Wednesday, September 19, 2007

Chips & Tale !!!

Brand: Lay's (Packaged snack)
Agency: J. W.T.




An unlikely weapon of global domination in an arena of super-brands (irrespective of the category of course)!!!

The product features are a hundredth of an inch thickness, light golden colour with a perfect “saddle curl”, salty to palate with a hint of chilly. Lay’s potato chips have proved it time & again. The Chinese might have their “nyen gao ping” - made from rice flour, and the Indians have their lentil (and other legume) namkeens, but Frito-Lay believes they would rather be eating potato chips. The company's research has shown that when given a choice between their local snack and a Frito-Lay chip, consumers in most countries will choose the chip.

Forget the company research, & also forget Lay’s, consider our consumption pattern on campus. There are many who find a differentiation in colour by saying “I want a green & a yellow Lay’s” or may be “a banana chips” as the other option. Putting all such findings & more into practice, Frito-Lay has expanded on all five continents by buying up local snack makers or defeating them with its marketing expertise.

Frito-Lay whetted strategy for moving into new countries where a local snack industry is already established. Rather than face the costs of building a new business in an unfamiliar market, the company identifies the leading local snack manufacturer and offers to buy it out. If the local manufacturer refuses to sell, Frito-Lay moves into the market on its own, using its size and marketing experience to cut into the local manufacturer's sales. Often, at that point, the local company gives in and sells, sometimes for a lower price than the original offer.



For instance Frito-Lay, after buying Walkers, a dominant chip in Britain, the Texas company evangelized the Walkers logo into the red "banner sun" design, as a first step toward changing the brand to Frito-Lay outright. Similar strategies have been implemented for Sabritas in Mexico and Simba in South Africa. The strategy heads at Frito-Lay say that people know what they like & they just want people to recall it as Lay’s – now onwards.

Now that’s assertion -- & why should it not be? -- After all it has been widely acclaimed that potato chips have always been very common at almost all possible geographical area where it made its presence. R& D dept. of Frito-Lay had something similar to say when they claimed that it has never been that “Lay’s potato chips have been unsuccessful. It's been successful every single place we've introduced it."

Sometimes Frito-Lay's products are so unfamiliar (not because of as a new entrant in a new market altogether but catering to a pre-existing snack market & bringing clarity to tap consumer) that the advertising campaigns focus on educating consumers in the hope of changing their "consumption habits." In China, Frito-Lay ads show potatoes actually being sliced, so people know where the chips come from. In Turkey, the company distributed pamphlets suggesting new recipes and eating habits: "Try a tuna sandwich for lunch, and join it with a bag of chips."

Its interesting to notice that flavours signed in within the last 15 -20 years but what existed before that & still acquires almost 4 / 5th of the total palate share when it comes to potato chips is the conventional one.

Taste Ke Liye Kuch Bhi Karega -- Seriosuly seems as if “You can't eat just one....Lagi bet! --- What say???




(Inspired by this person on the fact of argument that why was it that “Ruffles Lays” which had well been accepted as a brand had to undergo a transition & be re-incarnated “Lay’s”???…

Honestly speaking ….even I haven’t hit upon as to what exactly happened….I solicit to all those who have been through my writings prior to this & will go through again this time to please help me out….Your responses is highly esteemed….Mrutyunjay !!!)

3 comments:

Unknown said...

hie bunty, yet again good research...some new insights on the jumbo brand...each blog has something new for us to learn...hmmm as far as i think it would have been even better if you could enlighten us on present scenario in snack market..just a suggestion.... overall brilliant work...looking forward for the next one....
do visit my link
http://ratianand.wordpress.com/2007/09/08/frozen-momentswhen-detiny-makes-you-re-live-your-life/

Unknown said...

hello sirji!!!
maine aapko pehle bhi bola tha ke aap research ke baad kuch aapna conclusion pe aaiye for eg. the future of lays from ur point of view....but really u r fabulous and thatz why expectation level is also high...keep meetin it up.....exceptional work....
keep writin......

Unknown said...

hello,
good research! but more than the ressearch content, i liked the way u introduced the chip, left me mouth watering. mujeeb has Rs.10/- in his pocket for sure.