DORITOS FREE Doritos were first introduced to the market in…
DORITOS FREE Doritos were first introduced to the market in 1966 as a taco flavored corn chip, with Toasted Corn and Nacho Cheese added in the following years. Currently, over a dozen flavor varieties are offered. Distribution for Doritos consists primarily of grocery stores, convenience stores, and vending machines. The strong brand name has allowed Doritos to gain prime shelf space in grocery stores and convenience stores for predominant displays and better promotion position. As market leader with 78% control of the tortilla chip market, there is little competition for Doritos within this market. However, looking across the snack category, Doritos has competition from brands of potato chips, Chex Mix, and Cheetos as well as nuts and pretzels. Doritos Brand The Doritos brand represents a bold flavor experience and has continued to be the tortilla chip leader in the “salty snack” category, with almost universal appeal. Doritos has been endorsed by popular celebrities, held breakthrough advertising campaigns at the Super Bowl, and boasts an online fan club, all of which are a great source of brand equity, loyalty, and recognition. Brand research was conducted in 2012 employing a combination of surveys, focus groups, and collages to define the brand’s image amongst consumers. The resulting brand map included five core associations: Chip, Triangle, Cheesy, Crunchy, and Orange. These associations speak to the iconic shape (triangle) and dominant Nacho variety (cheesy, orange). The secondary associations reflect usage occasions for consuming Doritos (football, party, snack), flavors (Cool Ranch, Nacho), and packaging (red bag). However, the secondary associations also include several negative associations, such as unhealthy, salty, and bad breath. The “Better for You” Doritos Introduction In the past decade, many companies in the food industry have launched products that are healthier alternatives for consumers. Companies have reformulated existing products or have developed new products with fewer calories, salt, fat, and additives. In this vein, food scientists have formulated a new version of Doritos that is “better for you” than the original versions. The new Doritos are made of organic corn meal, offering a lower calorie snack with very few additives, very little salt, and less fat. To reduce food additives, this new variety has a simple corn flavor, without the added cheese, nacho, BBQ, or ranch flavorings found in the regular Doritos line. This version has been dubbed internally as “Doritos Free” during the development process to signify that it is relatively free of additives, salt, and fat. Taste tests conducted in test kitchens suggest a promising future for the product. When tested against other natural and low fat chips, 80% of consumers prefer the taste of Doritos Free. However, as is the case with many healthier food formulations, the taste of Doritos Free loses when tested against the regular corn flavor of regular Doritos—60% of consumers prefer the taste of regular Doritos over Doritos Free. In preparing for the launch of the new Doritos product, several issues remain. Particularly important is the branding decision—how should the new Doritos version be named? One option is to use the name “Doritos Goodz” chips that would signal to consumers that the product is free of many of the unhealthy ingredients of the regular versions. A second option being considered is to use a brand with less emphasis on the Doritos name, such as “GoodChips by Doritos.” This option is being considered because several people on the marketing team feel that Doritos “Goodz” chips is not an appropriate name for the healthier Doritos product as it is not completely free of additives, salt, and fat. A third option is to launch the new product under an entirely different brand name, such as “GoodChips,” without mentioning any connection with the Doritos brand.