PepsiCo will reduce prices on select U.S. snacks such as Doritos, Lay’s (Walkers in the UK), Cheetos, and Tostitos by up to 15 per cent from this week. The move addresses consumer anger over prior increases and the rise of GLP-1 drugs like Wegovy and Ozempic that suppress appetite.
It coincides with the Super Bowl on 8 February, a peak sales period. PepsiCo said it was “listening closely to customers” who are feeling the strain of higher living costs.
The firm plans to axe nearly 20 per cent of its U.S. product lines by early 2026 for efficiency. Chief executive Ramon Laguarta said it is “betting a lot on portion control” as users cut food spending due to reduced hunger. Over 70 per cent of U.S. offerings remain single-serve.
New healthier options include Doritos Protein and Simply NKD variants without artificial colours. PepsiCo’s U.S. food chief Rachel Ferdinando said, “We’ve spent the past year listening closely to consumers, and they’ve told us they’re feeling the strain.”
She added, “Lowering the suggested retail price reflects our commitment to help reduce the pressure where we can.”
Revenues hit $29.34 billion for the quarter to 27 December. Shares rose almost 4 per cent on Tuesday after a 5 per cent 2025 fall. PepsiCo eyes 2026 productivity gains despite tariffs, labour costs, and shrinkflation backlash.