VOL. XCIV, NO. 247

★ MOAT STOCKS & COMPETITIVE ADVANTAGES ★

PRICE: 5 CENTS

Tuesday, December 23, 2025

Mondelez International, Inc.

MDLZ · Nasdaq Global Select Market

active
Market cap (USD)$70.1B
SectorConsumer
CountryUS
Data as of
Moat score
66/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

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Overview

Mondelez International, Inc. is a global snacking company led by biscuits & baked snacks and chocolate. The moat is mainly brand equity supported by sustained marketing and wide distribution/route-to-market coverage. Trademark and trade secret protections help preserve product identity across geographies. Commodity volatility (especially cocoa), retailer bargaining power, private label, and fast-moving challengers are the main forces that can pressure margins and share.

Primary segment

Biscuits & Baked Snacks

Market structure

Oligopoly

Market share

HHI:

Coverage

5 segments · 6 tags

Updated 2025-12-23

Segments

Biscuits & Baked Snacks

Branded biscuits, cookies, crackers and baked snacks

Revenue

48.9%

Structure

Oligopoly

Pricing

moderate

Share

Peers

PEPGISCPBHSY+1

Chocolate

Branded chocolate confectionery

Revenue

30.9%

Structure

Oligopoly

Pricing

moderate

Share

Peers

HSYNSRGYLISP.SW

Gum & Candy

Gum and sugar confectionery

Revenue

11.1%

Structure

Oligopoly

Pricing

moderate

Share

Peers

HSYTRNSRGY

Beverages

Powdered beverages and drink mixes

Revenue

3%

Structure

Competitive

Pricing

weak

Share

Peers

KOPEPNSRGY

Cheese & Grocery

Branded cheese and packaged grocery products (selected markets)

Revenue

6.2%

Structure

Competitive

Pricing

weak

Share

Peers

KHCULNSRGY

Moat Claims

Biscuits & Baked Snacks

Branded biscuits, cookies, crackers and baked snacks

Revenue share computed from FY2024 net revenues by product category in FY2024 Form 10-K (Note 18). Source: https://www.sec.gov/Archives/edgar/data/1103982/000110398225000030/mdlz-20241231.htm

Oligopoly

Brand Trust

Demand

Strength: 4/5 · Durability: durable · Confidence: 4/5 · 3 evidence

Category-leading brands plus sustained marketing/trade promotion support consumer preference and reduce price sensitivity versus lesser-known labels.

Erosion risks

  • Private label trade-down
  • Shift to 'better-for-you' snacks
  • Taste/fad cycles

Leading indicators

  • Organic net revenue pricing vs volume/mix
  • Brand share in key biscuit/cracker markets
  • Marketing ROI/share of voice

Counterarguments

  • Switching costs are low; consumers can easily trial alternatives
  • Retailers can allocate shelf space to private label or emerging brands

Distribution Control

Supply

Strength: 4/5 · Durability: medium · Confidence: 4/5 · 2 evidence

Dense, multi-channel route-to-market supports on-shelf availability and in-store execution with large retailers and digital partners.

Erosion risks

  • Retailer consolidation increases bargaining power
  • E-commerce changes merchandising economics
  • Distributor disruption/service-level issues

Leading indicators

  • On-shelf availability/OTIF metrics
  • Promotional intensity/trade spend rate
  • Channel mix shift to e-commerce

Counterarguments

  • Large retailers can neutralize some execution advantages via centralized distribution terms
  • Third-party logistics can narrow execution gaps

IP Choke Point

Legal

Strength: 3/5 · Durability: durable · Confidence: 3/5 · 1 evidence

Trademarks, recipes, and know-how help preserve product identity and brand distinctiveness across geographies.

Erosion risks

  • Counterfeiting/parallel imports
  • Weaker IP enforcement in some markets

Leading indicators

  • Brand infringement litigation volume
  • Trademark renewal/registration coverage by market

Counterarguments

  • Trademarks protect names, not consumer preference if quality/innovation lags
  • Private label can mimic product attributes without infringing branding

Chocolate

Branded chocolate confectionery

Revenue share computed from FY2024 net revenues by product category in FY2024 Form 10-K (Note 18). Source: https://www.sec.gov/Archives/edgar/data/1103982/000110398225000030/mdlz-20241231.htm

Oligopoly

Brand Trust

Demand

Strength: 4/5 · Durability: durable · Confidence: 4/5 · 3 evidence

Strong brand recognition and loyalty support repeat purchase and price/mix management in chocolate, though competition remains intense.

Erosion risks

  • Cocoa-driven price shocks reduce affordability
  • Premiumization fatigue/consumer trade-down
  • Regulatory and health scrutiny on sugar

Leading indicators

  • Cocoa cost inflation vs pricing realization
  • Volume/mix trend in chocolate category
  • Gross margin in chocolate-heavy markets

Counterarguments

  • Chocolate is highly substitutable; promotions can shift share quickly
  • Private label and local brands can undercut on price

Supply Chain Control

Supply

Strength: 3/5 · Durability: medium · Confidence: 4/5 · 2 evidence

Global procurement plus hedging/pricing levers help manage cocoa and other key inputs, reducing short-term volatility versus smaller players (but not eliminating structural risk).

