The Campbell’s Company is reformulating its marketing to recognize shifting consumer habits and offset slumping sales. The marketer of soups, sauces and snacks is deepening investment in social media, influencers, e-commerce and artificial intelligence-powered platforms, which together will represent about 85% of its working media budget, or what it spends on advertising, executives said during an earnings presentation last week. Influencer-led programs will aim to drive trials of product innovations, including for two new platforms supporting the namesake Campbell’s brand.
“As the consumer evolves, so must we. Campbell's scale and resources give us the opportunity to create a competitive advantage,” company CEO Mick Beekhuizen said during prepared remarks.
At the same time, Campbell’s is allocating a majority of its marketing spend in its fiscal 2027 year toward its biggest growth opportunities, pivoting away from an approach where activity was more evenly balanced across the portfolio. Offerings in focus include Rao’s, which is booming, as well as Goldfish, Pepperidge Farm and the Campbell’s brand.
“Let me be clear: We are not walking away from any business or brand. However, our marketing investments must work harder for us,” Beekhuizen said.
Snacks have been pressured at the packaged foods giant, with the segment’s organic sales declining 6% year over year for the period ended Aug. 2. Bolstering Goldfish is “critical” to snacks’ turnaround, Beekhuizen said, pointing to a more robust omnichannel strategy around the back-to-school period, including through an ad campaign leaning on the fish-shaped cracker’s family-friendly legacy.
The effort, developed with agency Mischief @ No Fixed Address, also supports a better-for-you positioning for Goldfish, highlighting the use of real cheese and lack of artificial flavors or colors. In addition, Goldfish will roll out new protein-packed, whole grain and gluten-free options in the fall.
Total net sales at Campbell’s were down 8% YoY in its fiscal Q4 2026 and 5% for the full fiscal year. The company is reducing its salaried workforce by 13% and shuttering two snack plants as part of a $500 million cost-savings plan. The plan will help to fund some of Campbell’s revamped marketing initiatives, Beekhuizen said.
A bright spot for Campbell’s was Rao’s, a pasta sauce maker it snapped up as part of its acquisition of Sovos Brands three years ago. Consumption of Rao’s was up 9.4% in fiscal 2026, with the brand nearing 19% household penetration.
“Substantial marketing support reflects the size of the opportunity,” said Beekhuizen of Rao’s. “Following a strong double-digit increase in media spending last year, we will increase support once again in fiscal 2027, with a new advertising campaign highlighting both the time we take to slow simmer sauces and the value of making time for shared meals with friends and loved ones.”
