The battle to keep consumers means smaller packs of cookies and chips

Though inflation has moderated in recent years, prices on certain foods have stayed excruciatingly high

- Jennifer Williams

Consumer goods companies are enlarging their range of products—by making them smaller.

Diminutive snack and drink sizes are hitting store shelves as brands try to keep stretched consumers buying with lower-price options. PepsiCo now sells Lay's potato chips in half a dozen different-sized bags, costing higher profit margins.

"Consumers are going into small pack sizes to optimize their absolute budget," said Mondelez Finance Chief Luca Zaramella. "The $3, $4, as opposed to the $6, $7, particularly in snacks, are becoming a clear center of gravity."

Consumer-goods companies have long tailored packaging for cookies, chips and other items to a range of factors: on-the-go or lunch snacking, portion control, affordability. The last one, however, critical in emerging markets for years, has recently become more important in the U.S., according to Rob Holston, head of the global and Americas consumer products sector group at EY.

Though inflation has moderated in recent years, prices on certain foods have remained excruciatingly high. In response, Americans are trying anything from treasure-hunt shopping to buying fewer items, shopping less often and switching to private labels to cut their shopping bills. By offering different sizes of a snack with a range of prices to match, companies aim to bring in new customers and keep existing ones.