Erosion risks

  • Structural cocoa supply tightness (climate/geopolitics)
  • Hedging basis risk/hedge ineffectiveness
  • Supplier concentration in cocoa origins

Leading indicators

  • Cocoa futures levels vs realized pricing
  • Disclosures on hedging and forward purchasing coverage
  • Gross margin sensitivity to cocoa

Counterarguments

  • Even large buyers cannot control cocoa supply in a tight market
  • Hedging can only delay, not eliminate, margin pressure

Distribution Control

Supply

Strength: 4/5 · Durability: medium · Confidence: 4/5 · 2 evidence

Route-to-market breadth and retailer relationships support shelf presence and merchandising for seasonal and everyday chocolate.

Erosion risks

  • Retailer private label push
  • Shift to direct-to-consumer gifting/specialty brands

Leading indicators

  • Seasonal sell-through rates
  • Promotional intensity/trade spend
  • Retailer share of shelf

Counterarguments

  • Retailers can re-balance shelf space rapidly based on promotion funding
  • Specialty brands can grow via premium channels and online

IP Choke Point

Legal

Strength: 3/5 · Durability: durable · Confidence: 3/5 · 1 evidence

Trademark and trade secret protection supports consistent product identity and helps defend against look-alike branding.

Erosion risks

  • Counterfeits and gray-market imports

Leading indicators

  • IP enforcement actions in key markets

Counterarguments

  • Brand/IP does not prevent commodity-driven parity products from competing on taste/price

Gum & Candy

Gum and sugar confectionery

Revenue share computed from FY2024 net revenues by product category in FY2024 Form 10-K (Note 18). Source: https://www.sec.gov/Archives/edgar/data/1103982/000110398225000030/mdlz-20241231.htm

Oligopoly

Brand Trust

Demand

Strength: 3/5 · Durability: medium · Confidence: 3/5 · 3 evidence

Recognized brands support repeat purchase in gum and candy, though switching and promotion sensitivity are high.

Erosion risks

  • Input cost inflation (sugar/sweeteners)
  • Regulatory limits on marketing to children
  • Shift away from sugary treats

Leading indicators

  • Volume/mix trend in gum & candy
  • Promo intensity/price pack architecture changes

Counterarguments

  • Brand loyalty is weaker than in core biscuit/chocolate; consumers switch based on price and novelty
  • Category fragmentation enables regional challengers

Distribution Control

Supply

Strength: 3/5 · Durability: medium · Confidence: 4/5 · 2 evidence

Broad retail channel reach supports impulse placement and high-frequency replenishment in gum and candy.

Erosion risks

  • Checkout/impulse aisle redesign (self-checkout)
  • Retailer merchandising changes

Leading indicators

  • Checkout display penetration
  • Convenience channel share trend

Counterarguments

  • Retailers can sell competing candy in the same impulse locations based on trade spend
  • Alternative channels (online) weaken impulse advantage

IP Choke Point

Legal

Strength: 3/5 · Durability: durable · Confidence: 3/5 · 1 evidence

Trademarks and proprietary recipes/know-how protect brand identifiers, supporting differentiation where tastes are similar.

Erosion risks

  • Counterfeiting in emerging markets

Leading indicators

  • Trademark disputes/enforcement actions

Counterarguments

  • IP does not prevent fast followers from competing on format/flavor innovation

Beverages

Powdered beverages and drink mixes

Revenue share computed from FY2024 net revenues by product category in FY2024 Form 10-K (Note 18). Source: https://www.sec.gov/Archives/edgar/data/1103982/000110398225000030/mdlz-20241231.htm

Competitive

Brand Trust

Demand

Strength: 2/5 · Durability: medium · Confidence: 3/5 · 2 evidence

Brand recognition supports baseline demand in powdered beverages/drink mixes, but differentiation is limited versus beverage incumbents.

Erosion risks

  • Commoditization/private label
  • Consumer shift to ready-to-drink and 'health' beverages

Leading indicators

  • Category volume trend vs price increases
  • Distribution expansion in priority markets

Counterarguments

  • Beverage leaders can outspend and out-distribute in core channels
  • Taste/format innovation can be copied quickly

Distribution Control

Supply

Strength: 2/5 · Durability: medium · Confidence: 3/5 · 2 evidence

Access to broad retail channels and distributors supports availability, though execution advantage is smaller than in core snacks.

Erosion risks

  • Channel conflict with large beverage suppliers
  • E-commerce substitution

Leading indicators

  • Store count/numeric distribution in key markets

Counterarguments

  • Large beverage incumbents have stronger systems where relevant
  • Retailers can shift shelf space quickly in low-loyalty segments

IP Choke Point

Legal

Strength: 2/5 · Durability: medium · Confidence: 3/5 · 1 evidence

Trademarks and formulations provide some defensibility but do not create high switching costs in beverages.

