Rarely does a news story keep you thinking about it days later, but that’s exactly what happened to me learning that Kraft Heinz sneakily removed all artificial ingredients from their iconic macaroni and cheese brand and “no one noticed.”
In December 2015, the company took out all artificial flavors, preservatives, and dyes from its product but didn’t make any public announcement about the change until early March. There is certainly some marketing genius behind this story that’s been making headlines over the past couple weeks. But for me there is a Corporate Social Responsibility (CSR) lesson as well.
When we at Corporate Citizenship talk about the value of CSR with clients, the discussion sometimes turns to perceived trade-offs between product quality and CSR attributes. An environmentally-friendly cleaner won’t clean as well. A change in formulation might lead to additional costs and falling demand. But the Kraft example shows us it’s not always a zero sum game.
The company was able to change its ingredients and still meet its customers’ expectations, selling more than 50 million boxes before it went public with the change. Not only were mainstream consumers still satisfied with the taste, but the reformulation also helped build its credibility with a large contingency of parents looking for products free from artificial ingredients for their children. The reformulation story has even been used as the foundation of the brand’s latest marketing campaign.
It all started when Kraft Heinz recognized that consumer preferences are changing and viewed this shift as an opportunity. In the company’s own words, “we know you want to feel good about what you eat and serve your family. So we’ve listened and evolved.”
It’s unclear how the change would’ve been perceived had it not pulled off the “largest blind taste test ever.” Would families have embraced it if they’d made a song and dance right at the start? Consumers can be quick to get upset if their cherished brands look like they’re being messed with.
Kraft Heinz’s experiment shows some sneakiness, combined with full transparency later on, could be one innovative way to help customers shift to more sustainable choices. Choosing to listen and be receptive to stakeholder concerns and evolve accordingly, along with some great marketing, looks like it’s turned out pretty well for the business.