Consumers changed, so marketing must too
The Campbell’s Company, maker of soups, sauces and snacks, is reformulating its marketing to match shifting consumer habits and offset weak sales. Executives said on an earnings presentation that social media, influencers, e-commerce and AI-powered platforms will represent about 85% of its working media budget. Influencer-led programs will drive trials of product innovations, including two new platforms for the Campbell’s brand. “As the consumer evolves, so must we,” said CEO Mick Beekhuizen. This marketing budget reallocation rests on two moves: channel shift and brand focus.
From even spreading to concentrated bets
In fiscal 2027, Campbell’s will put most of its marketing spend behind its biggest growth opportunities, moving away from an even split across the portfolio. Priority brands include fast-growing Rao’s, Goldfish, Pepperidge Farm and Campbell’s. “We are not walking away from any business or brand. However, our marketing investments must work harder for us,” Beekhuizen said.
Goldfish is key to the snack turnaround
Snacks organic sales fell 6% year over year for the period ended August 2, and Beekhuizen called bolstering Goldfish “critical.” Campbell’s strengthened its back-to-school omnichannel push with a campaign by agency Mischief @ No Fixed Address that leans on the brand’s family-friendly legacy and a better-for-you message — real cheese, no artificial flavors or colors. Protein-packed, whole grain and gluten-free options arrive this fall.
Rao’s gets more support again
Rao’s, acquired with Sovos Brands three years ago, grew consumption 9.4% in fiscal 2026 and is nearing 19% household penetration. “Substantial marketing support reflects the size of the opportunity,” Beekhuizen said, noting a double-digit media increase last year and another increase in fiscal 2027 with a new campaign about slow-simmered sauce and time shared over meals.
Cost cuts fund the marketing
Net sales fell 8% in fiscal Q4 2026 and 5% for the year. Campbell’s is cutting its salaried workforce by 13% and closing two snack plants under a $500 million cost-savings plan, which will help fund the new marketing initiatives.
Takeaways for marketers
- 85% of working media goes near the purchase: even a packaged-food giant is shifting most ad spend to digital, influencer and commerce channels.
- Allocate portfolio budgets by opportunity, not evenly: concentrate behind brands that are growing.
- Use influencers to drive trial: their job here is first purchase, not just awareness.
Compare Jersey Mike’s leap in digital share and Old Navy putting MrBeast at the center of its strategy: struggling legacy brands are moving budgets in a similar direction.