New Nestlé USA Chief Looks for Efficiencies, Driving Sales

Media, digital first to be reviewed

Nestlé USA confirmed it has launched an agency review for media and digital planning and buying currently at ZenithOptimedia. The incumbent is part of the consideration process as well as other Nestlé roster agencies.

Hannah Coan, vp, corporate and brand affairs for Nestlé USA, said the company expects to complete its review by the end of first quarter 2013.

According to Nielsen, Nestlé spent $691.6 million in U.S. measured media in 2011, not including digital spending. (That compares to $798.3 million in 2010.) Nestlé USA is the largest of the company's operating units in the states, with the other four divisions not part of the current review.

ZenithOptimedia declined to comment.

The review comes after Paul Grimwood's appointment as CEO of Nestlé USA in August, succeeding Brad Alford, who retired in October. Many agency observers expected the no-nonsense Yorkshireman, formerly chief of Nestlé U.K. and Ireland and known for his bottom-line focus, would waste little time finding efficiencies and beefing up sales in the company’s largest market.

Nestlé USA has already been looking at how to consolidate Juicy Juice digital and PR duties, which are now handled by Edelman and Genex in L.A., respectively. Neither agency responded to Adweek inquiries.

Grimwood is also expected to take a closer look at creative agency relationships.

“There’s no question he’ll be looking at efficiencies and the marketing that drives sales,” said a source. “It’s a good guess you’ll see more action.”

Publicis, Ogilvy, JWT, Draftfcb and Goodby Silverstein & Partners are all creative partners on Nestlé USA brands.