Coconut-flavored Oreo, you like?

Lynda C. Corpuz

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Coconut-flavored Oreo, you like?
52-year-old Mondelēz Philippines is doing its best to follow what the Filipino consumer wants, and innovates its global products to suit the local taste

MANILA, Philippines – Theirs is a global snacks powerhouse with well-known brands – Cadbury Dairy Milk, Cheez Whiz, Eden Cheese, Eden Mayo, Oreo, Tang, and Toblerone.

In the Philippines, the company has been known since 1963 as Kraft Foods Philippines, with a manufacturing plant in Sucat, Parañaque City. Following the global split of the whole Kraft Foods company, the company changed its name in 2013 to Mondelēz International, of which the Philippine unit is a part.

A year since he was appointed country head of Mondelēz Philippines, Ashish Pisharodi said it has been a challenge for a company and a brand like Mondelēz International to become relevant in the markets where it operates.

So in the last 5 months, Pisharodi shared that the 52-year-old firm is beefing up its well-known products to make them more endearing to the Filipino consumers.

Glocalizing the products

DELIGHT. Is Oreo your favorite cookie? It now comes in a new coconut flavor. This Oreo variety is sourced from Indonesia but the coconut is from the Philippines. Photo from Mondelēz Philippines

The ingredients for these brands may come from different parts of the supply chain anywhere in the globe.

But what makes these Mondelēz products “local” is that these are revamped with the Filipino consumers in mind.

“It feels like we’ve done 52 years of innovation for the Philippines for the past 5 months. There’s been a lot of action,” Pisharodi said.

For instance, is Oreo your favorite cookie? It now comes in a new coconut flavor, and is available for now in the country.

This Oreo variety is sourced from Indonesia but the coconut is from the Philippines – the “fruit of life” and one of the Philippines’ major agricultural and export products.

“Our local consumers, we know they love coconut. It’s something that we can’t do without here,” Pisharodi said. Oreo is also available in low-unit packs.  

Sweet-laced Tang powdered juice drink, which is imported from Thailand, also now comes in Filipino citrusy flavors of calamansi and dalandan. It is also now available in honey lemon.

Legacy brand Eden, a homegrown pioneer in the carton cheese category since the 1980s and the firm’s top product, are also now available in Eden Mayo and Eden Sandwich Spread in re-sealable spout and stand-up pouches.

Pisharodi shared that based on consumer feedback, they want their favorite Eden to be easily spread or packed for school or work meals and bring such to family outings. Eden is also now exported in yet minimal qualities to Thailand.

Its cheese spread product, Cheese Whiz, also now comes in sweet milky flavor, to make it more appealable to the kids’ palate.

Growing with the ‘sachet’ nation

These twists are proof of how the multinational firm is incorporating consumer sentiments in a bid to improve its offerings.

“Our local history and legacy have taught us to listen closely to what the Filipino consumer needs,” Pisharodi said.

Making Mondelēz products available in low-unit or multi-packs is also what the Filipino consumers are asking for.

Specifically, it is about helping moms apply portion control and monitor how much their kids are consuming, Pisharodi added.

For instance, Mondelēz products like Cadbury or Toblerone also come in bite-sized packaging, that can be easily grabbed from sari-sari (variety) or hybrid stores, like 24-hour convenience marts.  

While not giving numbers, Pisharodi said its growth in the cheese and powdered juice segments has been stalled though at the single-digit range for years now, and is expected to continue for the rest of the year.

Growth in powdered juice products like Tang is also volatile, partly due to seasonal factors, Pisharodi said.

To rebalance its portfolio, Pisharodi said the firm is aggressive in growing its biscuit brands Oreo, including Chips Ahoy and Tiger.

Chocolate products like Cadbury and Toblerone continue to post double-digit increases.

Mondelēz International holds the top position globally in biscuits, chocolate, candy, and powdered beverages, based on a Euromonitor study. It hit a $35-billion revenue in 2013. The Asia-Pacific market, which the Philippines is a part of, contributed 14% of that growth for the same period.

Overall, Pisharodi said Mondelēz will continue to listen to its consumers and apply its global expertise in snack-making.

“We have a strong commitment to listen to what our consumers need and give this to them,” Pisharodi said. – Rappler.com

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