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Mondelez seeks Facebook sales

News, 16 November 2015

NEW YORK: Mondelez International, the snacks giant, believes that Facebook could soon develop into its "largest single digital-selling channel".

Bonin Bough, the company's chief media/ecommerce officer, discussed this subject at Advertising Week 2015 in New York.

"We believe that, very quickly, Facebook will become our largest single digital-selling channel," he said. (For more, including details of how Philadelphia uses this channel, read Warc's exclusive report: Philadelphia feeds Facebook users – and boosts sales.)

As part of this process, Mondelez has formed an innovation "lab" with the social network, which will be responsible for tasks such as creating video content and testing various ecommerce solutions.

The tie-up will also see Mondelez and its agencies receive full-time support from a Facebook creative strategist, and the development of bespoke "e-learning" tools for the owner of Oreo, Cadbury and Honey Maid.

More broadly, Bough predicted that the innovation "lab" will become the "cornerstone of our ecommerce business", not least by helping to engage more consumers with video, especially on mobile phones.

In beginning to translate this alluring theory into marketing practice, Mondelez has turned to offerings like Philadelphia, its cream-cheese line.

"On the Philadelphia brand, over the past three years, we've shifted to about 40% of our spending on digital, the majority of that using Facebook," said Bough.

And this brand, he reported, has enjoyed a 5% uptick in performance – and "most of that is attributed to the work that we've done with Facebook."

Such results, continued Bough, "give us the confidence" to quantify the potential of ecommerce for the company in revenue terms.

"We believe that by 2020, we will grow a billion-dollar ecommerce business," he said. "We're excited to bring that to life."

Data sourced from Warc