Podcast Summary: OnStrategy Showcase – "How Cheetos Flipped a Negative Feature into a Positive Vibe"

Release Date: November 3, 2024
Host: Fergus O’Carroll

Introduction

In the episode titled "How Cheetos Flipped a Negative Feature into a Positive Vibe," Fergus O’Carroll delves into the innovative marketing strategies employed by Cheetos to rejuvenate its brand. Hosted on OnStrategy Showcase, this episode features insightful conversations with Jacob Spurla, Director of Communication Strategy at Goodby Silverstein & Partners, and Flavia Simoz, Senior Director of Marketing for Cheetos.

Background on Cheetos' Market Position

Flavia Simoz provides a comprehensive overview of Cheetos' robust market presence:

"All this amazing work that we've been doing the past several years has led this brand to be a $3 billion brand in sales. We are currently present in more than 70% of the households in the US and we hold almost a 50% share of the category that Cheetos compete in, which we call curls and puffs."
(07:05)

Cheetos operates within the "curls and puffs" subcategory of salty snacks, maintaining a dominant position with significant household penetration and market share.

Shifting Strategy: From Families to 'Rejuveniles'

Historically, Cheetos targeted families, positioning parents as the buyers and children as the primary consumers. However, declining growth and household penetration necessitated a strategic pivot towards a younger demographic, termed "rejuveniles" by the brand.

Flavia explains the rationale behind this shift:

"We were targeting parents because we found that they were more focused on taking part in playing with their families as compared to past generations. But when we looked at a broader opportunity... we saw consumers... treating Cheetos as a badge of honor."
(09:47)

Jacob Spurla adds:

"We have this audience mindset that we call rejuveniles, which is people who are young and the young at heart... this felt like such a true insight for the audience we were trying to reach."
(12:07)

This strategic realignment opened avenues to engage with a vibrant, socially active audience, leveraging their affinity for the brand in unconventional ways.

Turning 'Cheetle' into a Positive Feature

Acknowledging the messiness associated with consuming Cheetos—commonly referred to as "Cheetle" (Cheetos dust)—the team saw an opportunity to transform this perceived drawback into a celebrated feature. Initially considered a negative by parents concerned about cleanliness, Cheetle became a symbol of playful mischief among younger consumers.

Jacob Spurla highlights:

"They were kind of using Cheetle as a badge of honor... seeing how they're talking about it and all of that."
(16:58)

The introduction of a branded term, "Cheetle," allowed Cheetos to own the narrative around the messiness, turning it into an emblem of fun and individuality.

Key Campaigns and Executions

1. Cheetos Popcorn Super Bowl Spot with MC Hammer

The launch of Cheetos Popcorn featured a memorable spot with MC Hammer, underscoring the playful use of Cheetle to avoid unwanted tasks:

"The proposition was... just show them your Cheetos covered fingertips and they'll go find somebody else."
(04:48)

This campaign set the stage for embracing the mess as a positive attribute, resonating well with the target audience.

2. Cheetos Duster with Amazon

In fall 2022, Cheetos introduced the Cheetos Duster in collaboration with Amazon, a gadget designed to grind Cheetos into fine dust for culinary use. Flavia remarks:

"We created this special gadget that allowed consumers to do their own Cheetos dust by themselves."
(16:27)

This innovation not only catered to the existing fanbase but also expanded Cheetos' culinary applications, garnering significant attention and winning an Effie Award.

3. "Other Hand" Campaign

Building on the Cheetle concept, the "Other Hand" campaign humorously showcased the challenges of performing tasks with one hand covered in Cheetle. Jacob describes:

"When you use the other hand to do stuff, you are usually not doing it very well... It's a Cheetos thing."
(29:58)

The campaign featured relatable scenarios, such as sketch artists and athletes struggling with their non-dominant hand, enhancing brand relatability and humor.

Engaging with Passionate Fans (The 'Cult')

Cheetos boasts a passionate core group of fans, often referred to as a "cult," who exhibit a deep-seated love for the brand. Jacob emphasizes:

"There's this core group of people that has this love and nostalgia for Cheetos... they're like a cult."
(24:48)

These dedicated fans actively participate in brand narratives, creating user-generated content and spreading the Cheetle culture organically.

Role of Social Media and Platforms

Social media plays a pivotal role in amplifying Cheetos' marketing efforts. Jacob discusses:

"Social is just a hugely important platform for us... allowing us to be a little bit more kind of wacky and speak the language of the people who are on the platform."
(32:11)

Platforms like TikTok and YouTube facilitate authentic engagement, enabling the brand to interact dynamically with rejuveniles and sustain its playful image.

Conclusion and Future Insights

The episode underscores Cheetos' successful transformation from a family-centric brand to a vibrant, youth-oriented icon. By embracing and redefining Cheetle, Cheetos not only mitigated a potential negative but also cultivated a unique brand identity that resonates deeply with its target audience. The collaborative efforts between Cheetos and Goodby Silverstein & Partners exemplify strategic innovation, community engagement, and effective use of modern marketing channels to sustain and grow brand relevance.

Flavia and Jacob conclude with optimism about upcoming initiatives and continued brand evolution, reinforcing Cheetos' commitment to playful mischief and consumer-centric strategies.

"We're excited to share it with you. So we'll see you live in Chicago December 5th. Until then, enjoy this."
(05:18)

Notable Quotes:

• Flavia Simoz: "We are currently present in more than 70% of the households in US and we hold almost a 50% in share of the category that Cheetos compete in, which we call curls and puffs." (07:05)

• Jacob Spurla: "They were kind of using Cheetle as a badge of honor... seeing how they're talking about it and all of that." (16:58)

• Fergus O'Carroll: "I think it's one of those rare brands where you see some of it and again, at probably a smaller scale than I would like to admit. But the strategy for us became how do we amplify those behaviors." (25:33)

Upcoming Events:

Fergus invites listeners to upcoming live shows, including a holiday-themed episode in Chicago on December 5th, promising a festive gathering for the advertising and marketing community.

This episode offers a masterclass in turning product attributes into brand strengths, leveraging consumer behavior insights, and engaging authentically with a passionate audience to drive marketing success.