Marketing In The News: Lays ReBrand

https://www.pepsico.com/our-stories/story/from-potato-to-chip-the-next-chapter-of-lays

I was drawn to this article about Lay's major brand redesign because I was curious on how classic companies such as Lay's can still stay relevant with the ever-changing times, while staying true to themselves as a brand. When people think of potato chips, Lay's is one of the most iconic brands and has been for decades. I was fascinated by how Lay's used branding and product storytelling to reinvent themselves. 

Summary   

Lay's, the #1 potato chip brand in the world, has recently launched its biggest brand redesign. This is the first time this classic brand has rebranded in nearly 100 years. They rebranded the classic Lay's look and modernized it while showing how their potatoes are locally sourced from family farms.  This article showcases the transparency Lay’s created with its customers. They want consumers to know that every one of their chips begins on a farm. Even though Lay’s is the global chip leader, 42% of their customers have no idea that Lays chips are made with real potatoes. Along with sharing where their potatoes are sourced, Lays is making a cleaner ingredient commitment with its consumers. By the end of 2025, Lay’s products in the United States will contain no artificial colors or flavors. Lays not only rebranded what’s inside their bags of chips but the bags themselves. The new logo reflects the commitment Lays is making to only use quality ingredients.  

Lay’s Value Proposition 

Lay’s is making a promise to its consumers, “real job from real ingredients”. The company's value proposition is the promise to provide consistent, high-quality flavor while connecting consumers with the farms where the chips started. They are using the phrase “farm to bag” to create a sense of community because consumers know where their food is coming from.  

Marketing Relevance & Challenge  

This article highlights the rebranding that Lay’s has done.  This rebranding has also doubled as strategic repositioning. However, there is a challenge that comes with this new rebranding. For years Lays has been known as a potato chip brand with overall processed ingredients and artificial flavors. In order to combat this perception Lays is removing all artificial ingredients from product lines in the United States. They are also redesigning their packaging to highlight their farm-gown potatoes. Finally, they are showing the real farms where they are sourcing their potatoes and showcasing their stories. Lay’s uses storytelling and clean labeling to keep up with the organic brands in the snack industry. I think that this approach is unique because they are using real people and their real stories to stay relevant in the snack market. They are not using flashy slogans, or new flavors to try and bring in a new crowd. Instead, they are using the stories of real farmers to appeal to a new crowd.  

My Critique & Recommendation  

I think that Lay’s jump to fully ingredient transparency is really smart for their brand. There is a move right now to be more health conscious about what you are putting into your body and focusing on the whole ingredients. So, Lay’s making that shift was a very smart move. I think as a brand they could go even further with them and really showcase the stories of the farms and the farmers. They could integrate a QR code on their bags of chips that shows consumers the farm that grew the potatoes in that bag.  
 

What I Learned  

What I learned is that brands and companies must evolve with customer expectations. A brand that has been around for decades such as Lay’s must stay up to date with current trends and expectations to stay relevant. Lays didn’t just change the look of their bags; they changed what's going inside of them as well.  

Go to lays.com for more information