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Nestlé Digital Organisation
Challenges and Opportunities
7 Februar 2013
Germany: $500.07
USA (North Carolina): $346
Japan: $317.25
Italy (Sicily): $260.11
Great Britain: $253.15   8
Kuwait: $221.45   9
Mexico: $189.09   10
USA (California): $159.18
Beijing, China: $155.06
Poland: $151.27
Egypt: $68.53
Mongolia: $40.02
Equador: $31.55
Bhutan: $5.03
Chad: $1.62
Global versus Local: Challenges and Opportunities
How is Nestlé structured?




             International
                                          Board

 330’000                                              Global
Employees                    Zones        SBU’s
                                                     Marketing

                                            Global
                              Markets                   Experts
                                            Brands

    83
                                           GM
 Countries
             Local




                                         Support       Mkt
                              BU
                                         Fonction    Services
   480
 Factories                   Marketing                  Experts
How to drive global digital expertise in a
       market driven environment
As local initiatives have a global reach?
It all started in 2010 with a crisis: KIT KAT
General Management decided to take action


Old     Corporate                       Consumer
      Communications                  Communications




              Corporate    Consumer
New         Communications
                         Communications


                       Digital Team
FMCG leader in leveraging digital and social media
                   to build brands and delight consumers
What




                                            Significant increase in:

                                                 % of media
         Consumer                                                       eCommerce              Quality
                           Media spend          impressions
        advocacy for                                                   presence and       consumer insights
                            efficiency           resulting in
        Nestlé brands                                                  performance          at lower cost
                                              consumer actions

        Implementation     Enhanced           Implementation       eCommerce-           Aggressive use
       of Brand Advocacy   Marketing Mix       of ‘Close the Sale’   ready brand           of listening tools
       the Nestlé way      Modeling (MMM)      toolkit, guidance     content, user         across markets
                           techniques and      and training          reviews and           and brands
        Proper            metrics                                   product
How




       resourcing of fan                        Realignment of      information            Exploit
       pages and online     Paid/Owned/       agency incentives                           Facebook
       communities         Earned media                               Dedicated           partnership for
                           optimization                              teams for key         insights and rapid-
                                                                     strategic partners    response concept
                                                                                           development
FMCG leader in leveraging digital and social media
                   to build brands and delight consumers
                                             Significant increase in:
What




                                                                Employee
         Food & Nutrition          Organic search              motivation,
                                                                                    Industry recognition
       Solutions and Services       performance             talent recruitment
                                                              and retention


        Aggressively scale       Develop relevant,        Smarter internal use    Continued excellence
       proven success models     sharable web content      of social media (Nest)   across all strategic
                                 and content strategies                             priorities and delivery
        Overhaul recipe                                    Digital Acceleration   imperatives for digital
       database engine to feed    Improve search          Team (DAT) to create
How




       all digital platforms     presence via efforts in   measureable, favorable    External
                                 eCommerce.                impression among         communication of
        Pursue relevant                                   current                  Nestlé digital
       multi-brand content                                 employees/recruits       achievements (e.g.
       initiatives                                                                  Facebook)
Different needs and objectives

                                                  FMCG leader in leveraging digital and social media
                                                      to build brands and delight consumers




                           What
                                                                                     Significant increase in:
                                                                                                            Food &
                                                               % of media                                   Nutritio                    Employee
                                   Consumer        Media                       eCommerce        Quality
                                                              impressions                                      n          Organic      motivation,    Industry
                                   advocacy         spend                       presence     consumer
                                                               resulting in                                 Solutio       search          talent      recogniti
                                       for         efficien                       and          insights
                                                                Consumer                                    ns and      performance    recruitment       on
                                  Nestlé brands       cy                      performance   at lower cost
                                                                 actions                                    Service                   and retention
                                                                                                               s




A global digital roadmap             
                                     Imple
                                     ment
                                     ation
                                                   
                                                   Enhanc
                                                   ed
                                                   Market
                                                                 
                                                                 Imple
                                                                 ment
                                                                 ation
                                                                                
                                                                                eCom
                                                                                merce-
                                                                                ready
                                                                                              
                                                                                              Aggressi
                                                                                              ve use of
                                                                                              listening
                                                                                                            
                                                                                                            Aggress
                                                                                                            ively
                                                                                                            scale
                                                                                                                          
                                                                                                                          Develo
                                                                                                                          p
                                                                                                                          relevan
                                                                                                                                        
