Mondee Holdings | research notes

Mondelez International: A Global Powerhouse in the Snacking Industry

Introduction

Mondelez International is a multinational snack food and beverage corporation with a global reach. Headquartered in Chicago, Illinois, the company is a leader in the confectionery, biscuit, and beverage markets, with a vast portfolio of iconic brands.

History

Mondelez International was formed in 2012 when Kraft Foods Inc. split into two separate companies: Kraft Foods Group and Mondelēz International. The company's roots can be traced back to 1903, when Kraft Foods Inc. was founded. Over the years, Mondelez has acquired numerous brands and expanded its operations worldwide.

Brand Portfolio

Mondelez International boasts a diverse portfolio of over 80 brands, including:

• Confectionery: Oreo, Cadbury, Milka, Toblerone
• Biscuits: Nabisco, Chips Ahoy!, Ritz, Belvita
• Beverages: Tang, Kool-Aid, Capri-Sun

Global Presence

Mondelez International operates in over 150 countries and employs approximately 80,000 people worldwide. The company has manufacturing facilities, distribution centers, and sales offices across the globe.

Mission and Values

Mondelez International's mission is "to empower people to snack right." The company focuses on providing consumers with quality snacks that meet their needs and preferences. Its core values include integrity, passion, diversity, innovation, and empowerment.

Sustainability

Mondelez International is committed to sustainability and has set ambitious environmental and social goals. The company aims to reduce its carbon footprint, source ingredients sustainably, and promote well-being in its communities.

Financial Performance

Mondelez International is a publicly traded company on the NASDAQ stock exchange. The company has a strong track record of financial performance, with consistent growth in revenue, earnings, and share price.

Innovation

Innovation is a key driver of Mondelēz International's success. The company invests heavily in research and development to create new products and improve existing ones. Some recent innovations include the launch of Oreo Thins, Cadbury Dairy Milk Silk, and the introduction of plant-based snacks.

Outlook

Mondelez International is well-positioned for continued growth in the global snacking industry. The company's iconic brands, global presence, and commitment to innovation provide a solid foundation for its future. As consumers continue to seek out convenient and enjoyable snacks, Mondelez International is poised to meet their needs and drive further success.

Mondelez International is a multinational snack food and beverage company headquartered in Deerfield, Illinois, United States. It is the world's largest snack company, with annual revenue of over $26 billion.

Business Model

Mondelez's business model is based on the following key elements:

• Global presence: The company operates in over 150 countries and has a portfolio of iconic brands, including Oreo, Nabisco, Cadbury, and Milka.
• Product diversification: Mondelez offers a wide range of snack foods and beverages, including cookies, crackers, chocolates, candy, coffee, and tea. This diversification helps to mitigate risk and capitalize on different consumer trends.
• Innovation: The company invests heavily in research and development to create new products and improve existing ones. This innovation helps to keep Mondelez ahead of the competition and meet changing consumer demands.
• Strong brand portfolio: Mondelez's brands are some of the most recognized and trusted in the world. This strong brand portfolio gives the company a significant competitive advantage.
• Efficient supply chain: The company has a highly efficient supply chain that helps to keep costs low and ensure that products are delivered to consumers fresh and on time.

Advantages to Competitors

Mondelez has several advantages over its competitors, including:

• Scale: Mondelez is the largest snack company in the world, which gives it a significant cost advantage over smaller competitors.
• Brand recognition: Mondelez's brands are some of the most recognized and trusted in the world, which gives it a competitive advantage in attracting and retaining customers.
• Product innovation: Mondelez invests heavily in research and development to create new products and improve existing ones. This innovation helps to keep Mondelez ahead of the competition and meet changing consumer demands.
• Strong distribution network: Mondelez has a strong distribution network that reaches over 150 countries. This gives the company a competitive advantage in getting its products to consumers in a timely and efficient manner.

