nestle has been on a multi-year journey to eliminate siled systems and stand up a unified IT backbone. Updated SAP S/4 HANA ERP Core. As part of this effort, the company is building a new operating model for its marketing function, which it calls the “future of marketing.”
This approach extends shared services, powers a company’s content studio, and uses technology to improve the quality of marketing, ensure consistency, and speed up efforts. This includes moving from more than 400 brands with media support in early 2024 to just 150 brands in 2026.
Additionally, it is supported by a company-wide upskilling program enabled by advanced analytics.
“These changes will bring together deeper consumer insights, innovation and marketing,” CEO Philippe Navratil said on a recent earnings call. “This also has clear financial implications, freeing up resources that can be reinvested behind our growth platform.”
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Navratil said Nestlé’s marketing capabilities are not unified or promoted as a global program. This has led to fragmented innovation, such as the company’s US brand Orgain.
”[It’s] “It’s a strong brand when it comes to nutrition, especially protein, but somehow we weren’t working together in the right way and we weren’t able to launch this brand outside of the United States because we weren’t collaborating in the right way. That’s what the new organization could definitely do better in order to bring great ideas and great brands from one place to another,” he said.
The streamlined approach allows Nestlé to leverage data to improve overall communication and turn insights into innovation using a science-backed R&D backbone.
