Lay’s bets on “real potatoes” as Americans turn away from fresh ones
PepsiCo’s internal research showed that 42% of consumers didn’t know Lay’s chips are made with real potatoes.
Lay’s wants to remind America that its chips come from actual potatoes.
At the end of last week, the brand’s owner, PepsiCo, announced what it called “the largest brand redesign in Lay’s nearly 100-year history,” swapping the familiar shiny yellow bag for a matte look stamped with “MADE WITH REAL POTATOES.” The company also said it will remove artificial flavors and colors from its core US lineup by year-end, and will begin using olive or avocado oils in some versions.
The brand’s makeover comes as the embattled giant struggles to revive its snack business. In the third quarter, PepsiCo’s North American convenient foods unit — home to Lay’s, Doritos, and Cheetos and nearly a third of total revenue — saw its sales volume drop 4% from a year earlier, as higher prices and GLP-1 drugs weighed on customer appetites.
In a bid to win back snackers, PepsiCo’s latest move is to reintroduce its top-selling junk food as a “real, farm-grown” product. Indeed, the company’s internal research showed that 42% of consumers didn’t know Lay’s chips are made with real potatoes.
Fresh from frozen
Betting on America’s love of potatoes is probably a decent idea — though the country has steadily turned away from “fresh” spuds over the decades.
According to data from the USDA, the per-capita availability of fresh potatoes has more than halved since 1970, while frozen forms — mostly french fries — have more than doubled. Add in chips, dehydrated, and canned products, and processed potatoes now account for over three-quarters of the nation’s potato supply.
Interestingly, that shift seems unique to potatoes. Across the rest of the produce aisle, Americans have been going fresher: over 60% of total vegetables, excluding potatoes, are now consumed fresh, compared with just 25% for potatoes, per the USDA.
