American confectionary company Mondelez International recently signed a global deal with Google in order to accelerate their investment in digital video. Besides covering a substantial global upfront advertising commitment, the partnership, which is the company's most ambitious digital media deal to date (they have also made deals with Facebook and Twitter), will also cover content produced though YouTube's Brand Partner Program. This content will be produced in partnership with Fullscreen, the global youth media company, and will begin by featuring influential digital stars for its 'Sour Patch Kids' brand, but is considering taking this approach to other brands if it proves effective. The move backs the companies bid to shift 10% of its global spend (which is estimated to be around $200 million a year) to online video in 2014 and 50% by 2016. The deal, which was brokered by Starcom MediaVest, is far from a surprise, given the announcement earlier this year that Mondelez would be buying digital videos through Tubemogul's programmatic demand-side-platform (DSP).
The move backs the companies bid to shift 10% of its global spend (which is estimated to be around $200 million a year) to online video in 2014 and 50% by 2016
Bonin Bough, vice president of global media and consumer engagement at Mondelez, said the company “Believe video will be a key growth driver,” for their brands, which include such internationally renowned brands as Trident and Cadbury, and also feels that “Programmatic buying will play an important role in accelerating that growth.” He adds that “Today, 58% of consumers turn to digital platforms for their daily media consumption,” but believes there's still a “Digital divide” in their media spending that he hopes the Google deal will allow them to close.
About Mondelez International
Lucas Watson, vice president of global brand solutions at Google, finds the content being created by brands on YouTube inspiring, and says the partnership with Mondelez “Represents a significant commitment for the companies to accelerate digital brand building,” through similar content. Bough adds that the agreement further solidifies Mondelez Internationals commitment to digital and feels it showcases “A cutting-edge approach to video that will make media buying, creative production, data and analytics work together in real time and at a fraction of the cost.”
Mondelez International recently announced that it plans to build a $90 million, state-of-the-art biscuit plant in Bahrain
In related news, Mondelez International recently announced on its Facebook page that it plans to build a $90 million, state-of-the-art biscuit plant in Bahrain as part of their strategy to capitalise on the growing demand for their products in the EMEA region. The plant is expected to create hundreds of jobs in the area, and will be producing many of the company's most famous brands such as Oreo cookies and Ritz Crackers. Daniel Myers, Mondelez International's executive vice president, said the investment in Bahrain is part of their “Ongoing supply-chain reinvention plan," and that they are “Implementing several such initiatives around the world to capitalise on growing demand, while also reducing costs and improving productivity."
Benjamin Hiorns is a freelance writer and musician from Kidderminster in the UK who gets through a solid 20 Oreo cookies a week.
