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Swot Analysis: On Lays

Lay's is a popular potato chips brand with a 50.2% market share in the US and presence in over 200 countries. It has strengths in its large market share, locations in remote areas increasing brand awareness, and strong distribution network. Weaknesses include health concerns reducing sales and uncertain activities affecting reputation. Opportunities exist in increasing disposable incomes, tourism growth, and focusing marketing on young people. Threats include health-conscious boycotts, competition lowering margins, and raw material price fluctuations.

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251 views

Swot Analysis: On Lays

Lay's is a popular potato chips brand with a 50.2% market share in the US and presence in over 200 countries. It has strengths in its large market share, locations in remote areas increasing brand awareness, and strong distribution network. Weaknesses include health concerns reducing sales and uncertain activities affecting reputation. Opportunities exist in increasing disposable incomes, tourism growth, and focusing marketing on young people. Threats include health-conscious boycotts, competition lowering margins, and raw material price fluctuations.

Uploaded by

Mr Unique
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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SWOT ANALYSIS 

ON LAYS 
INTRODUCTION 

Lay’s is a very popular chips brand all over the globe, it was
started in late 1940, and it contains a lot of outlets
worldwide. This potato chips brand was owned by Frito
Lay’s with a turnover of 1.2 billion USD. This brand
contains different popular variants and it is sold in around
200 different countries with 200 different flavours. 
STRENGTHS

01 02 03
Market Share: Lay’s had Located in Remote Strong Distribution
a piece of the pie of 50.2% Locations Too: Lay’s has Network: Also Lay’s has
of the overall industry also been located in a huge distribution
while in the US it was remote locations which network with various
29.6% of the potato chips lead to an increase in their flavours which also attract
market. brand awareness.  all types of target
audiences. 
 Health Concern Among People: As Lay’s is a high-
calorie snack containing a high amount of fats, people
are now more concerned with their health which reduces
the product sales of Lay’s. 

WEAKNESS   Uncertain Activities: Due to some doppelganger


activity and memes affects the reputation of Lay’s. 
 Non-recyclable Packing: Lays packaging is non-
recyclable which affects the reputation of the company. 
Opportunities

 Disposable Income: Due to the high amount of disposable income in emerging


countries, the consumption of snacks also increases which leads to an increase in
sales of Lay’s. 
 Increase in Tourism: After the release of lockdown, there is an increase in
tourism activity which leads to tourists purchasing Lay’s for travelling, this
enhances the growth of the company.
 Focus on Youngsters: As Lay’s is one of the favourite snacks among kids and
youngsters, Lay’s should start working to divert its marketing efforts towards this
age group.
 Innovation in Flavours: Lay’s is famous among customers for its flavours and it
should continue launching new flavours in the market to increase the craze of
Lay’s among people.
• THREATS 

 Boycott: Lay’s are usually boycotted by health-conscious people


which leads to lower demand for Lay’s. 
 Lower Margin due to Competition: As the growing scale in local
distribution, there is a high amount of competition between the
competitors which leads to a lower margin.
 Price Fluctuation of Raw Material: Lay’s raw material is potato
and price fluctuation of this raw material might affect the cost of the
final product.  
CONCLUSION 

 Lay’s is a well-versed snack brand that has been


established. It is one of its kind of snack brand. The
band has done its strategies well to stand its position
on the continent. Lay’s has to work on launching
healthy variants of its product so that Lay’s can get rid
of some uncertain boycotts. 
 But being such a huge brand serving chips and
products across multiple countries, Lay’s should
continue to innovate and develop more products and
launch them in the market with the best possible
marketing strategies.

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