                                                                                                                                        Smarter
                                                                                                                                        internal
                                                                                                                                        use of
                                                                                                                                                      
                                                                                                                                                      Continu
                                                                                                                                                      ed
                                                                                                                                                      excellen
                                     of            ing Mix       of             brand         tools         proven        t,            social        ce across
                                     Brand         Modeli        ‘Close         conten        across        success       sharabl       media         all
                                     Advoc         ng            the            t, user       markets       models        e web         (the          strategic
                                     acy           (MMM          Sale’          review        and                         conten        Nest)         prioritie
                                     the           )             toolki         s and         brands                     t and                       s and
                                     Nestl         techniq       t,             produc                      Overha        conten                     delivery
                                     é way         ues           guida          t                          ul            t             Digital       imperati




                           How
                                                   and           nce            inform        Exploit       recipe        strategi      Accelera      ves for
                                                  metrics       and            ation         Faceboo       databas       es            tion          digital
                                     Prope                       traini                       k             e                           Team
                                     r                          ng                          partners      engine                     (DAT) to      
                                     resou         Paid/O                       Dedica        hip for       to feed       Improv        create        External
                                     rcing         wned/                       ted           insights      all           e             measure       commun
                                     of fan        Earned        Realig         teams         and           digital       search        able,         ication
                                     pages         media         nmen           for key       rapid-        platfor       presen        favorabl      of Nestlé
                                     and           optimiz       t of           strateg       respons       ms            ce via        e             digital
                                     onlin         ation         agenc          ic            e                           efforts       impressi      achieve
                                     e                           y              partne        concept                    in            on            ments
                                     com                         incen          rs            develop       Pursue        eCom          among         (e.g.
                                                                 tives                        ment          relevan       merce.        current       Faceboo
                                     mun                                                                    t multi-                    employe       k)
                                     ities                                                                  brand                       es/recrui
                                                                                                            content                     ts
                                                                                                            initiativ
                                                                                                            es




        versus




     Market needs
3 main development pillars




     Best
                                           Digital
   practices      Education
                                          expertise
   & toolkits

                Efficient communication
DAT Digital Acceleration Team
Scope of work



                Training




       Community
                           Projects
       Management
Training




   KEY TRAININGS         PARTNER TRAININGS       INFORMATION SESSIONS

 Listening               Facebook              Digital Services Unit
 Community Management    Google/YouTube        Agencies
 Crises management       Apple                 Legal
 e commerce              Nielsen               HR
 BBNW                    Buddy Media/Vitrue    ...
 P.O.E. Media            Amazon
 Search                 …
 Mobile Marketing
 Brand Advocacy
 Digital Analytics
Community
Management




   Liaising with SBU/GMBs
   Creating of posts / managing agencies who create posts
   Responding to fan comments
   Answering fans
   Monitoring page/ potential issues
Projects




 Projects will vary by topic, need and
  deliverables
 Scope of work needs to be
  universally agreed
 Final presentation to key
  stakeholders
 Evaluation of projects (DAT and
  project owner)
DAT first learning
Positive:
• Network
• Career opportunities
• Training quality
• Image
Could be improved:
• Silo effect
• Variances in level of know how
• Involvement once back in Market
• Limited places
Scope of work for 2013:
• Setup of local / regional DAT
• Education curriculum for Marketing and Sales in Digital
• Setup of integrated media planning
• Agency relation development
• Support in Market digital organization
     • Recruiting
     • career development

• Toolkits & Guidelines rollout
• Collaboration tool rollout
What we see as best practice:
Digital Organisation Nestlé

