If you’re seeking the ultimate crowd-pleaser that feels cozy, indulgent, and addictive, look no further than this Caramelized Onion Dip with Potato Chips Recipe. Picture tender, golden onions slowly caramelized to sweet, savory perfection, folded into a creamy blend of sour cream and mayonnaise with just the right kick from Worcestershire and balsamic vinegar. This dip is the perfect partner for crunchy potato chips, creating a classic combo that’s impossible to resist at any party or casual gathering. It’s rich, flavorful, and honestly, one of those dishes you’ll keep coming back to because it just hits all the right notes every time.

Ingredients You’ll Need
Simple, wholesome ingredients are all it takes to craft this luscious dip. Each component plays a crucial role, whether it’s building the deep sweetness of the caramelized onions, adding creaminess, or layering in subtle spices that bring it all together.
- Unsalted butter (2 tablespoons): Provides a rich base for slow-cooking the onions without overpowering their natural sweetness.
- Yellow onions, thinly sliced (2 large): The star of the show; caramelizing them gently unlocks a deep, sweet flavor.
- Salt (1/2 teaspoon): Enhances the onions’ natural juices, aiding the caramelization process.
- Sugar (1/2 teaspoon): Helps the onions develop a perfect golden color and a hint of sweet complexity.
- Black pepper (1/4 teaspoon): Adds a subtle warmth and balances the sweetness.
- Worcestershire sauce (1 teaspoon): Brings umami depth and tang to the onions.
- Balsamic vinegar (1 teaspoon): Adds a mild acidity and slight fruity undertone that lifts the dip.
- Sour cream (1 cup): Creates a creamy, tangy base for the dip.
- Mayonnaise (1/2 cup): Adds smoothness and richness for that signature dip texture.
- Garlic powder (1/2 teaspoon): Gives a gentle garlic hint without overwhelming the other flavors.
- Onion powder (1/4 teaspoon): Boosts the onion flavor subtly beyond the caramelized onions.
- Potato chips: The perfect crunchy vehicle to scoop up every delicious bite of the dip.
How to Make Caramelized Onion Dip with Potato Chips Recipe
Step 1: Caramelize the Onions
Start by melting unsalted butter in a large skillet over medium heat. Toss in the thinly sliced yellow onions along with salt and sugar. The magic happens here: slow-cooking the onions while stirring often prevents burning and encourages them to soften gradually, turning golden brown and delightfully sweet over 25 to 30 minutes. Patience pays off because this step gives the dip its beautifully rich, complex flavor.
Step 2: Add Flavorful Seasonings
Once the onions have caramelized to perfection, stir in Worcestershire sauce, balsamic vinegar, and freshly ground black pepper. These ingredients cut through the sweetness, adding layers of umami and brightness. After mixing, remove the skillet from heat and allow the mixture to cool completely—this cooling is essential for the next step to keep the dip perfectly creamy.
Step 3: Combine the Creamy Base
In a medium bowl, whisk together sour cream, mayonnaise, garlic powder, and onion powder until smooth. This blend of creamy and lightly seasoned ingredients creates the luscious foundation that balances the intense flavor of the caramelized onions. It’s the harmony between these components that makes this dip irresistible.
Step 4: Fold in the Onions and Chill
Gently fold the cooled caramelized onions into the sour cream mixture, taking care not to break up the onions too much. This folding ensures each bite has those tender, sweet onion pieces perfectly distributed. Cover the bowl tightly with plastic wrap and refrigerate for at least one hour. Chilling helps the flavors marry beautifully, giving you a richer, more cohesive dip.
How to Serve Caramelized Onion Dip with Potato Chips Recipe

Garnishes
While the dip is fantastic on its own, sprinkling some freshly chopped chives or parsley on top adds just the right burst of color and fresh herbal notes. A light dusting of smoked paprika can also elevate the presentation and add a subtle smoky aroma. These little touches make your dip look as stunning as it tastes.
Side Dishes
This Caramelized Onion Dip with Potato Chips Recipe pairs wonderfully with classic kettle-cooked potato chips for maximum crunch. For a healthier twist, try serving it alongside veggie sticks like crisp carrots, celery, or bell peppers. The creamy texture of the dip complements fresh veggies beautifully, making it a versatile snack for any occasion.
Creative Ways to Present
Get creative by scooping the dip into a hollowed-out bread bowl for an inviting presentation that guests will love. Alternatively, offer an assortment of dippers—chips, crackers, pita wedges, and even toasted baguette slices—to let everyone mix and match textures and flavors. This variety keeps things fun and interactive.
