Ditching The Logo: A Look At Doritos' New Marketing Strategy

Marketing experts might argue a company's logo is the most important feature to use in an ad campaign, but PepsiCo, Inc. PEP is trying to prove otherwise with a new logo-free ad, The Wall Street Journal reported Monday.

What Happened

Frito-Lay, the snack arm of PepsiCo, is kicking off a marketing initiative dubbed "Another Level," according to WSJ.

Traditional commercials where Doritos advertises its name will be replaced with clues, including references to "red and blue bags with the stuff you love in it."

In a commercial set to air during the MTV Music Video Awards, a narrator states: "For a chip so iconic, we don't need to name it, cause this is an ad with no logos, no jingles, no gimmicks." 

Why It's Important

Doritos is certainly taking a risk with its new campaign by not identifying itself, and this is part of the company's plan.

Rachel Ferdinando, senior vice president of marketing at Frito-Lay, told WSJ there is now a new "desire to almost reject traditional advertising."

The ad campaign also fits in within a broader trend in marketing in which brands need to appear to be less promotional and embrace new means of reaching consumers, the newspaper said.

Examples include product placement in TV and film and entertaining social media content. 

What's Next

Doritos has no plans to permanently remove its logo from advertising, according to WSJ. After all, the brand is counted on year after year to showcase a funny Super Bowl commercial.

Pepsi shares were trading 0.9% higher at $131.44 at the time of publication Monday. 

Related Links:

Analyst Sees 'Merit' In Buying Coca-Cola And Pepsi, But Which Stock Has More Upside?

Pepsico: A Trucker In Shipper's Clothing