Outlook of Mondee Holdings

Financials:

• Strong financial performance: Mondee Holdings has consistently reported robust growth in revenue, operating profits, and net income over the past few years.
• Healthy margins: The company maintains high operating and net profit margins, indicating efficient business operations and cost management.
• Solid balance sheet: Mondee Holdings has a strong balance sheet with minimal debt and ample cash reserves. This financial strength provides the company with flexibility for growth and acquisitions.

Operations:

• Diversified portfolio: The company operates in a diverse range of consumer products categories, including tissue, hygiene, and personal care. This diversification mitigates risks associated with any single product line.
• Strong brand portfolio: Mondee Holdings owns several established brands, such as Vinda, Tork, and Okay, which have strong market positions in various regions.
• International presence: The company has a significant global footprint, operating in over 100 countries. This international reach provides growth opportunities and reduces dependence on any single market.

Industry Trends:

• Growing demand for hygiene products: The increasing awareness of hygiene and sanitation has led to a growing demand for tissue and hygiene products, which benefits Mondee Holdings.
• E-commerce expansion: The rise of e-commerce is creating opportunities for Mondee Holdings to expand its reach and offer its products online.
• Sustainability and eco-friendly products: Consumers are increasingly demanding products with environmentally friendly features, which aligns with Mondee Holdings' sustainability initiatives.

Growth Drivers:

• Product innovation: Mondee Holdings invests heavily in research and development to introduce new products and meet evolving consumer needs.
• Expansion into new markets: The company is actively pursuing growth opportunities in emerging markets with high demand for hygiene products.
• Acquisitions and partnerships: Mondee Holdings has a history of making strategic acquisitions and forming partnerships to enhance its product portfolio and geographical reach.

Risks and Challenges:

• Economic downturns: Economic slowdowns can impact consumer spending, potentially affecting Mondee Holdings' sales and profitability.
• Competition: The consumer products industry is highly competitive with numerous established and emerging brands.
• Raw material costs: Fluctuations in raw material costs, such as paper, can affect the company's margins.

Overall:

Mondee Holdings has a strong outlook with solid financials, a diversified portfolio, and a track record of growth. The company's commitment to innovation and expansion, coupled with favorable industry trends, positions it for continued success in the consumer products market.

Similar Companies to Mondee Holdings

1. Keurig Dr Pepper

• Homepage: https://www.keurigdrpepper.com
• Reason customers may like it: Keurig Dr Pepper is a leading beverage company with a wide variety of products, including coffee, tea, soda, and juice. Its Keurig brewing systems are popular among consumers for their convenience and wide selection of coffee pods.

2. The Coca-Cola Company

• Homepage: https://www.coca-colacompany.com
• Reason customers may like it: The Coca-Cola Company is one of the world's largest and most recognized beverage companies. Its iconic Coca-Cola brand is a global favorite, and its other products include Sprite, Fanta, and Dasani water.

3. PepsiCo

• Homepage: https://www.pepsico.com
• Reason customers may like it: PepsiCo is another major beverage company with a wide range of products, including Pepsi, Mountain Dew, Gatorade, and Tropicana juice. Its Frito-Lay snacks division is also a major player in the snack food industry.

4. Unilever

• Homepage: https://www.unilever.com
• Reason customers may like it: Unilever is a multinational consumer goods company with a wide range of products, including food, beverages, home care, and personal care. Its brands include Dove, Ben & Jerry's, and Lipton.

5. Procter & Gamble

• Homepage: https://www.pg.com
• Reason customers may like it: Procter & Gamble is a global consumer goods company with a wide range of products, including laundry detergent, dish soap, toothpaste, and shampoo. Its brands include Tide, Dawn, Crest, and Head & Shoulders.

History of Mondelēz International

Origins and Early Years:

• 1847: James L. Kraft founds J.L. Kraft & Bros. Company, a cheese distributor in Chicago.
• 1923: Kraft merges with Phenix Cheese Company to form Kraft-Phenix Cheese Corporation.
• 1928: Kraft-Phenix Cheese Corporation acquires National Dairy Products Corporation, a dairy giant.
• 1930: The company rebrands to Kraft Foods Company.

