Disneyland and Disney World. For children, these places are sacred and the credit goes to the marketing. Disney World and Disneyland are influencing kids all around the world by introducing new trends, themes, and events. This strategy entices customers to explore these attractions. Kids who love Elsa will definitely want to watch Frozen theme. It is a great tactic to entice the customers to come back and explore new themes. Disney World and Disneyland are more than a destination. Visiting these attractions will remain in your mind for years.

3- It Employs the Sentiment of Nostalgia:

Through their movies, video content, and other entertainment services, It has created an emotional impact on people. Disney is reviving some of its classics such as The Jungle Book. It is utilizing modern and advanced technologies to implement nostalgia in its services and marketing. Using nostalgia as a marketing tool is a great idea as it hits really hard on the mind of people. For example, we are living in the most modern era, but the craze of 90’s clothes, shoes, and bags is prevailing strong.

4- It Sticks to Its Themes:

Can you imagine Disney without any theme? The biggest strength of the king of entertainment is its themes. The best thing is that it still sticks to its themes. Its themes bring magic, dream, and elegance. There are a lot of themes that attract people all around the world every year. From Winnie-the-pooh to mickey and more, all are still alive in the hearts of kids as well as adults. When you explore it, you will feel like you are exploring a whole different world. It will be a memorable experience of your life. In short, Disney is clearly providing its voice to people in an effective way.

Some Examples of Marketing Campaigns of Disney:

DreamBigPrincess Campaign:

The connection of Disney with princess culture is beyond exception. It has represented its princess in a better way by running campaigns like #DreamBigPrincess. This campaign includes nineteen female photographers from fifteen different countries, creating good reputations of females like the youngest female to address at the United Nations. This was a very successful campaign on social platforms. Plus, it helps the company remove the stereotypical image from people’s minds about females.

The Jungle Book Reboot:

It has the ability to promote or advertise its films on a big scale. It created the Jungle Book in 2016 giving the company, actors, and production team immense fame. This classic cult, in a modernized way, helped the company to play with the emotions of people. It was the biggest box office hit and it shows the successful marketing tactics of the company.

90th Birthday Exhibition of Mickey Mouse:

In 2018, the company celebrated the 90th birthday of Mickey Mouse. They opened a wonderful art exhibition in honor of Mickey Mouse. This exhibition was a big hit as it includes artwork of several contemporary and classic artists. Besides such exhibitions, Disney is also collaborating with several fashions and footwear brands such as Forever21 and Vans. This will help the company to engage more customers in a better way.

Disney in the West End Summer Pop-Up:

The Lion King and Aladdin are some of the famous products of Disney that got immense fame. Recently, it opened a pop-up experience in the UK’s capital city to attract customers. This pop-up experience includes several puppetry shows, stage performances, and much more. It enabled the customers to experience some magic at lower prices.

Conclusion:

Disney has got immense fame, success, and reach, and we don’t have any doubt about it. Disney’s most significant plus point is its genius marketing and business tactics. This is the thing that separates the company from competitors. Disney is inspiring its customers through its unique offerings and products.

 
 

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