Global Marketing Success for OREO

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Many Americans have had the addictive snack called the “Oreo” and enjoyed every bite of it. When consumers think of Oreos they immediately equivalent this product with family and a fun treat category. Oreo has created this brand image that has appealed to the masses successfully for 100 years and has contributed to the “annual 5% growth in packaged food product” market (Stone). This success is the result of Oreo’s global marketing campaign where they have kept the same brand image and brand message across borders for their products. Oreo now sells their products to over 100 countries around the world also due to the fact that there is a growing middle class across borders (Stone). In the United States over the last 4 years annual Oreo sales has doubled, indicating that Americans are the biggest fans of snack (Stone). Overall, Oreo has found a marketing strategy that has allowed them to grow larger and larger to this day. One of the main results of their growth is that Oreo had to be split into 2 companies for operational efficiency. Those are the type of changes that occur to successful global companies.

 

In the video, Stone mentions that there are two consumer trends that have emerged from watching Oreo’s growth. One is the consumer return to an iconic classic and affordable indulgence for consumers. I found this fact very interesting and similar to Coca-Cola’s soda product. Oreo has created a brand that most people can attach to their childhood to the present. The Oreo product has produced a consistent satisfaction with all consumers which contributes to their overall success. As we all have seen, the world economy has been in a bad slump over the last half a decade. Even though the economy has changed, the consumer sweet tooth has not. Consumers still desire a tasty “cheat” treat but one that is also not going to break the bank, adding to the unhealthy guilt. Most would assume in this healthy generation that Oreo would suffer in sales. The opposite has occurred due to their affordable, competitive prices, their fun flavors, and the brand itself.

 

Additionally, we have to ask questions about the global strategy Oreo used to be successful globally. How did they incorporate the different cultures into the consistent brand message? How long did it take for other countries to understand the brand and what they stand for? What was unique about their marketing campaign that differentiated their product from national and global competitors?

 

Despite any struggles that Oreo has encountered, they have learned from it and have become nothing but better in the snack food market.  Will Oreo sustain their competitive marketing advantage for another 100 years or will another company take the lead? We will just have to wait and see.

http://www.businessweek.com/videos/2012-03-02/oreos-celebrates-100-years-with-marketing-campaign

 

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