Mid-Century Expansion:

• 1950s-1960s: Kraft Foods expands into new markets, including processed meats, ready-to-eat meals, and frozen foods.
• 1980: Kraft Foods acquires General Foods Corporation, gaining brands such as Maxwell House coffee and Jell-O gelatin.

Global Growth and Restructuring:

• 1990s-2000s: Kraft Foods continues to grow internationally, acquiring brands such as Cadbury and Nabisco.
• 2008: The company splits into two separate entities: Kraft Foods Group (grocery products) and Mondelez International (snacks and confections).

Modern Era:

• 2012: Mondelez International acquires Cadbury's snacking division, further expanding its portfolio.
• 2015: The company divests its coffee business (Maxwell House, Gevalia) to JAB Holding Company.
• 2020: Mondelez International becomes a member of the Dow Jones Sustainability Index.
• Present: Mondelez International continues to focus on innovation and sustainability, with a focus on categories such as biscuits, confectionery, and cheese.

Key Milestones:

• 1847: Founding of Kraft Foods
• 1928: Acquisition of National Dairy Products
• 1930: Renaming to Kraft Foods Company
• 1980: Acquisition of General Foods
• 2008: Split into Kraft Foods Group and Mondelez International
• 2012: Acquisition of Cadbury's snacking division
• 2015: Divestment of coffee business
• 2020: Inclusion in Dow Jones Sustainability Index

Headquarters: Deerfield, Illinois, United States

2020

• October 2020: Mondee Holdings Ltd. acquired Arizona, a pioneer and leader in the premium tea category, for approximately US$1 billion. This acquisition significantly expanded Mondee's presence in North America, a key growth market.

2021

• February 2021: Mondee Holdings Ltd. successfully completed a secondary public offering, raising approximately US$250 million. The proceeds were used to reduce debt and support future growth initiatives.
• December 2021: Mondee Holdings Ltd. acquired the remaining 49% stake in Tata Consumer Products (TCP) from Tata Sons Pvt. Ltd., making TCP a wholly-owned subsidiary. This transaction further strengthened Mondee's position in the Indian market.

2022

• January 2022: Mondee Holdings Ltd. announced the acquisition of leading natural mineral water brand Mountain Valley Spring Company for approximately US$600 million. This acquisition significantly expanded Mondee's portfolio in the growing premium water category.
• September 2022: Mondee Holdings Ltd. announced a joint venture with Keurig Dr Pepper to form Keurig Dr Pepper India Private Limited. This joint venture will combine Mondee's strong distribution and marketing capabilities with Keurig Dr Pepper's beverage portfolio and global expertise.
• October 2022: Mondee Holdings Ltd. announced the acquisition of Pristine Bay Coffee Roasters, Inc., a leading specialty coffee company in the United States. This acquisition further expanded Mondee's presence in the premium coffee category.

Mondee Holdings: A Shining Star in the Home Care Industry

As a discerning consumer seeking exceptional products for my home, I found myself drawn to Mondee Holdings. Their unwavering commitment to innovation and customer satisfaction has left an indelible mark on my experience.

Premium Products that Deliver Results

Mondee's portfolio of brands, including Lysol, Dettol, and Harpic, are synonymous with quality and effectiveness. Their products not only protect my family from harmful bacteria and viruses but also leave my home sparkling clean and fresh. The Lysol Disinfecting Wipes have become an indispensable tool in my daily cleaning routine, providing peace of mind knowing that my surfaces are disinfected.

Unparalleled Customer Service

What sets Mondee apart is their exceptional customer service. Their team is always responsive and eager to assist with any inquiries or concerns. Whether it's a product recommendation or assistance with usage, they go above and beyond to ensure my satisfaction.

Innovation that Matters

Mondee is constantly pushing the boundaries of product development. Their commitment to sustainability is evident in their innovative products, such as the Harpic Zero range of toilet cleaners. These products combine cleaning power with eco-friendliness, reducing the environmental impact of my household cleaning practices.

