Hostess chip launch

On june 29, Hostess Frito-Lay announced the launch of a new corn-based chip, Doritos Tortilla Thins.Available in the u.s. since March, Tortilla Thins are thinner, less oily and less seasoned than traditional tortilla chips.Hostess President Jim Postl says the new chips...

On june 29, Hostess Frito-Lay announced the launch of a new corn-based chip, Doritos Tortilla Thins.

Available in the u.s. since March, Tortilla Thins are thinner, less oily and less seasoned than traditional tortilla chips.

Hostess President Jim Postl says the new chips are targeted at adults concerned about their health and the foods they eat.

Postl says tortilla chips represent the fastest-growing segment of the salty snack-food market, adding 20% of Hostess’ total chip sales are accounted for by tortilla brands.

Canadians spend $1.2 billion annually on salty snack foods. Postl says Hostess’s share of the market is 37% to 38%.

Postl says ad support for Tortilla Thins ‘probably won’t start until August when we have full distribution.’

He says the upcoming campaign, developed by Hostess’ agency Young & Rubicam, will be a ‘big-event kind of campaign’ designed to spur a ‘high level of trial.’

The initial media buy will be over a ‘seven- or eight-week period, he says.

As part of the launch strategy, Hostess will conduct an in-store sampling program.

As well, for the first eight weeks or so after its launch into markets across the country, Tortilla Thins will sell for 99 cents per 100-gram bag. The regular price for a 100-gm. bag of chips is $1.99, notes Postl.