By Cath Isabedra
The tide of consumer preferences has shifted distinctly towards healthier living, with an increasing number of people prioritizing well-being in their dietary choices. This transformation is reshaping industries, none more so than the global snack sector, which is now navigating the complex demands for products that are not only tasty but also nutritious and guilt-free.
The rising interest in health-conscious snacking springs from a broader awareness of how diet impacts overall health and well-being, compounded by an escalating global health crisis linked to obesity and non-communicable diseases. Consumers are increasingly seeking snacks that contribute positively to their health, driven by desires for better nutritional content, reduced caloric intake, and more natural ingredients.
However, the industry faces significant challenges in meeting these demands, including maintaining taste and texture with reduced sugars and fats, ensuring the affordability of healthier options, and overcoming logistical hurdles in sourcing and producing these innovative products.
In response to these challenges, Mondelēz leads the charge, crafting strategies that effectively address consumer needs while setting new standards for the snack industry. Through a combination of rigorous product innovation, strategic market adaptations, and a deep commitment to sustainability, Mondelēz is not just adapting to trends but actively shaping the future of snacking.
Tomás Centeno, Vice President of Strategy & Commercial Excellence for Asia Pacific, Middle East, and Africa (AMEA) at Mondelēz, offers an insider’s view into the company’s proactive strategies that are not just responding to but driving the revolution in healthy snacking.
What recent innovations has Mondelēz introduced to cater to the growing demand for healthier snacking options?
Recent data from our State of Snacking report revealed that 82 percentof Asia, Middle East and Africa (AMEA) consumers prioritize health-conscious decisions choosing snacks, which serve as vital health boosters, meeting needs like energy (82%), mood improvement (82%), and fitness goals (78%). We aim to empower consumers with contemporary well-being options and choices, Mindful Snacking habits and portion balance.
Through product renovations across the world, we work to reduce levels of ingredients like sugar and sodium. In Australia, we launched a new delicious 50 percent Less Sugar lollies range, under The Natural Confectionery Co. brand, which contains 50 percent less sugar compared to the average amount of sugar present in leading candy jelly products.
Additionally, below are some of examples of our efforts to enhance the nutrient profile of products across our portfolio in 2023:
- In India, we reduced sugar content by approximately 15 percent in our Bournvita biscuits and by about five percent in Oreo Chocolate.
- In the Middle East and Africa, we reduced sodium content in Oreo by around five percent in Morocco, and by approximately 30 percent in Saudi Arabia and United Arab Emirates.
We also enhanced the nutrient profile of certain brands through fortification. They include:
- Kinh Do mini savory cakes are now enriched with Vitamin A and Zinc.
- Tang now delivers approximately 100 percentof the recommended daily allowance of Vitamin C in India and the Philippines.
How is Mondelēz integrating technology to enhance the mindful snacking experience for its consumers? What strategies has Mondelēz employed to stay relevant and competitive in the rapidly evolving snack food industry?
We are at the forefront of leveraging cutting-edge technology to enhance the mindful snacking experience for our consumers. Through the integration of Artificial Intelligence (AI), data analytics and robotics, we are evolving our operations to meet changing consumer preferences and needs.
In India, Cadbury Celebrations introduced an AI-led initiative that lets users create customized birthday songs for their loved ones. The concept of personalized #MyBirthdaySong leveraged four types of Generative AI tools – namely AI generated lyrics, AI composed music, AI generates vocals and real-time generation of personalized songs to allow users to personalize ‘b’day songs’.
During the height of Covid lockdowns, we launched an innovative digital campaign during the Mooncake festival in Vietnam. The theme of the campaign was “Kinh Do Mooncakes, finely crafted to keep stories alive” and through AI technology, consumers were able to pass on their stories and traditions to the next generation by animating the faces in their family photos and recreating precious memories.
Another example would be the development of our AI-powered sales automation platform. This platform equips our sales teams with invaluable data-driven insights by analyzing historical sales data and understanding consumer preferences and purchasing habits – as a result, we can offer product recommendations tailored to each store.
