Pepsi is facing a fresh hurdle. It’s important to keep their colorful products appealing without the artificial dyes that many consumers have started to reject.
This past April, PepsiCo—which also produces Doritos, Cap’n Crunch cereal, Funyuns, and Mountain Dew—announced an accelerated shift towards using natural colors in its food and beverages.
The company estimates that around 40% of its products in the U.S. contain synthetic dyes.
Yet, similar to how it took years for artificial colors to become commonplace in its offerings, removing them is likely to be a lengthy journey as well.
PepsiCo is currently awaiting approvals from the U.S. Food and Drug Administration for new, naturally derived ingredients. They need to gauge consumer reactions and secure approval for safe alternatives.
Interestingly, PepsiCo hasn’t committed to the Trump administration’s goal of eliminating oil-based synthetic dyes by the close of 2026.
“We don’t want to introduce products that consumers might not enjoy,” said Chris Coleman, senior director of food research and development at PepsiCo North America. “It’s crucial to get it right.”
Coleman explained that transitioning from artificial to natural colors typically takes two to three years. The company has to identify natural ingredients that maintain a stable shelf life and won’t alter the product’s flavor.
Alongside that, they need to secure a consistent supply of these safe ingredients.
According to Damien Brown, PepsiCo’s Vice President of Research and Development for Beverages, purple sweet potatoes and various types of carrots are potential natural color sources for drinks like Mountain Dew and Cherry 7UP.
A panel of trained experts and everyday consumers will evaluate prototypes to make sure the new formulations seamlessly fit into existing manufacturing processes. Also, there’s the need for redesigning packaging.
Testing Natural Dyes for Tostitos and Lay’s
The first brands to implement this change will be Tostitos and Lay’s. Expected to hit shelves later this year are natural color variations of tortillas and potato chips, with naturally dyed dips rolling out early next year.
Most chips, dips, and salsas already use natural colors, although some, like Tostitos Salsa Verde, have traditionally used synthetic shades.
Coleman noted that they’ve switched to carob powder for coloring, making adjustments to ensure the taste isn’t impacted.
In the Fritsch Food Lab and Test Kitchen located in Plano, Texas, they’re experimenting with ingredients like paprika and turmeric to achieve the vivid red and orange shades of products such as Flamin’ Hot Cheetos.
Damien Brown pointed out that since consumers often recognize products like Gatorade by color, it’s essential to nail those shades accurately.
“We eat with our eyes,” he noted. “The various colors on a plate usually help guide our choices.”
Growing Consumer Demand
When Pepsi Cola was established back in 1902, it took pride in being free from artificial dyes.
The company marketed Pepsi as an “original pure food drink,” distinguishing itself from competitors that used harmful substances for coloring before the U.S. imposed a ban in 1906.
However, synthetic dyes eventually overtook the food industry.
They provided vibrant, consistent, and cost-effective solutions compared to natural options, and had been thoroughly tested by the FDA.
PepsiCo claims it began noticing a niche market for products devoid of artificial colors over two decades ago.
The company launched a natural line of chips in 2002, followed by dye-free organic Gatorade in 2016.
“We’re looking for those small signals that can turn into something bigger in the future,” noted Amanda Gzeda, a senior director at PepsiCo.
She observed that the subtle consumer preferences noticed back in the early 2000s have intensified, especially in today’s social media landscape.
A recent internal study indicated that over half of respondents recognized PepsiCo’s movements.
The FDA’s Role in Color Regulation
A handful of states, including West Virginia and Arizona, have prohibited artificial dyes from school lunches.
Brown suggested this increasing consumer push is leading to more significant changes in processed foods.
“Consumers are driving this movement, and all we need now is to align with regulators to approve new natural ingredients,” he commented.
The FDA is reportedly working on streamlining the approval process for natural additives, especially following a call for businesses to move away from synthetic dyes.
Recently, the FDA greenlighted three new natural color additives, including a blue derived from algae, and in July approved another called Garnia Blue from an evergreen tree.
Earlier this year, the agency banned Red 3, a petroleum-based dye that has been linked to cancer in lab rats.
Additionally, there was a proposal to ban Orange B, a synthetic color that hasn’t been in use for decades.
Despite six synthetic dyes remaining FDA-approved, concerns linger about their potential effects—some studies suggest links to neurological issues in children.
For instance, Red 40 is commonly used in nearly 26,000 food and beverage products, according to market research.
Even if research supports the safety of synthetic colors, PepsiCo faces the challenge of public perception, according to Gzeda.
“We could rely solely on science, but that might put us at odds with consumer sentiments,” she explained.
Balancing Consumer Needs
PepsiCo’s task is to balance the preferences of consumers who may not appreciate changes to their favorite snacks or the prices associated with natural dyes. Data suggests a significant drop in unit sales for products marketed as dye-free as costs have risen in 2023.
For example, Susan Mazur Stommen, a small business owner in West Virginia, discovered that a brand of puffs she tried had a different texture and paler colors compared to the regular ones she’d previously enjoyed.
While she supports the shift away from synthetic dyes, she emphasized the importance of the original flavor and texture.
“I’m really just looking for the classic formulation,” she stated.
Ultimately, PepsiCo aims to ensure that customers continue to experience the familiar flavors and textures they love, Gzeda clarified.
“It involves deep science, materials, and a touch of magic,” she added.
