Mondelez to overhaul in-store marketing

Mondelez is partnering with international retailers Tesco, Metro Group and Group Carrefour to overhaul how its brands are presented on the shop floor in a bid to drive impulse sales. 

Mondelez Brands
Mondelez to revamp in-store marketing.

The snacks business, which was spun off from its North American grocery counterpart earlier this month, claims the overhaul of its global approach to in-store marketing will “revolutionise” selling in the snack market.  

New store layouts are being developed around specific meal occasions such as breakfast or lunch to encourage consumers to purchase multiple Mondelez brands. 

It is hoped that once consumers have visited the branded hubs, the next time they purchase a Mondelez product, their previous experience with the brand resonates and influences the purchase decision. 

Speaking to Marketing Week, Tim Cofer, Mondelez executive vice president and president of Europe, says the business is investing like never before to redefine how it retails to shoppers on a day-to-day basis. 

He adds: “There’s a lot of impulse in snacking and so if we are not absolutely brilliant at the point of sale then we will not win. We can put out all the brilliant advertising we want on television and the Internet, but the single greatest point of exposure a consumer has with a brand is at the point of sale.  Sales is all about execution in-store and we need to become a powerhouse at this to be successful as a new business.

“In our recent meeting with Tesco it was about how we could get a more tailored offering throughout each of their different store formats. We want everything we do in Tesco stores in future to be about tailoring our activations to the consumption habits of shoppers using the insight we’ve built up.”

The initiative was piloted earlier this year across Europe through a scheme called ‘Early Morning Activation’, which placed its belvita biscuit brand at the centre of a series of in-store promotions. 

The company claims the scheme had a positive uplift in revenues during the first half of the year and plans to open it up to other supermarkets in the coming months. 
Mondelez is to use the strategy to try and boost gum sales, which have slowed to 3 per cent this year with gains in developing markets offset by weaker performances in Europe and North America. 

Krister Zackari, president of gum and candy at the company, says that gum is the category most affected by impulse sales at Mondelez, adding that the business is preparing several “new innovations” to make its Trident and Twist gum brands stand apart from market leader Wrigleys in 2013. 

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