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Mondelez Leverages AI to Slash Advertising Expenses by Up to 50%

Mondelez Leverages AI to Slash Advertising Expenses by Up to 50%

Post by : Badri Ariffin

The renowned snack producer Mondelez International, parent company of Oreo and Cadbury, is embracing generative AI to revolutionize its advertising approach—anticipating a reduction in production costs ranging from 30% to 50%.

In partnership with Publicis Groupe and Accenture, Mondelez has launched a specialized AI tool, committing over $40 million to this initiative. The objective is to create marketing content more rapidly and economically while remaining responsive to consumer preferences.

As noted by Jon Halvorson, Mondelez’s global senior vice president of consumer experience, the AI framework is expected to generate short television advertisements ready for the upcoming holiday season and even for pivotal events like the 2027 Super Bowl.

From Social Media to Major Events

The AI solution is currently undergoing trials with significant brands. In the United States, Mondelez has begun utilizing AI-generated content for Chips Ahoy!, whereas in Germany, Milka features ads with waves of chocolate flowing over wafers, tailored with unique backgrounds depending on the viewer.

Cost efficiencies are considerable. Traditional animation productions that previously required substantial financial investment can now be completed at a fraction of these costs. The next phase will see Oreo employing the tool for product listings on Amazon and Walmart in November, followed by Lacta chocolate and Oreo in Brazil, and Cadbury in the UK.

Speed Meets Responsibility

Even as competitors like Coca-Cola and Kraft Heinz venture into AI advertising, Mondelez emphasizes a cautious approach. Every piece of AI-generated content undergoes human validation to prevent errors and misleading portrayals.

Mondelez’s internal protocols prohibit the depiction of unhealthy eating patterns, vaping, emotional manipulation, or offensive stereotypes. The brand is determined to keep its AI applications both innovative and responsible.

As leading global consumer brands contend with stricter budgets and evolving digital landscapes, Mondelez’s investment in AI could transform storytelling in the food sector—making it faster, more affordable, and smarter than ever.

Oct. 25, 2025 10:57 a.m. 1212

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