Pepsi takes on Haldiram & Parle

Launches 40% cheaper new chips brand 'Lehar'

In an attempt to reclaim market share taken away by domestic players such as Balaji, Haldiram, Parle and Prakash Snacks PepsiCo, the US-based snacks and soft drink maker is churning out plans. PepsiCo launched 'Lehar' potato chips two weeks ago in parts of Maharashtra and Gujarat. The new product is unlikely to impact Lays' market because of its target consumers, primarily the hinterland of these states, who are buying chips that are cheaper than Lays.


Both Gujarat and Maharashtra are big markets for the snacks segment, with Balaji holding over 70% market share in Gujarat and having an equally strong presence in Maharashtra along with Haldiram and Parle.


Analysts say PepsiCo's move is aimed at countering low-priced players without diluting its flagship potato chips brand.

"Consumers now want variety and new tastes. They are not loyal to any particular brand," says BK Rao, general manager, Parle Products.