Kraft Foods' Mobile Marketing Strategy
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Case Details:
Case Code : MKTG232
Case Length : 15 Pages
Period : 2008-2009
Pub Date : 2009
Teaching Note :Not Available
Organization : Kraft Foods Inc.
Industry : Consumer Packaged Goods
Countries : Europe; USA
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Introduction Contd...
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Based in Northfield, Illinois, Kraft is the largest food company in North America with sales in more than 150 countries worldwide.
Some of its well-known brands are Kraft cheeses and dressings, Maxwell House coffees, Oscar Mayer meats, Philadelphia cream cheeses, Nabisco cookies and crackers, Toblerone and Milka chocolates, and Tang powdered beverages.
For the year 2008, the company reported US$ 42 billion in annual revenues. Since the early 2000s, marketing through mobile phones had gained in popularity because of the value it delivered to the end consumers.
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CPG companies embraced mobile marketing and employed elements such as SMS alerts, mobile banner ads on targeted sites, mobile coupons, and mobile loyalty programs to promote their products.
At Kraft, the strategy was to demonstrate the values and attributes of Kraft's brands in an interactive way and provide consumers with relevant information such as recipes and nutrition information. The motive behind mobile marketing was to involve consumers and help them integrate the company's brands into their everyday lives.
In 2008, to respond to a reduction in consumer spending on packaged goods, Kraft adopted interactive marketing and decided to get onto the mobile Web by launching a mobile campaign in Germany in January 2008, to promote the launch of its new instant coffee brand called Jacobs 2in1. This was the first large-scale European product launch to use a mobile sampling campaign. The campaign was integrated with traditional media and allowed customers to request for samples and order products through their mobile phones...
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