Nestlé Consumer Communication Principles

PrinciplesMandatoryFebruary 2011Nestlé ConsumerCommunication Principles

PrinciplesMandatoryFebruary 2011Issuing FunctionStrategic Business Units, Marketing and SalesCorporate CommunicationAuthor/issuing departmentMarketing and Consumer CommunicationPublic AffairsRelated Group Principles / Policies,Standards or GuidelinesThe Nestlé Corporate Business PrinciplesThe Nestlé Consumer Data Collection GuidelinesNestlé Marketing Communication to Children PolicyReplacesNestlé Consumer Communication Principles issued 2007RepositoryAll Nestlé Principles and Policies, Standards andGuidelines can be found in the Centre online repository stlé Executive BoardPaul Bulcke, Chief Executive OfficerDate of publicationFebruary 2011Copyright and confidentialityThe content of this document may not be reproduced, distributedor disclosed to third parties without proper authorization. All rightsbelong to Nestec Ltd., Vevey, Switzerland. 2011, Nestec Ltd.

Nestlé Consumer Communication PrinciplesAt Nestlé, our aim is to create value that canbe sustained over the long term by offeringconsumers a wide variety of tastier and healthierfood and beverage choices.The way we market our products is equallyimportant. While we believe that consumercommunication such as advertising helpsconsumers exercise an informed choice, we alsobelieve its practice must follow certain principlesto ensure we gain and maintain consumers’ trustin our brands and our company.Consumer communication is a two-waymatter. The increasing importance of internet anddigital media, such as social networks and mobilecommunication, has changed forever the way weengage with consumers and consumers engagewith us. In addition, consumers’ expectationsregarding our commitment to social issues, suchas fighting childhood obesity and reducing theimpact on the environment, are higher than ever.In this context, Nestlé must demonstrate aresponsible and careful management of ourconsumer communication, both at brand andcorporate level. The Nestlé CommunicationPrinciples have been defined as the higheststandard on which all marketing andcommunication to consumers must be based.Paul BulckeChief Executive OfficerNestlé Consumer Communication Principles1

Communication to all consumers All representation including text, sound andvisual should accurately represent the product,including taste, size and content. Health benefit claims must have a soundscientific basis, comply with applicablelegislation and regulations, and be easilyunderstood by consumers. Nutrient content information, includingfortification and nutrition claims, must be madein a way that accurately reflects the nutritioncomposition of the product, and comply withapplicable legislation and regulations. Specificclaims/propositions on packaging must reflectlocal legislation. Food advertising should depict moderation infood consumption, including moderate portionsizes (i.e. not excessive, but sensible), withportion sizes appropriate to the target audienceand social context. Wherever possible and appropriate, food anddrink advertising should depict an active, ratherthan sedentary, life style. Products that form only part of a meal shouldclearly be depicted as such. Unless a snack food or beverage has beennutritionally designed as a meal replacement,it should not be portrayed as such. Snacks andconfectionery bars should be promoted in amanner that does not suggest that they replacea meal. Environmental impact and social benefitclaims must have a substantiated scientificbasis, comply with applicable legislation andregulations, and be easily understood byconsumers.2 The content of consumer communicationsmust reflect good taste and socialresponsibility in accordance with eachcountry’s laws and regulations and voluntarycodes and standards. Although standardswill vary from country to country, it must notdisplay vulgarity, bad manners and offensivebehavior and there must never be an intentionto shock or offend. Advertising content must not depict attitudesthat are discriminatory or offensive to religious,ethnic, political, cultural or social groups. Advertising should avoid exploiting mediaevents that could be in bad taste. Advertising should never exploit themisfortunes of others. Consumer communications must show theconsumption of products in a safe way, and notdepict persons engaged in dangerous activity. Advertising should not name competitorsdirectly, portray competitive productsinaccurately, nor denigrate them. It is against Nestlé principles to sponsoror place advertising in television and radioprogrammes, or magazines and websiteswhose strategy for attracting viewers orreaders relies on exploiting violence or sex, orencouraging offensive behavior to others. When collecting consumer data Nestlécomplies with applicable privacy legislationand regulations, and applies Nestlé standardswhere specific regulation is not yet in place.The “Nestlé Data Collection Guidelines” alsoinclude specific guidance on data collectionfrom children.Nestlé Consumer Communication Principles

Children as consumersIn addition to the above principles for allconsumers, Nestlé has developed the followingprinciples for communication specifically aimed atchildren. By “children” in general we mean thoseunder 12 years, but definitions may vary fromcountry to country.Nestlé must at all times be diligent in applyingthese principles, and use common sense andgood judgment to interpret them appropriately foreach country. No advertising or marketing activity may bedirected at children under 6. Advertising for children from 6 to 12 is tobe restricted to products with a nutritionalprofile which helps children achieve a healthy,balanced diet, including clear limits for suchingredients as sugar, salt and fat. Sampling and promotional activities ofproducts with the above criteria in schoolsand at events will be done only with theprior agreement and consent of the schooladministration and event organisers. Itshould comply with applicable legislation orregulations, and should be accompanied byeducational nutritional messages. Food and beverage products advertised tochildren must be appropriate for the specificage range portrayed in the advertisement. Advertising should not mislead about potentialbenefits from the use of the product. Suchpotential benefits may include, but are notlimited to, status or popularity with peers,physical growth, strength or proficiency.Nestlé Consumer Communication Principles Our communication must not undermine theauthority of parents. Children shown in ourcommunication should not be seen urgingparents or others to buy products. Advertising directed to children should notcreate a sense of urgency and imply exclusivityor price minimization, for example, by usingwords like “now” and “only”. Advertising should not portray or encouragebehaviour intended to shock or create anxietyin children, including use of violence or sexualinnuendo. Fantasy, including animation, is appropriate foryounger as well as older children. However, itshould not create difficulty in distinguishingbetween the real and the imaginary. Products developed from or associated withprogramme content primarily directed tochildren should not be advertised during oradjacent to that programme. Programme personalities, live or animated,should not be used to sell products, premiums,or services in or adjacent to programmesprimarily directed to children in which the samepersonality or character appears. In the sameway, a character or personality associatedwith the editorial content of a print publicationshould not be used to sell products, premiums,or services in the same publication.3

Consumers, diet and physical activityNestlé believes that individual responsibilityand freedom of choice are basic human rights.However, we have a responsibility to help buildawareness of how people can exercise controlover what they eat and drink – to ensure that theyenjoy a balanced diet.Nestlé considers that proper nutrition andadequate physical activity are integral tomaintaining good health.Nestlé develops, produces and markets a widerange of foods and beverages. These productssatisfy many consumer needs: nutrient content,variety, pleasure and convenience. Every food andbeverage has a role to play in contributing to theconsumers’ achievement of a balanced, healthydiet and overall well-being.Nestlé will provide consumers with helpful,understandable and relevant information aboutthe nutritional and health benefits of its products.We will create or make use of the opportunitiesfor nutritional education – including the role ofregular exercise, a balanced diet and moderationin food consumption.Nestlé will not use either extremelythin or obese people as role models in itscommunication.Nestlé will encourage and preferably sponsorevents that involve people – and especiallygrowing children – in healthy, energetic pursuitsand lifestyle, with nutrition playing a positive role.4Nestlé Consumer Communication Principles

Principles Mandatory February 2011 Issuing Function Strategic Business Units, Marketing and Sales Corporate Communication Author/issuing department Marketing and Consumer Communication Public Affairs Related Group Principles / Policies, Standards or Guidelines The Nestlé Corporate Business Principles The Nestlé Consumer Data Collection Guidelines