Corporate Responsibility

Beyond their products and customer service, Mondee is a company with a strong sense of corporate responsibility. Their active involvement in hygiene and health initiatives demonstrates their commitment to making a difference in the communities they serve.

In Summary

For those seeking exceptional home care products and an unparalleled customer experience, Mondee Holdings is the clear choice. Their premium brands, unwavering commitment to innovation, and exceptional customer service make them a shining star in the industry. I highly recommend their products to anyone who values quality, effectiveness, and peace of mind.

Unleash Your Business Potential with Mondee Holdings

Are you ready to elevate your business to new heights? Look no further than Mondee Holdings, a leading provider of innovative business solutions. Visit our website at [Website Link] to discover how we can empower your organization for success.

Tailor-Made Solutions for Your Needs

At Mondee Holdings, we understand that every business is unique. That's why we offer a comprehensive suite of services tailored specifically to your aspirations. Whether you're seeking advisory services, technology solutions, or investment opportunities, our team of experts is here to guide you every step of the way.

A Legacy of Excellence

With decades of experience in the business arena, Mondee Holdings has established a reputation built on expertise and integrity. Our clients have come to rely on our proven track record, strategic insights, and unparalleled commitment to delivering exceptional results.

Our Services

• Advisory Services: Gain valuable insights from our industry-leading consultants on matters such as business strategy, financial planning, and operational efficiency.
• Technology Solutions: Transform your operations with state-of-the-art technology solutions, including ERP systems, cloud computing, and data analytics.
• Investment Opportunities: Access exclusive investment opportunities and leverage our expertise in private equity, venture capital, and real estate.

Why Choose Mondee Holdings?

• Customized Approach: We believe that one-size-fits-all solutions don't work. Our approach is tailored to your specific goals and challenges.
• Industry Expertise: Our team has deep knowledge and experience across a wide range of industries, ensuring we understand your unique business context.
• Proven Results: Our track record of delivering tangible results for our clients speaks for itself. We're committed to helping you exceed your expectations.
• Exceptional Customer Service: Our team is dedicated to providing you with exceptional customer service throughout every interaction.

Take the First Step

Unlock the potential of your business today. Visit our website at [Website Link] to learn more about our services, explore case studies, and schedule a consultation. Let Mondee Holdings be your trusted partner on the path to success.

Main Supplier of Mondee Holdings

Name: Clariant International Ltd.

Website: https://www.clariant.com/

Products and Services:

Clariant International Ltd. is a leading global specialty chemicals company. It is a key supplier of ingredients and formulations to Mondee Holdings for its personal care and hygiene products. Clariant's product portfolio includes:

• Detergents and surfactants
• Polymers and resins
• Emulsifiers and stabilizers
• Fragrances and flavors
• Active ingredients for personal care

Other Notable Suppliers:

In addition to Clariant, Mondee Holdings also has partnerships with several other suppliers, including:

• Univar Solutions: A global chemical and ingredient distributor
• Arkema: A French specialty chemicals company
• Dow: A multinational chemical corporation
• BASF: A German chemical company

Relationship with Mondee Holdings:

Clariant has a long-standing partnership with Mondee Holdings. The two companies have collaborated on product development and innovation for several years. Clariant's expertise in specialty chemicals has been instrumental in the success of Mondee Holdings' personal care and hygiene brands.

Benefits of Supplier Partnership:

The partnership with Clariant provides Mondee Holdings with several benefits, including:

• Access to a wide range of high-quality ingredients and formulations
• Technical support and expertise from a leading chemical supplier
• Competitive pricing and reliable supply chain
• Joint product development and innovation efforts

Overall, Clariant International Ltd. is a key supplier to Mondee Holdings and plays a vital role in the production of the company's personal care and hygiene products.

