In a fiercely competitive food industry dominated by multinational conglomerates, Newman’s Own is turning to generative artificial intelligence (AI) to level the playing field.
“We’re in the ultra-competitive CPG (consumer packaged goods) food space — and we’re a small company,” said David Best, CEO of Newman’s Own, in a video about its AI transformation. “We have 50 people, and we don’t have the resources of some of the multinational conglomerates we face.”
Newman’s Own is gaining new operational efficiencies that allow the small company to compete with far larger rivals by using Microsoft 365 Copilot.
The company has seen the following improvements after deploying generative AI:
- Marketing team has tripled the number of campaigns in a month by using GenAI for content.
- Logistics and transportation team, which receives several industry publications daily, uses GenAI to summarize digital content and distribute it. The task that used to take half a day has now shrunk to 30 minutes.
- Research on a topic used to take two staff members two days now takes just two hours.
- GenAI acts as the chief legal officer’s junior associate, handling legal questions and gathering citations.
“We run extremely lean,” said Chief People Officer Bruce Wallace in a blog post. Using GenAI, “we’ve supercharged every person. It’s an absolute game changer for us.”
Newman’s Own joins other CPG companies that has embraced digital transformation. According to a PYMNTS Intelligence report, “GenAI Applications in Retail Transaction Analysis: Industry Trends and Insights,” 73% of retailers surveyed are raising their GenAI investments to enhance customer personalization, forecasting and security, among other use cases.
Kellanova, a spin-off brand from Kellogg’s, is using AI as part of its digital transformation efforts. According to Chief Digital and Information Officer Lesley Salmon, machine learning algorithms help the company analyze data to optimize inventory management, demand forecasting and production planning.
Other companies embarking on a digital transformation include Mondelēz International, which is seeking to generate 20% of its sales by 2030 through digital commerce.
Mondelēz’s digital strategy focuses on three key areas: consumer engagement to personalize brand interactions; a multiyear transformation aimed at improving revenue management and sales execution; and an end-to-end drive for efficiency across company operations.
Read more: GenAI Applications in Retail Transaction Analysis: Industry Trends and Insights
Support for Marketing, Legal and Logistics
Newman’s Own was founded by actor Paul Newman in 1982, and it gives away all of its profits to the Newman’s Own Foundation, which supports children facing adversity.
The legal department consists only of Chief Legal Officer Jennifer Millones and an executive assistant. With GenAI, she said feels her office is “a little bit bigger.”
On the logistics side, AI is also having an impact. Sherry Linson, director of logistics and transportation, has to analyze the flood of daily industry publications that once consumed her mornings.
“With these summaries, I quickly discover ways to keep costs down and introduce new initiatives,” Linson said.
Riley McCarthy, the company’s social media manager, said GenAI has become more than just a tool — it’s a creative partner that helps her brainstorm ideas and get past a creative block, much like she would do with a colleague.
For a mission-driven organization like Newman’s Own, AI is more than a cost-saving measure — it’s a way to expand impact.
GenAI is a key part of the company’s money-saving plans because the team is gaining time and productivity efficiencies, Best said.
“Nothing could be better than helping more kids,” he added.