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Digital Organisation Nestlé

  • 1.
  • 2.
  • 3. Nestlé Digital Organisation Challenges and Opportunities 7 Februar 2013
  • 19. Global versus Local: Challenges and Opportunities
  • 20. How is Nestlé structured? International Board 330’000 Global Employees Zones SBU’s Marketing Global Markets Experts Brands 83 GM Countries Local Support Mkt BU Fonction Services 480 Factories Marketing Experts
  • 21. How to drive global digital expertise in a market driven environment
  • 22. As local initiatives have a global reach?
  • 23. It all started in 2010 with a crisis: KIT KAT
  • 24. General Management decided to take action Old Corporate Consumer Communications Communications Corporate Consumer New Communications Communications Digital Team
  • 25. FMCG leader in leveraging digital and social media to build brands and delight consumers What Significant increase in: % of media Consumer eCommerce Quality Media spend impressions advocacy for presence and consumer insights efficiency resulting in Nestlé brands performance at lower cost consumer actions  Implementation  Enhanced  Implementation  eCommerce-  Aggressive use of Brand Advocacy Marketing Mix of ‘Close the Sale’ ready brand of listening tools the Nestlé way Modeling (MMM) toolkit, guidance content, user across markets techniques and and training reviews and and brands  Proper metrics product How resourcing of fan  Realignment of information  Exploit pages and online  Paid/Owned/ agency incentives Facebook communities Earned media  Dedicated partnership for optimization teams for key insights and rapid- strategic partners response concept development
  • 26. FMCG leader in leveraging digital and social media to build brands and delight consumers Significant increase in: What Employee Food & Nutrition Organic search motivation, Industry recognition Solutions and Services performance talent recruitment and retention  Aggressively scale  Develop relevant,  Smarter internal use  Continued excellence proven success models sharable web content of social media (Nest) across all strategic and content strategies priorities and delivery  Overhaul recipe  Digital Acceleration imperatives for digital database engine to feed  Improve search Team (DAT) to create How all digital platforms presence via efforts in measureable, favorable  External eCommerce. impression among communication of  Pursue relevant current Nestlé digital multi-brand content employees/recruits achievements (e.g. initiatives Facebook)
  • 27. Different needs and objectives FMCG leader in leveraging digital and social media to build brands and delight consumers What Significant increase in: Food & % of media Nutritio Employee Consumer Media eCommerce Quality impressions n Organic motivation, Industry advocacy spend presence consumer resulting in Solutio search talent recogniti for efficien and insights Consumer ns and performance recruitment on Nestlé brands cy performance at lower cost actions Service and retention s A global digital roadmap  Imple ment ation  Enhanc ed Market  Imple ment ation  eCom merce- ready  Aggressi ve use of listening  Aggress ively scale  Develo p relevan  Smarter internal use of  Continu ed excellen of ing Mix of brand tools proven t, social ce across Brand Modeli ‘Close conten across success sharabl media all Advoc ng the t, user markets models e web (the strategic acy (MMM Sale’ review and conten Nest) prioritie the ) toolki s and brands  t and s and Nestl techniq t, produc Overha conten  delivery é way ues guida t  ul t Digital imperati How and nce inform Exploit recipe strategi Accelera ves for  metrics and ation Faceboo databas es tion digital Prope traini k e Team r  ng  partners engine  (DAT) to  resou Paid/O Dedica hip for to feed Improv create External rcing wned/  ted insights all e measure commun of fan Earned Realig teams and digital search able, ication pages media nmen for key rapid- platfor presen favorabl of Nestlé and optimiz t of strateg respons ms ce via e digital onlin ation agenc ic e efforts impressi achieve e y partne concept  in on ments com incen rs develop Pursue eCom among (e.g. tives ment relevan merce. current Faceboo mun t multi- employe k) ities brand es/recrui content ts initiativ es versus Market needs
  • 28. 3 main development pillars Best Digital practices Education expertise & toolkits Efficient communication
  • 30.
  • 31. Scope of work Training Community Projects Management
  • 32. Training KEY TRAININGS PARTNER TRAININGS INFORMATION SESSIONS  Listening  Facebook  Digital Services Unit  Community Management  Google/YouTube  Agencies  Crises management  Apple  Legal  e commerce  Nielsen  HR  BBNW  Buddy Media/Vitrue  ...  P.O.E. Media  Amazon  Search …  Mobile Marketing  Brand Advocacy  Digital Analytics
  • 33. Community Management  Liaising with SBU/GMBs  Creating of posts / managing agencies who create posts  Responding to fan comments  Answering fans  Monitoring page/ potential issues
  • 34. Projects  Projects will vary by topic, need and deliverables  Scope of work needs to be universally agreed  Final presentation to key stakeholders  Evaluation of projects (DAT and project owner)
  • 35. DAT first learning Positive: • Network • Career opportunities • Training quality • Image Could be improved: • Silo effect • Variances in level of know how • Involvement once back in Market • Limited places
  • 36. Scope of work for 2013: • Setup of local / regional DAT • Education curriculum for Marketing and Sales in Digital • Setup of integrated media planning • Agency relation development • Support in Market digital organization • Recruiting • career development • Toolkits & Guidelines rollout • Collaboration tool rollout
  • 37. What we see as best practice: