- In an effort to push sales through retailers, Mondelez International is further delving into the e-commerce space with a plan to change its digital strategy in 25 countries, featuring "buy now" buttons in shoppable ads. Earlier in 2015, it tested e-commerce in Europe. The company set a target to double online revenue in the next several years.
- Adweek notes Mondelez and other CPG companies have had difficulty in the e-commerce space, considering a large majority of grocery sales are generated in physical locations.
- The digital video, social, and display platforms encourage consumers to purchase products with links to retailers like Peapod and Walmart.com. The purchased products can then ship from stores close by. "The role of our 'buy now' button is really taking the traffic that we have from the brand side to the retailer," said Cindy Chen, the company's global head of e-commerce.
Analysts told Adweek this could lead to further development in the space, as well as make headway in terms of product creation.
"I doubt that anyone at Mondelez or anywhere else thinks it will be groundbreaking or an enormous new revenue strategy, but it shows they're willing to test and learn," Forrester Research analyst Sucharita Mulpuru told Adweek.
"If you know that people have a higher propensity towards Double Stuf Oreos than regular Oreos at a specific time of year based on how they interact on your site, then you're in a much better position to start making decisions on product development, innovation, marketing and how you position your brand," added Gartner analyst Jennifer Polk.
E-commerce in the food sphere has a way to go, but with recent innovations in food tech disrupting traditional retail and distribution, it might be smart for companies to break into a less crowded space to get ahead.