Philadelphia Milka Chocolate: Failing to account for the diversity of European consumers
In spring 2011, Mondelez International launched Philadelphia Milka, a variety of chocolate-flavored cream cheese, in Italy. Despite a successful performance in some other European countries, the product failed to gain traction, and was subsequently withdrawn from the Italian market in October 2014.
Features and benefits
Learn about the Philadelphia-Milka product
Understand the launch and marketing strategy for Philadelphia Milka in Italy.
Analyze why the product ultimately failed in Italy but succeeded in the UK.
Look at what could have been done differently to give the product a greater chance of success.
The co-branded marketing strategy between Mondelez's Philadelphia and Milka brands failed to establish a clear product positioning among the Italian audience. Mondelez underestimated the importance of European consumers' differing preferences and diversity of habits.
Capitalizing on the heritage of Italian cheese, the manufacturer could have paired the chocolate with a dairy by-product with a sweeter flavor, such as ricotta. A country-customized strategy is needed to successfully position a product in the heterogeneous European markets, especially for those countries with a strong food heritage.
Your key questions answered
What is Philadelphia Milka spread?
How was the spread launched and marketed in Italy?
Why was Philadelphia Milka eventually withdrawn from the Italian market?
What strategies and approaches could Mondelez have adopted to give Philadelphia Milka a better chance of success?