When Prices Outpace Customers: PepsiCo’s Lesson for Iranian Brands

In 2026, PepsiCo reduced the suggested retail prices of many products, including Lay’s, Doritos, Cheetos, and Tostitos, by nearly 15%. The decision was made in response to cost-of-living pressures and customer protests over price increases, an experience that also carries important messages for Iranian brands.

Safir Arjan - How far can a famous brand count on customer loyalty? In 2026, PepsiCo tried to re-attract shoppers who had been squeezed by the cost of living by slashing the prices of some of its most popular products. What path does this experience pave for Iranian brands?

How far can a brand's reputation withstand a price increase? As long as the consumer can still afford it. But when buying a familiar product becomes a difficult decision, the brand faces a more important choice. Should he still expect loyalty from the customer or should he do something to maintain this relationship?

The solution to such a situation is not necessarily a new auction or advertising campaign. First, you need to understand what has changed in the relationship between the customer and the brand. The quality of the product may be the same and its image in people's minds is not damaged, but the distance between the expected value of the customer and the money he has to pay has increased. In this case, repeating old slogans will not solve the difficulty of buying. The brand must find a way to be included again in the real choices of the customer.

In branding parlance, this is about "perceived value". The customer does not measure the product only by the price on the label; It asks what I'm getting for this cost and is it still the right choice for me? The answer to this question cannot be left solely to the advertising department. Sometimes a change is needed in the brand's business proposition itself, a change that the customer can see when making a purchase, not just hear about it in an ad.

PepsiCo against a simple question

In February 2026, a few days before the American Super Bowl, PepsiCo announced that it would reduce the suggested retail price of many products under the Lee's, Doritos, Cheetos and Tostitos brands by nearly 15%. The company tied the timing of the announcement to the Super Bowl, an event that is one of America's most important snacking and snacking events.

But what distinguished this news from an ordinary discount was the official explanation of the company itself. Rachel Ferdinando, CEO of PepsiCo's U.S. grocery division, said the company has listened to consumers over the past year about cost-of-living pressures. PepsiCo announced that it will maintain the taste and quality of the products subject to the price change. The decision was about the offer price and the final price of each store was still up to the retailer.

The importance of PepsiCo's decision for its brands went beyond price. Liz's and Doritos were not going to turn themselves into cheap and low-end brands, but were going to become more accessible to a part of the buyers again. For years, these brands have tried to connect with consumers' pleasurable moments, from watching sports to family gatherings. If the price of the product makes it difficult to be present in such situations, this link may also gradually weaken. From this perspective, the price reduction was an attempt to maintain the brand's position in the customer's daily life.

Of course, this story has another side. The price cut came after consumers protested earlier increases, Reuters reported. In other words, PepsiCo's move should not be introduced as a voluntary action to empathize with the customer; It was a competitive decision against the market reaction.

On the other hand, the story does not have a happy ending. PepsiCo announced in the fall that it plans to raise the prices of some products again due to rising costs, although the new prices will still be lower than before the February cuts, according to a company spokeswoman. Also in October, PepsiCo's CEO said lower prices had won back some consumers, but the performance of the North American business still fell short of expectations. This evidence suggests an effort to bring customers back, but does not prove that public trust in the brand has increased.

The importance of PepsiCo's experience is not only in reducing the prices by 15%. For a problem it could have answered with more advertising, the company made an effort to make a visible change on the store shelf. From this angle, the pricing decision became an action about the brand personality. Is the brand willing to reconsider its behavior when the customer's life conditions change?

For Iranian brands, imitating PepsiCo's price reduction percentage is neither possible nor necessarily logical. Differences in costs, markets and financial strength of companies do not allow direct copying. But the manager of a company can ask a more detailed question. Do the old customers still have the same place in our priorities or do we think that the well-known brand name is enough to keep them?

The answer to this question may be different in each business. The common point is that the brand should see the distance between its snack and the real possibility of using the product. If he has introduced himself to the daily life of families for years, he cannot be indifferent to the fact that his presence in the same life has become more difficult. Of course, this companionship should not turn into promises that the company cannot keep; The re-increase of some PepsiCo prices is a reminder of this limitation.

From the experience of PepsiCo, it cannot be concluded that a lower price always brings trust. But we can learn that even a famous brand is not exempt from hearing this sentence: "It's become difficult for me to buy your product anymore." The true test of a brand is whether this listening leads to a visible and sustainable decision; A decision that will make sense not only in today's news, but also in the customer's shopping experience tomorrow.