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Unilever Shifts 50% of Ad Budget to Social Media: Can an Influencer-First Strategy Succeed? 

Unilever Shifts 50% of Ad Budget to Social Media: Can an Influencer-First Strategy Succeed? 

Consumer goods giant Unilever is dramatically reshaping its marketing approach, allocating half of its estimated $7.5 billion annual advertising budget to social media platforms. This strategic pivot represents one of the most significant shifts in advertising strategy among major global brands.

The 94-year-old company behind Dove, Ben & Jerry’s, and Hellmann’s is moving away from traditional TV and print advertising to focus on platforms like TikTok, Instagram, and YouTube. This transformation comes as Unilever’s new CEO Hein Schumacher implements his “Growth Action Plan,” designed to revitalize the company’s performance after lagging behind competitors Procter & Gamble and Nestlé.

Unilever’s strategy emphasizes micro-influencers with smaller but highly engaged followings over celebrity endorsements. The company is leveraging AI-driven analytics to identify ideal creator partnerships for specific products and markets, enabling more targeted demographic reach.

Early results from test markets in Southeast Asia and Latin America show promising engagement metrics, with particular success among Gen Z consumers. However, the approach faces challenges including measurement inconsistency across platforms, influencer authenticity concerns, and potential brand safety issues.

Industry analysts remain divided on the strategy’s long-term viability, with some praising Unilever’s boldness while others question whether sacrificing traditional media’s broad reach could undermine established brand equity for its century-old products.

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