Nestlé appoints OpenMind and Thrive after media pitch

Following a media pitch, Nestlé has appointed GroupM Malaysia’s OpenMind and IPG Mediabrands Singapore’s Thrive to manage media strategy, planning and buying duties.

Called in July this year, the media review involved a re-examination of ways to manage media strategy, planning and buying in line with the aggressive growth of digital platforms and evolving media landscape and agencies. Nestlé previously said that the review will help ensure the brand remains strongly-positioned and highly relevant in today’s fast-paced and competitive business environment.

With this appointment, Nestlé is making a return to GroupM in Malaysia since the review in 2018, prior to which Mindshare managed the duties for both Malaysia and Singapore.

Until September 2021, Nestlé’s organic growth reached 7.6%, with real internal growth of 6.0% and pricing of 1.6%. According to their financial statement, growth was supported by continued momentum in retail sales, steady recovery of OOH channels, increased pricing and market share gains.

Growth was broad-based across most geographies and categories. Organic growth reached 7.1% in developed markets, based mostly on real internal growth with positive pricing. In emerging markets, the organic growth was 8.3%, with robust real internal growth and positive pricing.

Southeast Asia experienced a slight negative growth in a difficult economic environment with movement restrictions. While sales in Malaysia grew at a high single-digit rate, Philippines saw a sales decline, also impacted by a high base of comparison in 2020. According to the company, Indochina posted low single-digit growth, with a decline in sales in on-the-go products and out-of-home channels.

In terms of product categories, the key growth drivers were culinary, coffee and Nestlé Professional. Sales in confectionery and ice cream grew at a high single-digit rate, with good sales momentum in Malaysia.

Dairy reported mid single-digit growth, led by strong demand for fortified milks. Infant Nutrition saw a sales decline, with growth turning positive outside of China during the third quarter.

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