Kraft Heinz Partners with Google to Accelerate and Scale Ambitious Digital Transformation and Sustainable Innovation Agenda

Rhea-AI Summary

The Kraft Heinz Company (KHC) announced a multi-year strategic partnership with Google to enhance consumer understanding and digital transformation. This collaboration focuses on leveraging Google Cloud's data analytics and AI tools, enabling Kraft Heinz to innovate product development, enhance consumer engagement, and improve marketing efficiency. The company aims to shorten product time-to-market and personalize consumer experiences using insights from its new data platform. This partnership marks a pivotal step in Kraft Heinz's ongoing transformation efforts to meet evolving consumer demands.

Positive

• Strategic partnership with Google to enhance consumer insights.
• Investment in in-house digital capabilities for better product personalization.
• Utilization of AI and machine learning for improved product innovation and reduced time-to-market.
• Enhanced consumer engagement through a privacy-centric data platform.
• Increased marketing efficiency with Google Ads, improving view rates and reducing costs.

Negative

• None.

PITTSBURGH, CHICAGO and SUNNYVALE, Calif., Feb. 18, 2022 /PRNewswire/ -- The Kraft Heinz Company (Nasdaq: KHC) ("Kraft Heinz") and Google today 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.

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."

About Google

Google's mission is to organize the world's information and make it universally accessible and useful. Through products and platforms like Search, Maps, Gmail, Android, Google Play, Chrome and YouTube, Google plays a meaningful role in the daily lives of billions of people and has become one of the most widely-known companies in the world. Google is a subsidiary of Alphabet Inc.

About Google Cloud

Google Cloud accelerates organizations' ability to digitally transform their business with the best infrastructure, platform, industry solutions and expertise. We deliver enterprise-grade solutions that leverage Google's cutting-edge technology – all on the cleanest cloud in the industry. Customers in more than 200 countries and territories turn to Google Cloud as their trusted partner to enable growth and solve their most critical business problems.

About The Kraft Heinz Company

We are driving transformation at The Kraft Heinz Company (Nasdaq: KHC), inspired by our Purpose, Let's Make Life Delicious. Consumers are at the center of everything we do. With 2021 net sales of approximately $26 billion, we are committed to growing our iconic and emerging food and beverage brands on a global scale. We leverage our scale and agility to unleash the full power of Kraft Heinz across a portfolio of six consumer-driven product platforms. As global citizens, we're dedicated to making a sustainable, ethical impact while helping feed the world in healthy, responsible ways. Learn more about our journey by visiting www.kraftheinzcompany.com or following us on LinkedIn and Twitter.

 

View original content:https://www.prnewswire.com/news-releases/kraft-heinz-partners-with-google-to-accelerate-and-scale-ambitious-digital-transformation-and-sustainable-innovation-agenda-301485549.html

SOURCE Google Inc.; Google Cloud

FAQ

What does the partnership between Kraft Heinz and Google entail?

The partnership focuses on using Google Cloud's data analytics and AI tools to enhance Kraft Heinz's consumer understanding and accelerate its digital transformation.

What are the expected benefits of Kraft Heinz's partnership with Google?

The partnership aims to improve product innovation, enhance consumer engagement, and increase marketing effectiveness through data-driven insights.

How will Kraft Heinz use Google technologies for product development?

Kraft Heinz will utilize AI and machine learning from Google Cloud to gain real-time insights, drive food innovations, and shorten product time-to-market.

What is Kraft-O-Matic and its role in the partnership with Google?

Kraft-O-Matic is Kraft Heinz's new data platform that will help synthesize consumer insights to inform product development and business operations.

When was the partnership between Kraft Heinz and Google announced?

The partnership was announced on February 18, 2022.