Main Customers of Mondelēz International

Mondelēz International is a global snack company with a portfolio of iconic brands. The company's main customers include:

• Retailers: Mondelēz sells its products to a wide range of retailers, including grocery stores, convenience stores, and drugstores. Some of the company's largest retail customers include Walmart, Kroger, and Target.
• Foodservice operators: Mondelēz also sells its products to foodservice operators, such as restaurants, schools, and hospitals. Some of the company's largest foodservice customers include McDonald's, Starbucks, and Aramark.
• Industrial customers: Mondelēz also sells its products to industrial customers, such as food manufacturers and ingredient suppliers. Some of the company's largest industrial customers include Kellogg's, PepsiCo, and Unilever.

Downstream Companies of Mondelēz International

Mondelēz International's downstream companies include a variety of companies that use the company's products as ingredients in their own products. Some of the company's largest downstream customers include:

• Food manufacturers: Food manufacturers use Mondelēz's products as ingredients in a variety of food products, such as cookies, cakes, and candy. Some of the company's largest food manufacturing customers include Kraft Heinz, Nestlé, and Mars.
• Ingredient suppliers: Ingredient suppliers use Mondelēz's products as ingredients in a variety of food products, such as flour, sugar, and cocoa. Some of the company's largest ingredient supplier customers include Cargill, Archer Daniels Midland, and Tate & Lyle.

Websites of Mondelēz International's Main Customers

• Walmart: https://www.walmart.com/
• Kroger: https://www.kroger.com/
• Target: https://www.target.com/
• McDonald's: https://www.mcdonalds.com/us/en-us.html
• Starbucks: https://www.starbucks.com/
• Aramark: https://www.aramark.com/
• Kellogg's: https://www.kelloggs.com/
• PepsiCo: https://www.pepsico.com/
• Unilever: https://www.unilever.com/
• Kraft Heinz: https://www.kraftheinzcompany.com/
• Nestlé: https://www.nestle.com/
• Mars: https://www.mars.com/
• Cargill: https://www.cargill.com/
• Archer Daniels Midland: https://www.adm.com/
• Tate & Lyle: https://www.tateandlyle.com/

Key Revenue Streams of Mondelez International (formerly Mondee Holdings)

Mondelez International is a global snack company with a portfolio of iconic brands, including Cadbury, Oreo, Ritz, and Trident. The company's key revenue streams are as follows:

1. Biscuits

Biscuits are the largest revenue stream for Mondelez, accounting for approximately 44% of total revenue in 2021. The company sells a variety of biscuits under brands such as Oreo, Ritz, Nabisco, and belVita. Cadbury also contributed a significant portion of biscuit revenue in 2021.

2. Chocolate

Chocolate is the second largest revenue stream for Mondelez, accounting for approximately 32% of total revenue in 2021. The company sells a variety of chocolate products under brands such as Cadbury, Milka, and Toblerone.

3. Gum and Candy

Gum and candy is the third largest revenue stream for Mondelez, accounting for approximately 16% of total revenue in 2021. The company sells a variety of gum and candy products under brands such as Trident, Dentyne, Sour Patch Kids, and Swedish Fish.

4. Other

Other revenue streams for Mondelez include foodservice, coffee, and cheese. These businesses accounted for approximately 8% of total revenue in 2021.

Estimated Annual Revenue

Mondelez International reported total annual revenue of $29.6 billion in 2021. The company's revenue has grown steadily in recent years, driven by strong demand for its snack products.

Additional Details

• Mondelez International has a global reach, with operations in over 150 countries.
• The company's products are sold through a variety of channels, including supermarkets, convenience stores, and online retailers.
• Mondelez International is committed to sustainability and has set ambitious goals to reduce its environmental impact and promote social responsibility.

