PepsiCo India is expanding its potato chips snacks portfolio with the launch of a new sub brand under its flagship brand Lay’s Shapez, which is heart-shaped potato-based pellet format . 

Lay’s Shapez Heartiez portfolio includes masala flavor besides Caramel flavor.This marks brand Lay’s foray in the sweet flavored chips segment.

Saumya Rathor, Category Lead – Potato Chips, PepsiCo India, said, “As a category leader, we believe it’s important to keep bringing innovations in the snacking segment to meet evolving consumer needs.. This sub brand has been developed for the India market. As the snacking landscape evolves, there is a discernible trend toward a surge in demand for innovative, textured, and uniquely shaped snacks, and pellet-based offerings.”

As per industry estimates , the size of the pellets snacks segment in India is pegged at ₹1,800 crore and growing at 18 per cent y-o-y.

“Lay’s Shapez Heartiez has been launched in direct response to the growing need for fun, and crunchy snacks that go beyond traditional offerings in the rapidly expanding potato-based pellet chips market,” she added. 

Rathor added that the new sub brand’s offerings are priced at popular points of ₹5,10 and 20 to drive up trials and expand consumer base. 

In 2022, the snacks and beverage major had launched Lay’s Gourmet marking the brand’s entry in the kettle-chips segment. “We have seen strong traction for Lay’s Gourmet as we continue to deepen its distribution in metros and mega cities,” Rathor added. 

PepsiCo India has been stepping up new launches in recent times in the snacks segment across both Lay’s and Kurkure.

This comes at a time when the organized snacks players are seeing heightened competition from regional and local brands. 

Earlier this month, PepsiCo said that its India business recorded mid-single-digit organic revenue growth in the full year of 2023. The company saw double-digit growth in beverage unit volumes but snacks segment witnessed a “low-single-digit decline.”