Lays Marketing Strategy

Marketing Strategy of Lays – Lays Marketing Strategy: In 1932 Herman W. Lay started a small business situated in Nashville, Tennessee, and started selling potato chips. The business was later purchased by Herman and became H. W. Lay & Company which later was acquired by Frito-Lay and is now owned through Pepsico which is owned by Pepsico. the Lays brand is one of their most valued brands. 

Lays was the very first snack food item to be advertised on television. Today, it is a well-known brand with a worldwide presence, with flavors that correspond to various preferences and cultures, thereby maintaining the good image of the brand. 

Did You Know About Lays?

[wp-svg-icons icon=”office” wrap=”I”] Company : Lays

[wp-svg-icons icon=”user” wrap=”I”] CEO: Steven Williams

[wp-svg-icons icon=”user” wrap=”I”] Founder: Herman Warden Lay

[wp-svg-icons icon=”calendar” wrap=”I”] Year founded: September 1961

[wp-svg-icons icon=”location-2″ wrap=”I”] Headquarters: Plano, TX

[wp-svg-icons icon=”stats” wrap=”I”] Annual Revenue : $15.798 billion

[wp-svg-icons icon=”bars” wrap=”i”] Profit | Net income : $20,640 million

[wp-svg-icons icon=”pie” wrap=”i”] Products & Services: 
Ruffles potato chips, Doritos tortilla chips, Tostitos tortilla chips and dips, Cheetos cheese flavored snacks, Fritos corn chips, Rold Gold pretzels, Sun Chips, and Cracker Jack popcorn.

[wp-svg-icons icon=”pacman” wrap=”I”] Competitors: Kellogg’s, Mondelez, General Mills, Kraft Heinz, Conagra Brands, Nestle, Hershey, Coca-Cola, Ingredion, Smucker’s.Read Article: What Is Marketing Strategy? Definition

[wp-svg-icons icon=”globe” wrap=”I”] Website:

 Lays Fun Fact : In 1932, salesman Herman Lay opened a snack food operation in Nashville, Tennessee. In 1938, he purchased the Atlanta, Georgia-based potato chip manufacturer “Barrett Food Company”, renaming it “H.W. Lay Lingo & Company”. Lay crisscrossed the southern United States, selling the product from the trunk of his car.

Marketing Strategy of Lays – Lays Marketing Strategy

Lays Mission

To be the world’s favorite snack and always within arm’s reach.

Lays Vision

At Frito-Lay, delighting our consumers is job No. 1. To us, that means putting consumers first in every decision we make – from the quality and care that goes into making our snacks to how we give back to the community and care for our environment.

Our associates take pride in their jobs because our consumers deserve nothing less

Lays Tagline

Smile with Lay’s

Segmentation Targeting and Positioning in the Lays Marketing Strategy

Lays has divided its market following the different regions. It is sold across India and has been focusing specifically on the semi-rural and rural regions of India. Lays has divided markets based on age group, is the most well-known among teenagers, and is also a great bite for adults to take advantage of. 

It’s not a premium product however it is not consumed by people with lower incomes. According to the behavior grouping the product is mainly consumed at theaters, parties, and also in hostels as a snack. students. 


The brand offers a variety of tastes that appeal to diverse types of consumers. The brand has also created products known as Baked Lays and Baked Lays, which are designed to specifically target the health-conscious consumer segment. 

The main target market for Lays is that of the young and young like those who purchase tickets to theatres, stadiums, or in some cases, even home. 


Lays is readily available throughout the world and offer a range of tastes. It is food that is a snack at any time of the day for consumers to indulge in. It has been branded as a brand ambassador and fans during cricket matches, etc. 

At first, the lay’s position using the tagline “Can’t eat just one” was more focused on the ingredient quality and flavor rather than what is offered to the consumer. It has since reinvented itself around the phrase “get your smile on” and hopes to create an experience that is enjoyable for consumers. 

This brand has now been focusing its attention on customers’ little moments of happiness and has created a range of initiatives and campaigns to communicate the message to stores across the globe. 

Competitive Advantage in the Lays Marketing Strategy

Strong Global Presence :

PepsiCo is a major player in global markets including Europe as well as the Americas, Asia-Pacific, the Middle East, and Africa. Lays makes use of PepsiCo’s presence in more than 100 countries. 

