Mondelez International advertising & marketing assignments

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Mondelez International is the global snacking group created at the end of 2012 by the break-up of the old Kraft empire. It is the undisputed global leader in biscuits, and joint #1 in confectionery alongside Mars. Following the split, the slimmed-down Kraft Foods retained a collection of well-established grocery products sold primarily in North America. Mondelez - with a wider global footprint - retained international rights to several of these, even after Kraft was itself acquired in 2015 by Heinz. (It still handles several beverage, cheese and grocery brands under license including Tang powdered beverages and Philadelphia cream cheese in international markets). However, the main Mondelez portfolio is built on three pillars of biscuits, chocolate and sugar confectionery. It contains the old group's vast cookie and crackers business, comprising the heritage Nabisco portfolio and the substantial Lu division acquired from Danone in 2007. Key brands include Oreo, Prince, Lu, Chips Ahoy, Ritz, Belvita and more. It also houses the extensive Cadbury confectionery division and the former Suchard chocolate brands in Europe, including the Cadbury masterbrand, Milka, Toblerone, Trident gum, Halls and others. However, not all of Mondelez' inherited brands fitted comfortably with the snacking strategy. In 2014, the group agreed to inject its international coffee brands (Jacobs, Kenco, Tassimo etc) into smaller rival DE Master Blenders 1753 to create joint venture Jacobs Douwe Egberts, now one of the global leaders in that sector. (It later swapped its stake for what is now 14% of Keurig Dr Pepper). Yet as a result of mercurial performance and currency headwinds, Mondelez is itself still under repeated pressure from activist investors pushing for a break-up of the business or sale to another similarly minded group, such as PepsiCo. Revenues in 2019 were $25.9bn, virtually unchanged in four years. The global Oreo brand, sold in more than 100 countries worldwide, alone accounted for $3.1bn in sales. After several years of equally flat group profit, cost-cutting has helped to lift earnings. Net income for 2019 was $3.9bn, the best to-date excluding previous one-off exceptional gains. Biscuits generated revenues of $11.4bn, chocolate $8.2bn, gum & candy $3.4bn. Kraft products still marketed under license from Kraft still contributed almost $3bn. EMEA is the group's biggest region, accounting for 38% of revenues, while North America contributed 27%. Dirk van der Put succeeded Mondelez architect Irene Rosenfeld as CEO in 2017.

Capsule checked 23rd October 2019

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Who are the competitors of Mondelez? In cookies, the main US competitors to Mondelez are Keebler (now a unit of Ferrero), Pepperidge Farm (Campbell's), Lofthouse and Little Debbie. In Europe, Mondelez competitors include McVitie's and Bahlsen. Main confectionery rivals include Mars, Hershey and Nestle. See Food Sector and Confectionery Sector for other companies

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Historical profile information for Mondelez

Recent stories from Adbrands Update:

Adbrands Daily Update 24th Nov 2020: S4 Capital's MediaMonks division secured another "whopper" assignment with the capture of content production across the entire Mondelez portfolio for North America, Latin America and the Asia-Middle East-Africa region, as well as global tech infrastructure and website development. Earlier this month, in its 3Q announcement, S4 had flagged up that a new major win was in the process of being finalised. It will share some of the spoils with a newly created Publicis Groupe entity Team Pop, which was given responsibility for content production in Europe. MediaMonks and Publicis competed for the brief against Accenture and WPP.

Adbrands Daily Update 20th Aug 2019: Mondelez completed its global creative review. The bulk of the group's business will be consolidated into WPP and Publicis Groupe, but Mondelez will retain a roster of "guest specialist" agencies to work on key brands. For the most part, confectionery as well as a small collection of powdered beverage and cheese brands still licensed from Kraft Heinz will be managed worldwide by Ogilvy, with support as required from other aligned WPP agencies such as David. However, VCCP retains its role on the global Cadbury brand as well as a few unspecified "local jewels" in the UK. Biscuits and gum brands will be handled worldwide by Publicis Groupe, with Digitas acting as lead agency, coordinating contributions from its various sister networks within Publicis Communications. But The Martin Agency will retain its role on the global Oreo brand while BETC will continue to handle the Lu biscuit portfolio in France and other Western European markets. Major losers in the review appear to be Martin's Interpublic stablemate FCB as well as Wieden & Kennedy which had managed several European confectionery brands; also BBDO and Romance in several European markets and French independent Buzzman.

Adbrands Daily Update 11th Mar 2019: Mondelez confirmed a creative review across its entire global brand portfolio. "We're constantly reviewing our practices and partnerships to ensure we're fit for the future," said a spokesperson. "With a new growth strategy and a new operating model, we're putting digital at the centre of our marketing approach and are in the early stages of evaluating our structure." The new operating model includes the creation of four separate regional chief marketing officers, while group CMO Martin Renaud oversees global brands. The roster currently houses a large number of separate agencies. Several key assignments are allocated at WPP's Ogilvy or Interpublic's FCB and The Martin Agency, but multiple other agencies handle smaller or regional accounts, including Wieden & Kennedy, VCCP and BETC.

Adbrands Weekly Update 18th Oct 2018: Ads Of The Week: "Ski / Garage". Chocolate and ultra-violence: they go together like, oh I don't know, fish and eggs or bacon and chips. Well, we have unusual tastes here at Adbrands. Wieden & Kennedy's Brazilian office launched a fabulous ad campaign earlier this year for Mondelez' chocolate snack Lacta, with superb animation from top local animation studio Lobo. The latest two spots take the ads' comic violence to wonderfully inventive new extremes to illustrate the explosive combination of biscuit, caramel and chocolate. Beware severed chocolate body parts and biscuity impalings.

Adbrands Weekly Update 9th Aug 2018: Mondelez concluded another set of regional media reviews. This too yielded a significant dividend for WPP's GroupM media division. Dentsu Aegis Network's Carat retained the business in the UK & Ireland, but was replaced by Mindshare in Australia & New Zealand; by Wavemaker in India and another as yet unidentified WPP agency in Japan. Publicis-owned Spark Foundry wins the business in China and South East Asia.

Adbrands Weekly Update 10th May 2018: Mondelez expanded its already vast cookie collection with the purchase of premium manufacturer Tate's Bake Shop, best-known for luxury "homemade" cookies and baked goods made with natural ingredients. The price tag is a generous $500m. It's the first big deal for new Mondelez CEO Dirk Van de Put, who took over from Irene Rosenfeld earlier this year. Tate's was founded in 2000 by Kathleen King - an earlier venture, Kathleen's Bake Shop collapsed following a legal dispute with her business partners - and has gone from strength to strength since she raised funding from private equity firm Riverside in 2014. Sales have reportedly quadrupled since then to around $65m this year.

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