Pepsi, PEP, is introducing “naked” versions of its popular snacks that strip out artificial dye

PepsiCo today unveiled the launch of Simply NKD™ versions of two of its most iconic snack brands—Doritos® and Cheetos®. According to the company:

• The new products are made without artificial flavors or dyes and are described as “completely colorless.”
• Launch begins December 1, 2025, with pre-orders already live.
• The debut lineup includes:
  • Doritos Simply NKD Nacho Cheese
  • Doritos Simply NKD Cool Ranch
  • Cheetos Simply NKD Puffs
  • Cheetos Simply NKD Flamin’ Hot
• Importantly, the classic versions of Doritos & Cheetos will remain on shelves — Simply NKD is an additive option, not a full replacement.

As PepsiCo states: “Same crunch. Same flavor. Same joy — just without added color.”

Fact-Check & Strategic Context

✅ What the facts show

• PepsiCo confirms the product launch and clean-label positioning.
• External coverage notes the move is part of a broader push: about 40 % of PepsiCo’s U.S. food products still use synthetic dyes, and the company aims for removal in future years.
• Analyst reports and articles place this within an industry-wide trend: consumer demand for “clean labels”, regulatory pressure on petroleum-based dyes, and competitive differentiation for snack brands.

⚠️ What to keep an eye on

• While the product claims “no artificial dyes or flavors,” it remains to be seen how the consumer accepts the lighter color, texture, or taste differences. Some past dye-free reformulations have faced slower adoption.
• The cost of reformulation and maintaining shelf life vs. flavor integrity may pressure margins or pricing later on.
• Consumer perception and packaging will matter: the bags look different, which can both help (clean-label appeal) and hinder (brand recognition).

Strategic implications

• For PepsiCo, this is not just a product launch—it's a branding and ingredient-innovation signal. Driving “better‐for‐you” credentials for marquee snack brands helps future positioning among health-conscious consumers.
• The decision to keep the original product lines intact reduces risk: core consumers who prefer the familiar formulation remain served, while the company experiments with alternative versions.
• This may also serve as a hedge against regulatory shifts: with ingredients under scrutiny, an early move gives PepsiCo a first-mover advantage.

Market & Options-Flow Implications

While this is fundamentally a consumer-goods story, the ripple effects reach market and options implications for publicly-traded companies—including PepsiCo itself.

1. Company to watch

• PepsiCo (ticker: PEP) – The parent company of Doritos and Cheetos. Reformulation efforts, margin implications, consumer acceptance and brand strength all factor into its long-term stock performance.
• Other snack and consumer-packaged goods players – Names like Kraft Heinz Company (KHC), General Mills (GIS) may face competitive pressure as clean-label becomes more prominent.

2. Options & hedging themes

• Expect volatility around earnings: If PepsiCo reports on margin impact, cost of reformulation or lower growth in reformulated segments, options markets may react.
• Skew shifts: If investors see risk in snack / CPG brands failing to keep taste while removing dyes, puts might become more expensive relative to calls.
• Rotation plays: If PepsiCo’s clean-label push succeeds, investors may rotate capital toward companies that are first in ingredient innovation and away from slower-moving legacy players.

3. Actionable focus via Unusual Whales

• Monitor PEP options flow on Unusual Whales: big block trades, unusual volume, skew changes could signal market sentiment.
  Example: UnusualWhales PEP Overview
• Track competitor tickers such as KHC, GIS for comparative flow and hedging moves:
  UnusualWhales KHC Overview
  UnusualWhales GIS Overview

Final Takeaway

PepsiCo’s launch of Simply NKD Doritos and Cheetos is more than a packaging update—it signals a strategic pivot toward ingredient transparency, regulatory compliance and consumer health-orientation in one of its most iconic brands.

For investors and options traders:

• Stay alert to how the market interprets cost vs. benefit of reformulation.
• Watch for changes in consumer behaviour (will the dyed-down version cannibalize or complement the original?).
• Use options flow metrics to gauge sentiment shifts in PepsiCo and its CPG peers.

Want to track how the market and options flow are responding to this launch? View the latest on Unusual Whales and monitor PEP, KHC, GIS for hedging and sentiment signals.