PepsiCo to Add More Chips to Some Tostitos, Ruffles Bags After 'Shrinkflation' Criticism

Select bags of some of PepsiCo's brands will have 20% more chips for the same price as regular bags, the company said.

The cries of those who say their chip bags are filled with more air than sustenance these days have been heard, at least by one company that's been accused of "shrinkflation."

After consumers publicly criticized PepsiCo for the practice — marked by a brand downsizing their products while keeping the price the same — the maker of snacks like Lay's, Doritos, Tostitos and Ruffles says it will soon add 20% more chips to certain bags of its fan-favorite products.

"Bonus" bags, a PepsiCo representative said during a recent earnings call, will offer more chips in Tostitos and Ruffles bags, plus two additional small chip bags in variety packs, but at the same retail price as the standard versions.

The move comes amid a time of widespread criticism from consumers on social media and even from lawmakers, with Democrats Senator Elizabeth Warren of Massachusetts and Representative Madeleine Dean of Pennsylvania accusing three large companies, including PepsiCo, of shrinkflation in a letter earlier this month. Corporations have even joined the chorus too; Carrefour, one of France's biggest supermarket chains, dropped PepsiCo items from its stores in January after stating the products had become too expensive for their size.

But although the calls for action have been louder recently, shrinkflation isn't new for most of these companies. In 2021, consumer protection lawyer Edgar Dworsky — who runs mouseprint.org, where he tracks shrinkflation changes — found certain Tostitos and Ruffles bags shrank by anywhere from half an ounce to two, though the price did not reflect that shift. And a Times Magazine analysis said Lay's bags began carrying five fewer chips, saving PepsiCo-owned Frito Lay $50 million annually.

On his website on Monday, Dworsky took umbrage with PepsiCo's "bonus" bag response to the shrinkflation criticism, noting this as a "temporary promotion" that doesn't fix the downsizing of its products at the same price.

"Don't jump to conclusions that PepsiCo has seen the light, is caving into governmental pressure and consumer anger, and plans to upsize all their products," he wrote. "PepsiCo is simply coming out with some 'bonus' bags on some products in some areas it appears. By definition, a 'bonus pack' is a temporary promotion whereby the new package has some additional content compared to the regular size."

A recent survey by Morning Consult found nearly half of its respondents said they have switched brands after noticing products shrunk, and 30% said they stopped buying from specific brands altogether after noticing shrinkflation effects. Dworsky told Scripps News last year that consumers should be wary of per-unit price to ensure they don't fall victim to shrinkflation and that generic or store brands will be the last to employ the practice.

EDITOR’S TAKE:

Over the course of the past three or four years we heard a great deal about “Shrinkflation”. People have been suspicious of what food companies were doing to package size as a means to deal with historical levels of inflation during the period. Let’s face it, as consumers we were stressed out about rapidly rising prices. And as was done in prior periods of high inflation (1970’s), food companies tried their best to keep costs down. One can argue if shrinkflation actually helps or hurts in that regard, but either way it was a tool designed to help. Now PepsiCo is putting more in some of their packages to combat the continuing rise in food prices. Will it help sales? Time will tell. What are you doing to help improve sales? Can I make a suggestion – use AgPack® as a means to help farmers/ranchers offset rising production costs. AgPack® offers up to $40,000 in exclusive rebates and discounts on products often used by farmers/ranchers. Plus, this “Hood Cash”, as we like to refer to it, can help conquest more truck sales.