Milling & Baking News - June 30, 2009 - 24

Frozen Pizza Perspective

Perfecting pizza?
Manufacturers go natural, add premium ingredients to meet consumers' needs

for less than 200 new
items, its lowest total
since 191 in 2006.
Demand for specialty pizzas is evident
in sales figures for the
nation's largest frozen pizza maker, Kraft
Foods Inc. The Northfield, Ill.-based company maintains nearly
a 40% share of the category, according to I.R.I.,
and has experienced good
growth in its premium DiGiorno brand and superpremium California Pizza
Kitchen brand.
"Convenience is also still
very much on trend - and frozen
pizza has always provided that," said
Tim Cofer, president of Kraft Pizza Co.
"But consumers aren't willing to compromise on taste, so
if you offer them a
Top-selling frozen pizza brands
great tasting, premium pizza like DiPer cent
Per cent
Giorno, then you can
Dollar
change from
Unit
change from
win them over to the
sales
year ago
sales
year ago
frozen section of the
DiGiorno
$534,356,200
9.4
100,464,200
2.8
supermarket."
Tombstone
$254,157,400
1.6
69,809,980
-8.9
Red Baron
$245,141,600
0.9
62,940,960
-9.1
Mr. Cofer also
California Pizza Kitchen $175,838,600
16.6
32,818,720
22.4
noted Kraft is seeTotino's Party Pizza
$152,418,100
4.1
116,553,400
-9.9
ing interest in meals
Freschetta
$148,059,800
-17.2
26,735,340
-25.4
for one. He said the
Jack's Original
$127,088,700
9.7
44,927,790
0.7
company continues
Tony's
$123,456,200
-0.9
46,939,760
-11.3
to gain traction in the
Stouffer's
$95,655,820
3.4
34,756,700
5.6
single-serve category
Private label
$295,713,500
36.1
130,486,600
19.3
through the launch
52 weeks ended May 17, 2009
Total U.S. - F/D/MX (Supermarkets, Drugstores and Mass Merchandisers,
of its DiGiorno Flatexcluding Wal-Mart Stores, Inc.
bread Melts and CalSource: Information Resources, Inc.
ifornia Pizza Kitchen
Flatbread Melts.
Meanwhile, Schwan Food Co., Marconsumers are thought to have moved
away from eating out, toward more shall, Minn., the No. 2 ranked frozen
eating at home. In response, pizza mak- pizza maker, is counting on Freschetta
ers appear to be answering with fewer PizzAmore to reinvigorate sales that
product introductions, but more spe- have dropped sharply over the past
year. While Freschetta dollar and unit
cific in their target audience.
Since reaching a high of 245 in 2007, sales have fallen 17% and 25%, respecthe number of new frozen pizza prod- tively, during the past 52 weeks, accorducts launched in the United States has ing to I.R.I., unit sales for the Freschetta
slowed, according to Mintel Interna- PizzAmore brand climbed 70%. Detional Group Ltd. In 2008, the number scribed by the company as "the future
fell to 213, and through the first half of of frozen pizza," the product features
an exclusive Freschbake
2009 only 94 new frozen
tray that radiates heat
pizza products have
to cook the entire crust.
hit the market, putting
In addition, the pizza,
the segment on pace
s the weather outside heats
up, pizza makers are hoping
consumers will seek the cool
comfort of the frozen food aisle. In an
effort to attract interest to the category,
recent innovations have focused on
several initiatives, including natural
product line extensions and delivering
restaurant-quality pizza.
Data from Information Resources, Inc.
for the 52 weeks ended May 17 show that
while several newer products are gaining
traction in the marketplace, the overall
category is off the pace from a year ago.
Unit sales of 1,008,703,000 in the period
ended May 17 were down 2.5% from
the same period a year earlier.
Dollar sales, meanwhile, climbed
4.8%. Likely factors included
price increases and a sharp uptick
in private sales growth.
The shift to higher-priced,
specialty pizzas has come as

24 / June 30, 2009

Milling & Baking News

which was launched in
the fall of 2007, is presliced, which differentiates it from other products in the category.
A major player in the
grain-based foods
industry, Battle
Creek,
Mich.based Kellogg Co.
continues to work
its way into the
frozen pizza mix
through the Kashi
brand. Launched in
2007 as an all-natural option, the Kashi
frozen pizza brand
earlier this year introduced two new
all-natural frozen pizzas: Mexicali Black
Bean Thin Crust and Sicilian Veggie, its
first cheese-less and vegan offering.
This summer, Kashi is launching a
third new flavor, All-Natural Caribbean Carnival Frozen Pizza.
"The new flavors will blend a fusion
of tropical flavors with Kashi's signature Seven Whole Grain and Sesame
and flax seed crust," Kashi said. "Distinctive ingredients include a guavainfused jerk sauce, mozzarella cheese,
plantains, kale, roasted red onions, tomatoes and diced mangoes."
Kashi's focus on all-natural is in line
with a growing trend in the category to
focus on the claim. According to Mintel, the use of the term "all-natural" appeared on 35, or 20%, of the 174 new
frozen pizza products launched in the
United States during the past 12 months
(June 2008 - June 2009). In comparison, the second-most used claim was
"no additives/preservatives," with 30,
followed by "premium" with 21 and
"trans fat (low/no/reduced)" with 20.
Newman's Own is banking on the allnatural phenomenon as well. The Westport, Conn.-based company in October
entered the premium segment with
Newman's Own Thin and Crispy frozen
pizza, a line that among other things features a crust made with flaxseed. With a
little more than seven months under its
belt, the brand has generated nearly $8.3
million in sales, according to I.R.I. The
brand is expected to go national by 2010,
the company said. MBN
- Eric Schroeder
bakingbusiness.com / world-grain.com

http://www.bakingbusiness.com http://www.world-grain.com

Milling & Baking News - June 30, 2009

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