By Karla Paris
New initiative is set to gauge the platform’s effectiveness as a paid media channel
On May 12 Nestlé announced it is partnering with the social media site Pinterest. As part of the pilot program some of the company’s best-known brands including Nespresso, Dreyer’s, and Purina will invest in 'Promoted Pins' to gauge the effectiveness of the platform as a paid media channel.
Last September Pinterest disclosed it would begin testing ad placements within its online community. These ads, called Promoted Pins, feature placements from select retailers, manufacturers, and other businesses to gauge ad placement effectiveness.
A small number of food companies from across different industries are joining Nestlé in participating at launch. Pinterest says this test group is being kept small intentionally so it can collect feedback prior to opening up the path of paid advertisements to more businesses throughout the year. AdAge indicates that Pinterest is asking for spending commitments from between $1 million and $2 million from its advertising partners, and is pricing Cost per Miles (CPM) between $30 and $40.
Participation in Pinterest’s ‘Promoted Pins programme’ is part of a broader partnership and innovation strategy for Nestlé. Patrice Bula, Nestlé’s Head of Marketing, says it builds on existing efforts to deepen consumer conversation through digital platforms while creating early learning opportunities for its brands.
Social media is nothing new for Nestlé, as the company already has strategic partnerships with Facebook and Google, and is establishing close links with Twitter. The company has also created Digital Acceleration Teams at its headquarters in Switzerland - and in various markets worldwide including China, India, and Italy - to help develop its relationships with consumers online.
Many of the company’s brands have been embracing new technology. In September of last year, a surprise partnership with Google saw the technology company name the latest version of its Android mobile operating system "Android KitKat" , after Nestlé’s famous confectionery.
Prior to that Nestlé acquired its first-ever online content property, when its Purina Petcare business bought Petfinder , the world’s largest and oldest website for pet adoption. Nestlé also launched a digital initiative to give consumers instant access to information about its products’ nutritional profile, environmental, and social impacts, simply by scanning them with a smartphone. Nestlé’s efforts to keep pace with technology reflect its ability to adapt in an ever changing market, positioning it for tomorrow and beyond.