Oreo maker Mondelez deploys AI tool to cut 30–50% costs

Mondelez, maker of Oreo, is deploying a new generative AI tool to cut marketing content production costs by 30–50 percent.

Developed in partnership with Accenture, the tool aims to create short TV ads ready for next year’s holiday season and potentially the 2027 Super Bowl. The company has invested over $40 million in the technology, which is currently used for social media content for Chips Ahoy in the U.S. and Milka in Germany, Reuters reports.

Unlike some rivals, Mondelez, which reported $36.4 billion in annual sales revenue in 2024, avoids human likenesses in AI-generated content. The tool also supports product pages for Oreo on Amazon and Walmart and will expand to other brands like Lacta, Cadbury, and Oreo in different regions. Human oversight ensures content adheres to rules against promoting unhealthy habits, offensive stereotypes, or manipulative messaging.

Mondelez is undergoing a digital transformation, investing heavily in artificial intelligence (AI), cloud infrastructure, and enterprise resource planning (ERP) to enhance operational efficiency and accelerate innovation.

Enterprise Resource Planning and Cloud Integration

Mondelez is undertaking a $1.2 billion, multi-year ERP and supply chain transformation in partnership with SAP, Accenture, and o9. This initiative aims to modernize its ERP systems and enhance supply chain operations across multiple regions by the end of 2028. Additionally, the company has entered a strategic partnership with Amazon Web Services (AWS) to advance digital innovation and cloud capabilities.

AI in Product Development

Since 2019, Mondelez has been leveraging AI to accelerate product development. A tool developed in collaboration with Fourkind (now part of Thoughtworks) uses machine learning to generate snack recipes based on desired characteristics such as flavor, aroma, and appearance, while considering factors like ingredient cost, environmental impact, and nutritional value. This approach has significantly reduced the time from recipe development to market, enabling the company to introduce new products more efficiently, New York Post reports.

Strategic Vision and Future Outlook

Accenture said Mondelez’s digital transformation strategy is centered around becoming an AI leader in the consumer goods sector. The company has developed a clear data and AI strategy, implemented a central data analytics service, and fostered a culture of digital fluency across the organization. Leadership support and a focus on talent development are key components of this transformation.

Rajani Baburajan