Lay’s Product & Promotion Policy

ranges, cognize as Walkers in the UK and Ireland, is the smirch name for a number of crisps varieties as well as the name of the company that founded the chip brand in 1932. Over 90% of the population is familiar with the brand-name and with more than 50% of the grocery sh bes, we hatful definitely call them the market leader. Its for this company that we depart briefly clarify the product- and promotion policy. Product stations The brand name For the brands name temporals designs a combination of group-brand and a case-by-case brand.Its a group-brand because PepsiCo doesnt use its own name to sell the products, but they use the brand assigns to distribute them. Further more, Lays grasss use of individual brands for the dissimilar flavours wish there are Lays Light, Lays Oven and Lays Sticks. Even though all the products blend to Lays, they sell them according to their divers(prenominal) characteristics by a different name. By making use of market segmentation, Lays c reates the fortuity to expand its assortment and itself. In this way each product provide receive its own identity. Assortment strategiesLine stretching Lays often expands their assortment by adding new flavours and new sub-groups. For example Lays developed Lays Light and Lays Oven. With these groups they tried to penetrate a new group of consumers who worry almost the percentage of fat that crisps contain. Lays Light contains 33% slight fat and in the sub-group Lays Oven, the crisps contain 70% less(prenominal) fat. Line filling Lays completes their assortment of existing products by adding new varieties to the different groups. Since 2011, for example, they have a product variant called saturnine Pepper & Sea Salt.In this way they obtain a more complete assortment and can they satisfy more consumers. advancement Lays Promotional campaign Lays as a market leader doesnt have strong disceptation because they have a strong promotional campaign. The company similarly makes dif ferent price actions for the introduction of new products. Subsequently the price is lowered to enthral the market. The consumer pays less for the same product and receives a sort of reduction. This is one of the sales promotions techniques Lays uses. The sales are stimulated at short-circuit enclosure by temporal improvement of the price-value ratio.sometimes Lays offers sampling and free crisps. Lays also organises cash-refund actions where you suck your nones back by sending back the barcode of your package of Crisps. The main advantages are the low cost, the consumers information is saved in database and the involvement of the retailer is not necessary . This may lead to a horizontal effect or market expansion. At first place, Lays wants the customer to pull together and try its product. When the customer is satisfied and buys the product again, we call it a repeat. Sometimes Lays also has a specific offer where you get a 3rd bag for free.They realise this by offering s pecial promos to customers. This also is a kind of sales promotions where they offer a bigger quantity of goods for the same price. This results in an advantage in goods. Within these promotions, we can speak of a vertical effect or market effect. unmatchable testament try to create more market share by creating a higher brand loyalty, user intensity and revenues. Moreover the consumers will be blocked to other brands of crisps. Possible risks are that the consumer will strain their products and it wont lead to extra consumption. Lays also organises saving campaigns. They have a savings campaign called Lays Chip Trips.The point of this campaign is that consumers find a code on the bag of Lays. They can go to the site of the company and compute this code. People can save points online this way, and when they have saved enough, they can throw there points in all kind of prices like free submission to a theme park and free stay at a hotel. Lays will try to stimulate the revenues on the shorter term and bind the consumers to the brand this way. The company also organises contests. In many countries like the Netherlands, Lays has started a competition where mint can make new flavours and present them to Lays. flavours are chosen by Lays and the consumer has to decide by voting which flavour is the best. Every consumer that votes, has the bump to win a Mini. This campaign was a great success. The finale flavours were exchange 6 million times. In the Netherlands, Patatje Joppie was the eventual winner and has appeared in the shops move February. These promotions can lead to higher revenues because one creates more users. These users can be people who buy the product for the first time or people who buy the products of the competitor.