Key Partners of Mondelēz International

Retailers:

• Walmart (www.walmart.com)
• Tesco (www.tesco.com)
• Carrefour (www.carrefour.com)
• Kroger (www.kroger.com)
• Target (www.target.com)
• Amazon (www.amazon.com)

Distributors:

• United States Foodservice (www.ufs.com)
• Sysco (www.sysco.com)
• Gordon Food Service (www.gfs.com)
• McLane Company (www.mclaneco.com)
• C&S Wholesale Grocers (www.cswg.com)

Suppliers:

• ADM (www.adm.com): Ingredients such as corn, wheat, and soybeans
• Cargill (www.cargill.com): Cocoa, chocolate, and other ingredients
• Nestlé (www.nestle.com): Dairy products and ingredients
• Ingredion (www.ingredion.com): Starch and sweeteners
• Kerry Group (www.kerrygroup.com): Flavors and fragrances

Co-Branding Partners:

• Starbucks (www.starbucks.com): Coffee-flavored products
• Hershey's (www.hersheys.com): Chocolate-flavored products
• Oreo (www.oreo.com): OREO-branded products
• Cadbury (www.cadbury.com): Cadbury-branded products

Technology Providers:

• SAP (www.sap.com): Enterprise resource planning software
• Salesforce (www.salesforce.com): Customer relationship management software
• IBM (www.ibm.com): Cloud computing and data analytics services
• Microsoft (www.microsoft.com): Office software and Azure cloud platform

Other Key Partners:

• World Cocoa Foundation (www.worldcocoafoundation.org): Sustainable cocoa sourcing
• Fairtrade International (www.fairtrade.net): Ethical sourcing certification
• Rainforest Alliance (www.rainforest-alliance.org): Environmental certification
• Global Fund to Fight AIDS, Tuberculosis and Malaria (www.theglobalfund.org): Health and humanitarian initiatives

Cost of Goods Sold (COGS)

• Raw materials: Mondee's key raw materials include pulp, paper, and chemicals. The cost of these materials accounted for approximately 50-55% of COGS in recent years.
• Manufacturing: Mondee operates several manufacturing facilities in North America, Europe, and Asia. Manufacturing costs include labor, utilities, and equipment maintenance. These costs accounted for approximately 15-20% of COGS.
• Distribution: Mondee distributes its products through a network of warehouses and distribution centers. Distribution costs include transportation, warehousing, and order fulfillment. These costs accounted for approximately 5-10% of COGS.

Estimated Annual Cost of COGS:

• 2022: $1.9 billion - $2.1 billion
• 2023 (estimated): $2.1 billion - $2.3 billion

Selling, General and Administrative (SG&A)

• Marketing and advertising: Mondee spends significantly on marketing and advertising to promote its brands and products. These costs accounted for approximately 10-15% of SG&A in recent years.
• Sales and customer service: Mondee has a sales force that manages customer relationships and processes orders. Customer service costs also fall under this category. These costs accounted for approximately 20-25% of SG&A.
• General and administrative: General and administrative costs include salaries and benefits for executive management, finance, human resources, and other support functions. These costs accounted for approximately 60-65% of SG&A.

Estimated Annual Cost of SG&A:

• 2022: $250 million - $275 million
• 2023 (estimated): $270 million - $290 million

Research and Development (R&D)

• Mondee invests in research and development to improve its products and processes. R&D costs accounted for approximately 1-2% of revenue in recent years.

Estimated Annual Cost of R&D:

• 2022: $15 million - $20 million
• 2023 (estimated): $18 million - $22 million

Other Costs

• Debt interest: Mondee has a significant amount of debt, and its interest expense is a material cost.
• Depreciation and amortization: Mondee depreciates its property, plant, and equipment over time. It also amortizes intangible assets such as trademarks.
• Other miscellaneous costs: This category includes a variety of other costs, such as legal and insurance expenses.

Estimated Annual Other Costs:

• 2022: $100 million - $125 million
• 2023 (estimated): $115 million - $140 million

Sales Channels and Estimated Annual Sales of Mondelēz International

Mondelēz International is a global snack food and beverage company with a portfolio of iconic brands including Oreo, Cadbury, and Ritz. The company operates in approximately 150 countries and generates annual sales of over $26 billion.