Erosion risks

  • Formula imitation
  • Trademark dilution

Leading indicators

  • Brand renovation cadence/innovation pipeline

Counterarguments

  • Most value comes from distribution and price points, not protected IP

Cheese & Grocery

Branded cheese and packaged grocery products (selected markets)

Revenue share computed from FY2024 net revenues by product category in FY2024 Form 10-K (Note 18). Source: https://www.sec.gov/Archives/edgar/data/1103982/000110398225000030/mdlz-20241231.htm

Competitive

Brand Trust

Demand

Strength: 3/5 · Durability: medium · Confidence: 3/5 · 3 evidence

Established brands in selected cheese/grocery lines support repeat purchase, but competition from local staples and private label is strong.

Erosion risks

  • Private label expansion
  • Reformulation/health trends
  • Local incumbents with cost advantage

Leading indicators

  • Volume/mix trend in cheese & grocery
  • Price realization vs dairy input inflation

Counterarguments

  • Many grocery categories are price-led with low switching costs
  • Retailers can substitute store brands in commoditized items

Distribution Control

Supply

Strength: 3/5 · Durability: medium · Confidence: 3/5 · 2 evidence

Retail and distributor coverage supports availability across multiple channels.

Erosion risks

  • Retailer consolidation
  • Distributor renegotiations

Leading indicators

  • Channel mix/distribution points

Counterarguments

  • Competitors can reach the same channels with similar logistics
  • Retailers can allocate shelf space based on trade spend

IP Choke Point

Legal

Strength: 3/5 · Durability: durable · Confidence: 3/5 · 1 evidence

Trademark and know-how protections support brand identity in packaged grocery products.

Erosion risks

  • Counterfeiting in lower-enforcement markets

Leading indicators

  • Trademark disputes/enforcement actions

Counterarguments

  • Legal protection does not prevent functional substitutes; preferences can shift quickly

Evidence

sec_filing
Mondelez International, Inc. Form 10-K (FY2024) - Competition

We compete based on product quality, brand recognition and loyalty, service, product innovation, taste, convenience, nutritional value, the ability to identify and satisfy consumer preferences, effectiveness of our digital and other sales and marketing strategies, routes to market and distribution networks, promotional activities and price.

Shows that brand, marketing effectiveness, and route-to-market execution are core competitive dimensions.

sec_filing
Mondelez International, Inc. Form 10-K (FY2024) - Marketing and Trade Promotion

We continue to invest in advertising and consumer promotions, talent and digital capabilities. Our marketing initiatives are categorized in three principal sets of activities: (i) consumer marketing and advertising including digital and social media, on-air, print, outdoor and other product promotions; (ii) consumer sales incentives such as coupons and rebates; and (iii) trade promotions to support price features, displays and other merchandising of our products by our customers.

Evidence of ongoing spend and trade promotion to sustain brand demand and in-store execution.

sec_filing
Mondelez International, Inc. Form 10-K (FY2024) - Summary of Results

Net revenues increased in 2024, driven by higher net pricing and incremental net revenue from our acquisition of Evirth, partially offset by unfavorable currency-related items, the impact of our 2023 divestiture of the developed market gum business and unfavorable volume/mix. In 2024, Organic Net Revenue increased due to higher net pricing, partially offset by unfavorable volume/mix.

Supports that pricing actions are a key lever in growth and margin management.

sec_filing
Mondelez International, Inc. Form 10-K (FY2024) - Distribution and Digital Commerce

Our product distribution network encompasses direct store delivery, company-owned and satellite warehouses, distribution centers, third party distributors and other facilities. Additionally, we leverage the services of independent sales offices and agents in various international locations. Through our global digital commerce organization and capabilities, we pursue online growth with partners in key markets around the world, including both pure e-tailers and omni-channel retailers.

Evidence of broad physical distribution and an explicit push into digital commerce with partners.

sec_filing
Mondelez International, Inc. Form 10-K (FY2024) - Customers

We generally sell our products to supermarket chains, wholesalers, supercenters, club stores, mass merchandisers, distributors, convenience stores, gasoline stations, drug stores, value stores and other retail food outlets. We also sell products directly to businesses and consumers through various pure play e-retail platforms, retailer digital platforms, our direct-to-consumer websites and social media platforms. No single customer accounted for 10% or more of our net revenues from continuing operations in 2024.

Supports key customer channels and indicates low customer concentration.

Showing 5 of 8 sources.

Risks & Indicators

Erosion risks

  • Private label trade-down
  • Shift to 'better-for-you' snacks
  • Taste/fad cycles
  • Retailer consolidation increases bargaining power
  • E-commerce changes merchandising economics
  • Distributor disruption/service-level issues

Leading indicators

  • Organic net revenue pricing vs volume/mix
  • Brand share in key biscuit/cracker markets
  • Marketing ROI/share of voice
  • On-shelf availability/OTIF metrics
  • Promotional intensity/trade spend rate
  • Channel mix shift to e-commerce
Created 2025-12-23
Updated 2025-12-23

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