Big Food Shifts Growth to Emerging Markets as Mondelēz Asia Revenue Jumps 14.3%
Updated
Updated · FoodNavigator.com · Jul 7
Big Food Shifts Growth to Emerging Markets as Mondelēz Asia Revenue Jumps 14.3%
3 articles · Updated · FoodNavigator.com · Jul 7
Summary
Mondelēz posted 14.3% net revenue growth in Asia, Middle East and Africa and 12.1% in Latin America, far ahead of 9% in Europe and 0.5% in North America.
Kraft Heinz reported 7.6% sales growth in emerging markets versus 3.2% in developed international markets, while Nestlé also said emerging-market growth outperformed developed regions.
Rising incomes, urbanisation and population growth are expanding food demand, while weaker private-label competition gives global brands more room to win first-time loyal customers.
Sub-Saharan Africa, Mexico, Brazil and parts of Asia-Pacific stand out as key targets, with pet food, convenience products and health-and-nutrition categories benefiting from a growing middle class.
Currency swings, economic instability, weak infrastructure and poor localisation still threaten returns, even as companies see long-term demand growth from markets such as India and Africa.
Is Big Food's emerging market gold rush sustainable, or will a private label wave soon follow?
As giants like Unilever divest, is the key to emerging markets getting bigger or getting more focused?
Big Food’s 2026 Shift: Mondelēz Beats Q1 Estimates, Targets Emerging Markets for Growth
Overview
Mondelēz International’s Q1 2026 results highlight a strategic shift in response to changing global markets. Despite a 14.9% drop in adjusted earnings per share to 67 cents, mainly due to weaker operating performance and higher income taxes, the company’s top and bottom lines still beat expectations. Net sales increased, showing resilience and growth in key regions like North America, where iconic brands drove revenue. This performance reflects Mondelēz’s broader pivot toward emerging markets and new channels, aiming to capture growth as developed markets slow. The company’s approach combines local adaptation, brand investment, and operational agility to navigate risks and sustain future growth.