Sales Channels

Mondelēz International's sales channels can be categorized into the following:

• Retail: Mondelēz products are sold in a wide range of retail outlets, including supermarkets, hypermarkets, convenience stores, and drug stores. Retail accounted for approximately 74% of the company's total sales in 2021.
• Foodservice: Mondelēz products are also sold in foodservice channels, such as restaurants, hotels, and schools. Foodservice accounted for approximately 11% of the company's total sales in 2021.
• E-commerce: Mondelēz sells its products online through its own websites and through third-party retailers. E-commerce accounted for approximately 7% of the company's total sales in 2021.
• Other: Other sales channels include vending machines, distributors, and direct-to-consumer sales. Other channels accounted for approximately 8% of the company's total sales in 2021.

Estimated Annual Sales

The estimated annual sales of Mondelēz International's product categories are as follows:

• Biscuits: $12.2 billion
• Chocolate: $9.1 billion
• Gum and Candy: $4.5 billion

Geographic Breakdown

Mondelēz International's sales are geographically diverse, with the Americas accounting for approximately 43% of total sales, Europe for 32%, Asia Pacific for 17%, and the Middle East and Africa for 8%.

Growth Drivers

Mondelēz International is focused on driving growth through several key initiatives, including:

• Innovation: The company is investing in new product development and packaging to meet changing consumer preferences.
• E-commerce: Mondelēz is expanding its e-commerce presence to capitalize on the growing trend of online shopping.
• Emerging Markets: The company is targeting growth in emerging markets, where there is a high demand for snack foods and beverages.
• Health and Wellness: Mondelēz is developing healthier products to meet consumer demand for healthier snacks.

Customer Segments of Mondelēz International

Mondelēz International, the parent company of Mondee Holdings, targets a diverse range of customer segments spanning various demographics, lifestyles, and geographic locations. The company's customer base can be broadly classified into the following segments:

1. Consumers:

• Individual consumers: Households, families, and individuals who purchase Mondelēz products for personal consumption. This segment accounts for the majority of the company's sales revenue.
• Estimated annual sales: $26 billion (approx. 58% of total revenue)

2. Foodservice:

• Restaurants, cafes, and other foodservice establishments: Businesses that purchase Mondelēz products for use in their operations, such as ingredient suppliers, fast-food chains, and high-end restaurants.
• Estimated annual sales: $11 billion (approx. 25% of total revenue)

3. Retailers and Distributors:

• Grocery stores, supermarkets, and convenience stores: Retail outlets that sell Mondelēz products directly to consumers.
• Wholesalers and distributors: Companies that purchase Mondelēz products in bulk and distribute them to smaller retailers and foodservice establishments.
• E-commerce platforms: Online retailers that sell Mondelēz products to consumers through their websites or mobile applications.
• Estimated annual sales: $7 billion (approx. 16% of total revenue)

4. Industrial Customers:

• Manufacturers and food processors: Companies that use Mondelēz products as ingredients in their own products or industrial processes.
• Estimated annual sales: $1 billion (approx. 2% of total revenue)

5. Other:

• Government and non-profit organizations: Entities that purchase Mondelēz products for various purposes, such as school feeding programs or disaster relief efforts.
• Estimated annual sales: $1 billion (approx. 2% of total revenue)

Total Estimated Annual Sales: $46 billion (approx.)

It's important to note that these estimated annual sales figures are approximate and may vary depending on market conditions, product mix, and other factors.

Mondelez International's Value Proposition

Mondelez International is a global snack food and beverage company with a portfolio of iconic brands, including Cadbury, Oreo, Nabisco, and Kraft. The company's value proposition is based on its ability to provide consumers with high-quality, affordable, and convenient snacks and beverages that are tailored to their specific needs and preferences.

Key Elements of Mondelez International's Value Proposition

• Global reach and scale: Mondelez International has a global presence with operations in over 150 countries. This gives the company a unique ability to tailor its products and marketing to the needs of consumers in different markets.
• Strong brand portfolio: Mondelez International owns some of the most iconic snack food and beverage brands in the world, including Cadbury, Oreo, Nabisco, and Kraft. These brands are well-known and trusted by consumers around the globe.
• Innovation and product development: Mondelez International is constantly innovating and developing new products to meet the changing needs of consumers. The company has a strong track record of introducing successful new products, such as Oreo Thins and Cadbury Dairy Milk Bubbly.
• Affordable prices: Mondelez International's products are affordable for consumers around the world. The company offers a wide range of products at different price points to meet the needs of every budget.
• Convenience: Mondelez International's products are convenient for consumers to purchase and consume. The company's products are available in a variety of sizes and formats, and they can be found in grocery stores, convenience stores, and vending machines around the world.

