Frito Lays Chip

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FRITO LAYS CHIPS. BACKGROUND AND ENVIRONMENT The Frito-Lay company is a $13 billion subsidiary of PepsiCo that employs 48,000 people. They are a nationally recognized leader in the manufacture and marketing of salty snack foods. Brands include Lay’s, Ruffles, Frito’s, Doritos, Tostitos, Cheetos, pretzels and Funyuns. They produce nuts, peanut butter crackers, beef sticks, cookies, snack bars and more.They sell and deliver through a “front-door store delivery system” in which one person performs the sales and delivery functions. This system allows the products to be closely monitored and restocked, as well as creates a relationship between the sales/delivery person and the supermarket staff. MARKETING PLAN MISSION * To…show more content…
13. Innovative advertisement for high awareness. Segmentation Segmentation is the division of the market into various homogenous groups. Basically, Frito Lay products are generally marketed to the Hispanics prior to targeting the general market. Frito Lay has Mexican roots which explain why the Hispanic market was the initial market segment. The attractiveness of the market is evident on the strong needs for snacks among all segments. Nevertheless, the focus of segmentation is on penetrating the teen segment. As such, while the Hispanic population likes bold and spicy flavored snack, there is high influence on kids in making snack purchase decisions, emerging Y generation has purchase power and busy lifestyles demand food on the go. Further, Frito Lay is a leader in the dip market but since there are many competitors in the market the company decided to penetrate the vegetable dip segment. This is in addition to chip dips segment particularly the shelf-stable sour cream based dip and other chip dips which are already in the mature stage of its lifecycle. Targeting Targeting is the identification of audience to which a product will be marketed. As already noted, the Hispanic population is the initial target market but now also includes the generations X and Y. Teenagers make up a considerable percentage in the marketing activities of Frito Lay especially since they are very particular
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