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Tostitos, Ruffles and Other Brands Are Adding More Chips to Select Bags After Being Accused of 'Shrinkflation'
There will also be more bags in select chip multipacks
By Toria Sheffield Published on October 20, 2024 08:00AM EDT
Chip lovers, rejoice!
PepsiCo, the maker of popular chip brands including Doritos, Lay’s, Ruffles, Tostitos and more, will be adding more chips to certain bags, a company spokesperson revealed during a recent earnings call.
The brand will add 20% more chips to select bonus bags of Tostitos and Ruffles, and it will also include two additional bags in variety packs, bringing the total number of bags to 18.
The move by PepsiCo. comes after the multinational food and beverage company was criticized for reducing the amount of product sold without a corresponding reduction in price — also known as "shrinkflation."
Bank of America analyst Bryan Spillane told CNBC during a June interview that the price of salty snacks has increased by “20% or greater” over the last four years.
Additionally, consumers are increasingly switching to generic brands over name brands in order to save money amidst rising costs and smaller sizes, he added.
According to FOX News, in a recent earnings call, Pepsi CEO Ramon Laguarta acknowledged that inflation has impacted consumer spending patterns. He also said football season means, “There’s a lot of gatherings.”
TD Cowen analyst Robert Moskow told CNN that he expects other popular food and snack brands to also start adding more product to their packaging — without increasing prices — to address this issue.
Shrinkflation has become such a point of concern for so many Americans that President Joe Biden even mentioned it in his 2024 State of the Union address, saying, “It’s called shrinkflation. You get charged the same amount and you got about, I don’t know, 10% fewer Snickers in it.”
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