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PepsiCo slated to launch Doritos in India this week

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PepsiCo slated to launch Doritos in India this week

PepsiCo has announced that it will be adding a mega brand to its snacks portfolio after a gap of over a decade. The leader of the domestic salty snacks market and worth Rs 8,700 crore, PepsiCo will be introducing its nacho chips ‘Doritos’ to Indian stores this week.

Doritos is PepsiCo’s third largest snack brand in the world, and the only national player in the flavored tortilla chip category in the US. In 2013, it clocked 39 percent market share according to Euromonitor International.

Doritos, which is positioned as a premium high-margin brand, will compete directly with homegrown Cornitos by Greendot Health Foods Ltd and other imported brands like Pringles and Snacka Lanka. With the launch of Doritos, PepsiCo plans to consolidate its premium snacks portfolio after receiving positive feedback for its Lays Maxx and higher end variants of Tropicana earlier. Currently, the company is witnessing relatively higher growth within the snacks segment than beverages, which has dropped to single digit numbers. Although, PepsiCo is still on top of the snacks market in India, it is facing competition from regional players like Balaji Wafers and Haldiram’s which are steadily challenging its market share.

Though the company has not revealed the price points of its new product yet, the online food portal Gourmet Food India retails it for Rs 395 for a pack of 195 gms. The pricing point will also be influenced by PepsiCo’s strategy of fuelling volumes and widening its distribution footprint.  However, it will be interesting to see PepsiCo’s marketing strategy including celebrity brand engagement for Doritos, given their past association with Bollywood mainstream actors like Ranbir, Saif Ali Khan and Parineeti Chopra for Lays and Kurkure.

The triangle-shaped Doritos, the New York-based firm's third largest snack brand after Lays and Cheetos, will be imported initially till the local production capacity is put up in place.

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