Make Ahead and Storage
Storing Leftovers
After enjoying your delicious dip, any leftovers can be stored in an airtight container in the refrigerator. It will keep nicely for up to two days while maintaining its fresh, creamy texture and rich flavor. Just give it a quick stir before serving again.
Freezing
While not ideal due to the creamy base, you can freeze the dip if necessary. Transfer it to a freezer-safe container and freeze for up to one month. Thaw overnight in the refrigerator to avoid textural changes. Note that the mayonnaise and sour cream might separate slightly, so a good stir will bring it back together.
Reheating
This dip is best served cold or at room temperature, so reheating is not recommended. If you want to warm it slightly, do so gently on the stovetop over low heat while stirring continuously, but avoid high heat to prevent curdling or splitting.
FAQs
Can I use other types of onions for this dip?
Yellow onions are ideal because they caramelize beautifully and have a natural sweetness, but sweet onions or even red onions can be used if you prefer. Keep in mind the flavor profile will vary slightly depending on the choice.
Is there a substitute for Worcestershire sauce?
If you don’t have Worcestershire sauce, soy sauce or tamari can be a good alternative to provide that savory umami flavor, though the taste will be a little different.
Can I make this dip vegan?
Absolutely! Swap out the butter for olive oil, and replace the sour cream and mayonnaise with vegan versions. The caramelized onions still bring fantastic flavor, making it just as satisfying.
How long does it take to caramelize onions?
For this recipe, plan on about 25 to 30 minutes over medium heat, stirring frequently. This slow process ensures the onions develop that deep golden hue and luscious sweetness essential to the dip.
What’s the best type of potato chip to serve with this dip?
Kettle-cooked or thick-cut potato chips are perfect because their sturdy crunch stands up to the creamy dip. However, classic thin, salted chips or even flavored varieties like sour cream and onion also pair nicely, depending on your taste.
Final Thoughts
There’s just something so comforting and downright delicious about this Caramelized Onion Dip with Potato Chips Recipe. It’s the kind of dish you want to keep on hand for spontaneous gatherings or cozy nights in, and honestly, it’s always a hit. Give yourself the joy of making this dip from scratch — your taste buds (and your friends) will thank you every single time!
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Caramelized Onion Dip with Potato Chips Recipe
- Prep Time: 10 minutes
- Cook Time: 30 minutes
- Total Time: 40 minutes
- Yield: 8 servings
- Category: Appetizer
- Method: Stovetop
- Cuisine: American
- Diet: Vegetarian, Gluten Free
Description
This rich and savory Caramelized Onion Dip paired with crispy potato chips is the perfect appetizer for any gathering. The slow-cooked onions develop a deep, sweet flavor enhanced by Worcestershire sauce and balsamic vinegar, blended smoothly with creamy sour cream and mayonnaise. Chilled to let the flavors meld, this dip offers a delightful combination of sweet and tangy notes that will tantalize your taste buds.
Ingredients
Caramelized Onions
- 2 tablespoons unsalted butter
- 2 large yellow onions, thinly sliced
- 1/2 teaspoon salt
- 1/2 teaspoon sugar
- 1/4 teaspoon black pepper
- 1 teaspoon Worcestershire sauce
- 1 teaspoon balsamic vinegar
Dip Base
- 1 cup sour cream
- 1/2 cup mayonnaise
- 1/2 teaspoon garlic powder
- 1/4 teaspoon onion powder
For Serving
- Potato chips
Instructions
- Sauté the onions: Melt the butter in a large skillet over medium heat. Add the thinly sliced onions, salt, and sugar. Cook slowly, stirring frequently, until the onions become golden brown and deeply caramelized, approximately 25 to 30 minutes. Reduce the heat as needed to avoid burning.
- Season the caramelized onions: Stir in the Worcestershire sauce, balsamic vinegar, and black pepper into the onions. Remove the skillet from the heat and allow the onions to cool completely.
- Prepare the dip base: In a medium mixing bowl, combine the sour cream, mayonnaise, garlic powder, and onion powder. Mix thoroughly until smooth and well blended.
- Combine and chill: Fold the cooled caramelized onions into the dip base. Cover the bowl with plastic wrap or a lid and refrigerate for at least 1 hour to let the flavors develop fully.
- Serve: Serve the caramelized onion dip chilled with a side of potato chips for dipping. Enjoy as a flavorful appetizer or snack.
Notes
- For a lighter version of the dip, substitute Greek yogurt in place of sour cream or mayonnaise.
- The dip can be made up to 2 days ahead of time and stored covered in the refrigerator.
- This dip pairs beautifully with kettle-cooked potato chips or fresh veggie sticks.

