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Oatly's anti-marketing approach

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Repost
Anand
Sankaranarayanan
Background
Established in the 1990s
by Swedish researchers
at Lund University
Oatly became a global leader in
oat-based dairy alternatives
From the original oat drink, the
brand expanded across categories
and 30+ countries with its unique
marketing
Relaunched in 2014,
taking up the cause of
consumers' and the planet's
well-being
The need for a change
The board sought a transformative leader
to reshape the company's direction
Their aim was a complete shift, beyond
logo changes, prompting the hiring of CEO
Toni Petersson
With no food industry
background, he was
chosen to bring a new
perspective
Killing the marketing dept
and filling up with creative
He brought in John Schoolkraft, his
15-year colleague as Chief Creative Officer
They broke the mold by eliminating the
marketing department and built a creative
team within the company
This approach led to
agile and collaborative
branding efforts
Establishing a new system
and culture
The brand formed the innovative
"Department of Mind Control"
The creative team was placed in all
department meetings - marketing, sales,
innovation, product development,
production
The team knew everything that was going
on and executed without bureaucracy. No
one needed to approve their ideas
We’re not just a company with
a logo. We’re a group of humans
here to help other groups of
humans make a few choices in
their lives that are good for their
body and the planet
John Schoolcraft
Chief Creative Officer, Oatly
Liberating creativity
Oatly's absence of a marketing department
allowed for increased agility, collaboration,
and creativity
The brand was no longer bound by typical
committee responses "too risky"
"too complicated"
"too time-consuming"
"too little focus on sales" or
"too inconsistent to track"
It showed in their creatives.
From packaging to tone of voice
and creativity, it took a commodity
to a recognized and sought-after
brand.
The insight and strategy
Creating a lifestyle brand
They aimed to create a lifestyle brand that
seamlessly integrated into daily life, unlike
Red Bull or Nike
Going to roots
They realized product consumption
benefits the health & the planet through
reduced emissions and land use
Validating the product
Data and scientific reports showed them
animal-based diets harm the planet and
human health
The rebrand
An antithesis approach
to packaging
In the food industry, packaging changes
typically cause anxiety over sales
Brands make minor adjustments to avoid
confusion, often going unnoticed
Oatly took a bold approach, discarding old
packaging entirely, ready to face the
consequences
A home-style aesthetic, sparking curiosity
with engaging content on every side
“The boring side” - humorously labeled
to keep all legal information
The captivating copy often enticed people
to try
The creative team went straight
from idea to execution, making all
the branding internally with hand
drawn illustrations
Educating about Oat Milk
The motto was to be a fearless
brand that does good to people
and society
Facing a lawsuit from the
dairy association
In 2014, the Dairy Association in Sweden
sued them saying they made the regular
milk look outdated and old fashioned
Instead of backing down, Oatly took the
174 page lawsuit and published it online
They placed full-page ads, exposing the
lawsuit and highlighting the milk lobby's
bullying tactics due to feeling threatened
Full page ad on Swedish
newspapers
A David vs Goliath scenario emerged with
widespread support as people recognized
the bullying tactics
This propelled the brand from niche to
mainstream
A smart entry
into the US market
Focusing on coffee shops
Choosing a different path to online ads,
Oatly focused on coffee shops for product
awareness
Collaborating with artisanal shops and
coffee chains helped them introduce their
product to a captivated audience
Through baristas, Oatly positioned as a
dairy alternative, registering its name and
its taste into the minds of satisfied coffee
drinkers
Product innovation
and market placement
Oatly's Barista Blend was thicker than
their usual products, which elevated the
coffee quality
Café-goers began to recognize the brand
name
The famed Barista Blend found its way
into chic, independent outlets
A microsite was created to find
the closest Oatly serving cafes
Gradually, the word circulated among
baristas about Oatly becoming the top
alternative milk, leading them to endorse
this to their customers
Running out of stock
Oatly's barista blend worked great for
making foamy lattes, unlike soy and
almond milks
This became a big deal in 2018 when a
shortage of oat milk in New York's coffee
shops became a global news story
The brand aimed to foster a
plant-based society through
creative and conversational
communication
Placing the brand in culture and
context
Amid growing environmental worries,
people now prioritize eco-friendly choices
more than ever, sparking a change
Oatly became a major oat milk brand
in the UK, ranking second in market size
by 2017
As leaders of the 'post-milk generation,'
Oatly aimed to foster a movement,
encouraging a shift away from dairy
consumption
Oatly’s ‘Post Milk Generation’ branded
the no-cow milk movement.
Oatly’s revenue growth trend
An exceptional product
and creative marketing led
them to become a leading
alternative milk brand
Anand
Sankaranarayanan
Brand strategist
Co-Founder and Director - TMA Global
I help brands find their purpose
and get people to care about it
TMA Global Brand Consultancy
www.tmaglobal.net
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