Mondelez International, which owns many consumer brands, is working with other brands in new content creation partnerships to impact hard-to-reach-audiences.
Mondelez International is making moves to create more video with content creators in the wake of declining traditional advertising. Harder-to-reach audiences and higher advertising costs have led the global snacks maker to try new awareness and branding tactics.
One of its first forays into this new media monetization model is a promotion for its brand Stride Chewing Gum. On July 30th, Mondelez will broadcast on the FOX network a 60-minute skydiving event with well-known skydiver Luke Aikins, where he will jump out of plane without any gear on his back, and land safely back to earth.
According to Advertising Age, Mondelez and BuzzFeed are also partnering on new original content brand projects, while also looking at branded mobile apps and games, including one for its Sour Patch Kids brand expected in autumn 2016.
These moves are transforming Mondelez into more of a media company. But instead of investing in its own video and content resources, the company says it’s looking to partner with studios, content creators and other content creation experts. And it will create compelling content that it can then sell to outside distributors and broadcasters, and create revenue streams for its brands and the company.
“Consumers are consuming more media in more places than ever before and it’s more difficult than ever to reach them,” a Mondelez executive told the Wall Street Journal. “The audience is in the driver’s seat choosing when, how and where to watch content. They can skip ads, block ads and avoid ads in their entirety. Advertising is no longer an assumed part of the content consumption equation. It’s wreaking havoc on the economics of the industry.”