Kraft Heinz Partners with Google to Accelerate and Scale Ambitious Digital Transformation and Sustainable Innovation Agenda
The Kraft Heinz Company (Nasdaq: KHC) ("Kraft Heinz") and Google announced a new, multi-year strategic partnership to strengthen Kraft Heinz's hyper-focus on understanding its consumers and offering them the products, experiences, and news they want most. From leveraging data and analytics technologies provided by Google Cloud, to enhancing the food giant's full-funnel marketing strategy with Google Ads, this partnership will scale Kraft Heinz's digital transformation as consumer behavior increasingly shifts online.
Photo by Pedro Durigan on Unsplash
In the last year, Kraft Heinz has made sizable investments in building in-house digital capabilities. In partnership with leading tech companies like Google, the packaged foods leader is focused on building a proprietary tech ecosystem of in-house tools that help synthesize data across its entire organization, helping Kraft Heinz deliver personalization at scale and better serve millions of American consumers.
Today, Kraft Heinz's transformation is at a pivotal moment, and the company is implementing Agile methodologies and digital solutions across its entire value chain to accelerate growth. Through the use of Google technology, Kraft Heinz expects to significantly strengthen consumer relationships and engagement by delivering personalized content at scale. The consumer packaged goods company will also use insights from its new data platform, named Kraft-O-Matic, to inform future innovation, product development, and business operations.
Kraft Heinz will use Google technologies in several key ways as part of its digital transformation:
- New Product Innovation, Development, and Deployment: By utilizing Google Cloud artificial intelligence and machine learning tools to drive real-time insights from data, Kraft Heinz will drive food innovations such as new flavors, new formulations, and new products, while also shortening time-to-market by greatly reducing the time it takes to decipher what consumers are looking for within a specific category or purchase channel.
- Improved Consumer Relationships and Engagement: Kraft Heinz will be able to better understand consumer behavior through insights from its privacy-centric customer data platform built on Google Cloud. Through insights driven by Google Cloud products, such as its BigQuery data warehouse product, Kraft Heinz will be able to use first-party data to personalize consumer experiences from call centers to in-store shopping.
- Greater Consumer-Centric Marketing and Media Effectiveness: By leveraging the reach and cultural relevance of platforms like YouTube and its creators, Kraft Heinz has changed the way the company builds relationships with consumers. The expanded partnership with Google will help Kraft Heinz further improve its media activations and efficiency in a privacy-centric way. For example, compared to the same time period the year prior, Google Ads was able to help Kraft Heinz significantly increase view rates and reduce CPMs last year. This enabled the company to better understand the consumer journey from owned through earned and paid properties, as well as in-store shopping and build more relevant messages and offers for the right purchase occasions.
"Our partnership with Google is a critical element of our ongoing transformation and reflects the deeper focus we're bringing to understanding and reaching our consumers in the moment," said Sanjiv Gajiwala, Chief Growth Officer, North America – Kraft Heinz. "Working with Google, we're building world-class digital capabilities and proprietary, privacy-centric data systems that will help consumers connect with our iconic Kraft Heinz brands on a whole new level through personalized offers and interactions. At the same time, we also expect to fast-track our innovation agenda by tapping into Google-powered insights around trending food conversations, shopping behaviors, and consumer demands – this is the future of food."
"Personalization at scale is what brands need to convert and retain consumers. Google Cloud's expertise in artificial intelligence and machine learning helps brands leverage predictive analytics and data-driven insights to make better decisions in a matter of seconds, driving creative and media effectiveness," said Giusy Buonfantino, Vice President, Consumer Packaged Goods at Google Solutions. "Building upon its excellent relationship with Google Ads, Kraft Heinz has chosen to partner with Google Cloud to accelerate its digital transformation by unlocking new channels of consumer growth in a privacy-centric way."
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