Our recent State of Snacking report indicates that three-quarters of AMEA consumers are also interested in snacks tailored to their individual health and nutrition needs, while more than seven in 10 are keen on snacks allowing for personal customization, such as preferred flavors or ingredients.
By aligning our technological advancements with consumers’ desires for personalized snacking experiences, we are committed to meeting the diverse needs of our customers while driving innovation in the snacking industry.
Can you detail Mondelēz’s approach to nutritional transparency and how it impacts consumer trust?
We have been committed to providing clear and comprehensive nutrition labeling on all products globally, aligning with international standards. Portion size is a key ingredient for mindful snacking as consumers look to meet a variety of snacking needs.
Over seven in 10 AMEA consumers say they look for snacks that are portion controlled (74%). Our back-of-pack information includes essential nutrients per serving or per 100 grams, while front-of-pack labeling, such as calorie counts, provides quick headline information.
Additionally, we ensure that any nutritional claims are based on appropriate serving amounts and undergo rigorous regulatory review for accuracy and transparency.
As part of our Mindful Snacking strategy, we are also providing information about our products’ portion size as an addition to our labeling. This helps consumers to feel in control of their snacking choices without a sense of sacrifice.
To help consumers savor our snacks while they manage their calorie intake, we are expanding our range of individually wrapped Mindful Portion packs of 200 calories or fewer. For products that are not pre-portioned, our aim is to provide Mindful Portion information on the pack.
More than eight in 10 of those surveyed in our recent State of Snack report said they feel in control when moderating their snack portions (81%), while 75 percent percent stated that they would rather have a smaller portion of an indulgent snack than a bigger portion of a low fat/sugar alternative version, to help balance their diet and align with their healthy lifestyle.
Our goal by 2025 is to aim for up to 100 percent of net revenue through Mindful Portion Snacks – those in either individually wrapped mindful portion serving sizes or with mindful portion labeling.
In what ways is Mondelēz contributing to the global conversation on obesity and non-communicable diseases through its product portfolio?
People need simple and straightforward information to help them make dietary decisions that they believe are best for them and their families. So, we:
- Provide nutrition labeling on our products across global markets, according to applicable local laws and regulations.
- Where space permits and when permitted by law, include information on eight key nutrients: calories (energy), protein, carbohydrates, sugars, fat, saturated fat, fiber, and sodium.
- Deliver meaningful information at a glance through front-of-pack (FoP) and calorie labeling on relevant products.
- Call for a harmonized approach to food labeling and collaborate with industry peers, consumers, and health authorities.
What are the key challenges and achievements in Mondelēz’s journey towards sourcing ingredients sustainably? How does Mondelēz’s commitment to sustainability influence its product innovation and packaging strategies?
Consumers are thinking more critically about how and where their snacks are made. Many are making an effort to bring snacking closer to home by shopping locally to support small businesses (59%) and trying to buy snacks / brands that are made locally (49%). Organic snack seekers are motivated by the fact that those ingredients are better for the planet. The majority will also pay a premium for sustainably sourced snacks, especially those in Asia Pacific.
To make snacking more sustainable, we strive to understand risks and their potential impact, focus on opportunities to lead where we matter most, and drive change where the world needs it most. We set goals in these areas – and add new ones over time – to enhance our ambition, impact, and delivery at scale.
We have set clear 2025 goals that put us on the path to pursue bold long-term ambitions. Our ambition is to source our key ingredients – including cocoa and wheat – more sustainably and support more economically and socially resilient communities. These two ambitions mutually support and reinforce each other and are at the heart of our aim to create a future where together people and the planet thrive.
With this aim in mind, we’ve established the following goals: achieving a 100 percent cocoa volume for chocolate brands sourced through Cocoa Life by 2025 and attaining a 100 percent wheat volume required for Europe business biscuit production cultivated under the enhanced Harmony Regenerative charter by 2030.
Our strategic focus areas, goals, and ambitions map to the areas of our business best positioned to drive progress and are aligned to what we believe is significant to our long-term business success. They also support our vision to lead the future of snacking and our aim to reduce our environmental footprint and have a positive lasting impact on people and communities as we continue to grow.
Can you share insights into how Mondelēz measures the impact of its health and sustainability initiatives on brand loyalty and market share?
Mondelēz empowers healthy snacking with delicious, nutritious options. We offer portion control and prioritize responsible ingredients to promote mindful eating and informed choices.
To help consumers savor our snacks while they manage their calorie intake, we are expanding our range of individually wrapped Mindful Portion packs of 200 calories or fewer. For products that are not pre-portioned, our aim is to provide Mindful Portion information on the pack. We strive to guide mindful choices through partnerships with health experts in the ecosystem.
We continually strive to enhance the nutrient and ingredient profile of our snacks portfolio through efforts to reduce sugar, sodium and saturated fat content and use more whole grains, increasing fiber and micronutrients as appropriate. We do this while continuing to deliver delightful brand experiences, and partner with experts to advance technologies that support nutrient and ingredient enhancements.
Our public Responsible Marketing Position also reinforces that our marketing and labeling not only complies with all regulations and standards, but helps our consumers snack right.
We have a strong global Marketing to Children Policy that applies to every market where we do business.
“We do not advertise our products in any media where 30% or more of the total viewing audience is under the age of 13.”
Tomás Centeno, Vice President of Strategy & Commercial Excellence for Asia Pacific, Middle East, and Africa (AMEA) at Mondelēz
As a founding member of the IFBA, we work with others across the industry to support responsible marketing, including underrepresented communities, and have made a global pledge to the World Health Organization (WHO) in the areas of nutrition and responsible food marketing In addition, we have external and internal food marketing standards in place that provide additional guidance and are in line with the International Chamber of Commerce (ICC) Code of Advertising and Marketing Communication Practice and the ICC Framework for Responsible Food and Beverage Communications.
As one of the world’s largest snack companies, we live and breathe snacks – and we want to make them right for people and the planet.
We are guided by our values, and we follow through on our commitments of doing what is right for our consumers, right for our partners, right for our brands and right for the environment.
Looking forward, what are Mondelēz’s priorities in aligning its brand story with future trends in health, wellness, and environmental stewardship?
We’re strategically aligning our brand narrative with upcoming trends in health, wellness and environmental responsibility, including our commitment to exploring reusable, recyclable or compostable options, such as eco-friendly packaging. As the demand escalates for plant-based and alternative ingredients, exacerbated by climate change awareness and health consciousness, we’re investing accordingly.
Embracing nutrition literacy advancements, we’re also foreseeing a shift towards personalized, healthier diets.
As such, we’re also prioritizing clean labeling and ethical sourcing, meeting consumer expectations for transparency. Through these strategies, we hope to lead the conversation in promoting health, wellness, and environmental sustainability in the food industry
Tomás Centeno is the Vice President of Strategy and Commercial Excellence, Asia Pacific, Middle East & Africa (AMEA) for Mondelēz International and a member of the AMEA Leadership Team.
Tomás brings almost two decades of consumer business experience and most recently served as President for APAC Region at Dyson. In this role, he delivered exceptional business results and led the growth cycle for Dyson’s Asia business. He was also instrumental in leading the turnaround for Dyson’s Korea Business. Tomás also held the role of Managing Director for the Benelux region driving expansion and business model transformation.
Prior to Dyson, Tomás spent over six years at Philips, where he demonstrated deep commercial acumen, drove pricing levers, led customer P&L, and developed a strong leadership bench. He started his career at P&G and was primarily responsible for building deep foundations within the customer function through sales and account leadership roles in Europe.
Tomás is an Advisory Board Member for Enabling Leadership, a global non-profit fostering leadership skill in children.
Tomás is originally for Portugal and is married with two children. He holds a Master of Science in Civil Engineering from Instituto Superior Técnico. Outside of work, Tomás is active in sports, literature, and social activities.
This story first appeared in our “State of Snacking: Healthy, Tasty, and Indulgent” issue.