The activity will be backed by a website and a TV campaign from July.
Consumers can make films of up to two minutes long and upload them onto the dedicated Hula Hoops website www.hulahoops.com where members of the public will vote for their favourite films. The 100 most popular films will then be short listed and a judging panel will decide on the lucky winners who will win a family holiday to Hollywood.
There will also be a people's award that will be decided entirely by consumers. In addition to this, all voters will be entered into a daily prize draw to win pocket camcorders.
The competition will be communicated across 50 million handypacks and multipacks, on its website and via targeted consumer PR.
Helen Warren-Piper, marketing director of bagged snacks at UB UK, said: 'Hula Hoops is a well established brand with a loyal following. This new TV advertising campaign, along with the on-pack promotion will drive further consumer participation with the brand and will provide retailers with increased sales opportunities.'