Strong Distribution Network :

Lays is a major advantage when it comes to their distribution network because it relies on the Pepsico distribution system which is among the most efficient networks around the globe. 

PepsiCo as a parent company :

Brand PepsiCo is among the most recognizable brands around the globe and is the biggest FMCG business. This is a huge help to Lays receive massive capital investment which is needed to advertise as well as the brand for Lays. 

The company that makes food and drinks is now working with methods to maintain its 45 percent part from the Indian salty-snacking industry which is worth more than 2 billion dollars 

BCG matrix in the Lays Marketing Strategy

PepsiCo holds the number. number one spot in the industry of salty snacks and one of its most popular products is Lays. The consumption of carbonated drinks has been at an all-time low and PepsiCo has been relying on the rise of Lays. 

Pepsico India aims to double its profits from the snack segment through the growth of brands such as Lays, Kurkure, Doritos, and Cheetos. Lays itself is worth more than 10 billion dollars.

In the BCG matrix, Lays brand comes in the top spot due to its high amount of competition, as well as significant expenses for advertising and growth, and is the highest performing brand in PepsiCo’s branding range. 

Marketing Strategy of Lays – Lays Marketing Strategy

Distribution in the Lays Marketing Strategy

Lays utilizes an extensive distribution system that plans to sell the products at as multiple logical places as. Since Lays does not come across as a luxury product, and is in high everyday demand It is available in a variety of places throughout the globe and also in rural and semi-rural regions of India. 

The items are available everywhere from supermarkets, grocery stores gas stations, superstores, and even in vending machines at malls, airports, as well as offices. The product typically reaches the market via the following three channels that include the third-party distributor, the customer warehouses, and DSD, also known as Direct Store Delivery. 

PepsiCo’s dominance in the market helps it to have good relations with retailers. 

Brand equity 

Lays has shifted its focus on the millennials who drive the customers through its Facebook page, and is now an important topic of discussion through social media. The unique flavor combinations of Lays are now a popular most loved flavor. The recent Cheesy Garlic Bread flavor was popular with customers and boosted sales by 8. 

Lays has assisted PepsiCo to achieve the No.1 place in the snacks industry and also helped to earn substantial profits at a time when carbonated beverages sales were at their lowest. 

Competitive analysis in the Lays Marketing Strategy

Lays had introduced a selection of international flavors such as French Salt and Cracked Pepper, Chile Lemon, Spanish Tomato, and more. within the Indian market and got only a moderate response. Domestic growth rivals like Haldirams have become international brands through products such as Aloo Bhujia which were designed for the Indian palate. 

ITC and its brands such as Bingo is also solid rival. There are a variety of healthy snacks readily available, including Cornitos as well as other snacks made of multigrain. According to Nielsen the number of brands in over 3000 companies within the category of salty snacks. 

The sodium content is reduced by 5%-25 percent in different versions of Lays and the company hopes to cut it to 75 percent by 2025. Initiatives like this will aid in helping Lays remain ahead of competitors. 

Customer Analysis in Lays Marketing Strategy

Lays began by targeting high school students but has since expanded to adults too. Its primary clients are young people who are interested in entertainment, sports cinema, sports, etc. It employs massive marketing strategies to attract its audience. 

PepsiCo India has now started creating Rs 5 packets in rural and semi-rural India. The North Indian market is being targeted by the spicier version that is aimed at the southern Indian market. 

Promotion Strategy in Marketing Strategy of Lays

The latest strategy for marketing for Lays is called the “Lays Local” campaign which is focused on the 80 farms spread across 27 states of India which grow the potatoes that make Indian customers feel greater affection for the brand. 

Lay ads are found on various channels, including magazines, TV, newspapers, and other printed media. Lays also has a great presence through Twitter, Facebook, and YouTube. To increase the popularity of Lays more popular with athletes, the brand sponsors major sporting occasions to ensure it is popular among young people. 

Lays has been developing its packaging, flavors, and even the way it communicates. Lays with its new marketing campaign is looking forward to putting smiles on the faces of its young and millennial customers. 

With the campaign for non-profit Operation Smile and Jordin Sparks as the brand ambassador, Lays has launched numerous events within the middle of Times Square putting a donation to the campaign with every bag bought. 

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