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Welch’s marketing strategy has undergone a transformation in recent years, shifting towards more experiential activations rather than traditional TV advertising. The brand, once known for its commercials featuring young children, has embraced initiatives like a rosé truck and a pop-up speakeasy located inside a New York City bodega.
This shift towards a more millennial-friendly approach has been driven by Welch’s desire to be recognized for more than just grape products. The company has rebranded and expanded its product range to include items such as canned cocktails and a line of zero-sugar juices that launched in August. Despite being a 150-year-old brand owned by a grape growers’ cooperative, Welch’s is determined to stay relevant in the modern marketing landscape.
Leading the marketing efforts at Welch’s is CMO Scott Utke, who has been with the company for nearly four years. In a recent interview, Utke discussed the brand’s broader brand-building goals and the evolving role of agencies and retail media. Following the interview, Welch’s announced that it is reviewing the creative roster for its sparkling juices portfolio and moving away from a traditional agency-of-record model.
Utke explained, “Our various product lines have different creative needs, so we are shifting away from a single creative AOR to cater to the diverse requirements of each. We are excited to find the right partner for our Sparkling business and bring fresh ideas to this important part of our portfolio.”
The interview has been edited for clarity and brevity.
Strategic Goals and Progress
Welch’s underwent a rebranding over a year ago with the goal of repositioning the brand and expanding beyond its traditional grape-focused image. The packaging was updated to include real fruit imagery, a new logo, and messaging about the growers. Additionally, an ad campaign titled “Let’s Fruit Stuff Up” was launched to encourage consumers to see Welch’s in a new light. The company also introduced new flavors, including passion fruit sparkling juice, and the biggest launch in its history, Welch’s Zero Sugar.
Media Strategy Evolution
Welch’s media strategy has shifted towards digital channels to increase awareness and trial. The company has engaged in partnerships with celebrities like Kelly Clarkson and Dax Shepard to promote its products. Experiential marketing, such as the Zero Bodega pop-up, has also played a significant role in engaging consumers and influencers.
Resource Allocation and Innovation
Welch’s has increased its marketing investment over the years to align with the brand’s fair share of spending. The company focuses on big campaign launches to make a significant impact rather than spreading resources across multiple smaller initiatives. Welch’s commitment to innovation and investment in new ideas is driving growth and consumer engagement.
Experiential Marketing
Welch’s experiential marketing efforts have been relatively new, with initiatives like the rosé truck and the Zero Bodega pop-up. These experiences have allowed the brand to connect with consumers in a unique way and create new usage occasions for its products. The company aims to appeal to a younger audience while maintaining its rich history and quirky brand image.
Agency Relationships and Retail Media
Welch’s approach to agency relationships has evolved to be more flexible and fit-for-purpose rather than sticking to a traditional agency-of-record model. The company partners with agencies like Superdigital and Fitzco based on their specific needs for each campaign or initiative. Retail media offers opportunities for direct consumer engagement and data-driven insights, but balancing brand building with sales conversion remains a challenge.
Future Trends and Technologies
Welch’s is open to exploring new technologies like AI to enhance its marketing efforts. The company sets aside a portion of its budget to experiment with innovative solutions and stay ahead of industry trends. Despite challenges like the evolving retail media landscape and platform changes like TikTok, Welch’s remains committed to adapting and finding the best strategies to reach its target audience.