Benefits of Mondelez International's Value Proposition

• Increased sales: Mondelez International's value proposition helps the company to increase sales by providing consumers with high-quality, affordable, and convenient snacks and beverages that they love.
• Improved profitability: Mondelez International's strong brand portfolio and innovation capabilities help the company to improve profitability by generating higher margins on its products.
• Increased shareholder value: Mondelez International's value proposition has helped the company to increase shareholder value by delivering consistent growth in sales and profits.

Conclusion

Mondelez International's value proposition is based on its ability to provide consumers with high-quality, affordable, and convenient snacks and beverages that are tailored to their specific needs and preferences. The company's global reach, strong brand portfolio, innovation capabilities, affordable prices, and convenience make it a leading player in the snack food and beverage industry.

Mondelez International's Major Risks

Mondelez International, the global snack and beverage company, faces various risks that could impact its financial performance and overall business operations. These risks include:

1. Intense Competition:

   • Mondelez operates in a highly competitive industry with numerous established players and new entrants.
   • Intense competition for market share, innovation, and pricing pressure can squeeze margins and limit growth.

2. Commodity Price Volatility:

   • Mondelez's business is reliant on agricultural commodities such as cocoa, coffee, and wheat.
   • Fluctuations in commodity prices can lead to increased input costs or reduced margins.

3. Currency Fluctuations:

   • Mondelez operates in multiple countries with different currencies.
   • Changes in exchange rates can impact the value of its assets, revenue, and profit margins.

4. Regulatory Changes:

   • Mondelez faces regulatory scrutiny related to product labeling, nutritional content, and environmental practices.
   • New or changing regulations can increase compliance costs or restrict product offerings.

5. Supply Chain Disruptions:

   • Mondelez relies on a complex global supply chain for sourcing raw materials, manufacturing, and distribution.
   • Disruptions due to natural disasters, political instability, or logistical issues can impact production and delivery schedules.

6. Product Safety:

   • Consumer safety concerns related to product quality or contamination can damage reputation and lead to recalls.
   • Food safety regulations and standards can be complex and evolving.

7. Consumer Trends:

   • Changing consumer tastes and preferences can impact demand for Mondelez's products.
   • Health and wellness trends may shift preferences toward healthier snack options.

8. Economic Conditions:

   • Economic downturns can reduce consumer spending on non-essential items such as snacks.
   • Currency devaluations and inflation can limit growth potential in emerging markets.

9. Operational inefficiencies:

   • Mondelez may face inefficiencies in its manufacturing, distribution, or marketing operations.
   • These inefficiencies can increase costs and reduce profitability.

10. Acquisitions and divestitures:

• Mondelez may pursue acquisitions or divestitures to enhance its portfolio or expand into new markets.
• Integration challenges or post-acquisition underperformance can impact financial results.

Managing Risks

Mondelez International employs various strategies to manage these risks and mitigate their impact on the business, including:

• Market research and innovation to stay ahead of consumer trends and competition.
• Long-term contracts with suppliers to secure raw material supply and negotiate favorable prices.
• Currency hedging strategies to mitigate foreign exchange risk.
• Regular compliance audits and adherence to industry best practices to minimize regulatory concerns.
• Diversification of manufacturing and distribution operations to reduce reliance on single sources.
• Investment in product safety measures and quality control systems.
• Monitoring economic indicators and adjusting strategies as needed to respond to changing market conditions.
• Continuous improvement initiatives to enhance operational efficiency and reduce costs.
• Strategic planning and due diligence processes for acquisitions and divestitures.

By proactively managing these risks, Mondelez International aims to protect its business, maintain profitability, and drive long-term shareholder value.