Mondelez backs cross-brand tie-ups
Mondelez, which owns Cadbury, has pledged to increase the number of cross-brand partnerships it launches in 2013 as the snack business looks to leverage loyalty for its key brands amid tough economic conditions.
The snack company - the former confectionery arm of Kraft, says the move stems from a “mental shift” to wanting to sell its brands in multiple categories rather than continuing to focus on specific categories where they are already strong.
It will look to introduce new products to market that use combinations of its 15 core brands. These already account for 60 per cent of its revenue and are responsible for 100 per cent of its sales growth.
Last month, the business combined its Cadbury Dairy Milk and Oreo brands to create a new chocolate bar. The company says brands like Cadbury and Oreo are worth over $1bn each and that by combining their “brand equities” into new products Mondelez can always be top of mind for consumers in the snacking category.
A Cadbury variant of Philadelphia soft cheese was launched earlier this year by the former Kraft company, in its first move to bring brands together in innovative ways.
Chrystel Barranger, vice president of snacking and marketing services, says the innovation push is about offering a “complete menu of solutions to consumers and not just about getting people to eat loads of snacks.
She adds: “People want a healthy lifestyle and we’re taking this very seriously. We’re using using all our marketing channels from the packaging to in store promotions to educate our consumers on balanced snacking.
“Consumers are waiting for new solutions and invention when it comes to snacking and we can use the combined power of our brands to deliver that. The next step is to amplify this message and understand how we can communicate these brands better and through the right mediums. It’s not just about leveraging traditional advertising with snacking but also trying to connect with people where they are looking for new snacking solutions; be it outdoor or online.”