Mondelez International has revealed what it describes as a new, “fearless” marketing and media monetisation model, to allow the company to increase the return on investment of its global media spend.
The model will see the Oreo and Cadbury-owner form new media partnerships to acquire, develop and distribute content properties to build its ‘Power Brands’, which commanded over 80% of the company’s marketing support in 2015.
Mondelez believes that, by breaking even or making a profit with 10% of its global media spend, it will enable the company to make larger-scale investments by creating engaging and commercially viable content.
According to the firm’s chief media and e-commerce officer Bonin Bough, this is a model that serves the entire media ecosystem. “Make no mistake about it, this is the future of how brands and advertisers will connect with consumers and drive real growth,” he said.
“Capturing audience attention is more difficult than ever,” commented global head of content and media monetisation Laura Henderson.
“As audiences become more empowered to control their viewing experience, the old model of interruptive advertising is rapidly becoming irrelevant. This new approach will hold us to a higher standard of creating content that earns attention and is good enough to make money.
“By developing content that people want to watch, we can begin to monetize our investments, offsetting costs, improving return on investment and making our media spending more sustainable.”
As part of the new model, Mondelez is creating a collection of content across several formats, including a mobile game suite and ‘Stride Gum presents Heaven Sent’, a live event featuring a skydiver jumping from a plane. The snack maker is also teaming up with BuzzFeed for a “first of its kind” partnership involving food and recipe content, as well as the co-creation of a new content brand in the well-being area.
“As the media industry continues to evolve, BuzzFeed is evolving right alongside it,” added BuzzFeed global chief revenue officer Lee Brown. “Partnering with Mondelēz International allows us to combine our strengths in native advertising and develop content that resonates with our global audiences at scale.”