Category Analysis Frozen Pizza

There is a place for everyone in the frozen pizza category. Whether a consumer is looking for an elevated experience featuring specialty gourmet ingredients or something acceptable for the typically discerning four-year-old pizza fan, the category is vast and its many offerings diverse. Manufacturers are closely watching how the continuing unsteady economy will likely be herding more consumers to their grocery stores’ frozen cases while they figure out how to stretch their household budgets. Pizza makers are ready and waiting to share the ease, appeal and affordability of frozen pizza—a category that is still clearing a way toward growth even as consumers are tightening their wallets.

For Palermo Villa, makers of brands including Screamin’ Sicilian and Urban Pie, the catalyst for that growth is innovation. “We are proud of the fact that we will take chances on innovation because even if a product fails, we can learn from it and maybe turn that idea into something else later on,” said Nick Fallucca, Chief Product and Innovation Officer. “We launched our Screamin’ Sicilian brand back in 2013 when the craft beer market was hot. We thought: ‘why not make a premium craft pizza to pair with those unique beers?’ The brand sticks to classic flavors with premium ingredients but also introduces innovative flavors and ideas like bratwurst slices and onions, orange chicken or beer infused crusts.”

Similarly, “Our Urban Pie brand launched three different vegetable crusts in 2019 and hemp seed infused crusts in 2020,” Fallucca continued. “We have a brand promise of unique flavors and being ‘Committed to Good,’ meaning that every pizza is made using thoughtful ingredients including rBST free cheeses, antibiotic free meats and no artificial colors, flavors or preservatives; today, Urban Pie is one of the leading frozen pizza brands in the natural channel.”

Innovation is also the name of the game for Rustic Crust. “We launched our new grilled and seared line of frozen woodfired pizza,” said CEO and President Brad Sterl, who also oversees the American Flatbread brand. “This prod- uct takes the guess work out of grilling pizza. Just bake for seven to 10 minutes and you get the grilled pizza that you wanted. We are also continuing to work on some smaller format pizza that will launch in later 2023.”

In Rustic Crust's endeavor to deliver to consumers what they want in terms of convenience and/or flavor options, the company hasn’t lost sight of its authenticity, said Sterl. “We honor the traditions of craft baking, fresh inspired toppings produced by real people,” he said. “American Flatbread has maintained its commitment to clean ingredients—non-GMO and sensible organic ingredients. In addition, our commitment to sustainability continues to be top of mind as we grow.”

Bernatello’s Foods’ adherence to quality while serving the special dietary needs of consumers is helping to grow the frozen pizza category, said Matt Selvig, Advertising and Promotions Manager. “We pride ourselves on quality and believe that when consumers get a product that they’re confident in, that is consistent, and that is of high quality, that they’ll continue to come back and purchase that same product time and time again. So that’s one step that we’re taking to ensure that the category continues to grow. But another is striving to be innovative and creative with new product launches that’ll meet the needs of an ever-changing consumer base. With many dietary restrictions and palate preferences, producing products that can reach and satisfy as many potential customers as possible is our challenge. But through thinking outside of the proverbial frozen pizza box, we feel that we’re making strides to keep with the trends and continue to help the category thrive.”

Meanwhile, Flatlander Foods has taken a different approach to frozen pizza with a strategy tied closely with iconic children’s brand Chuck E. Cheese. While many consumers think of Chuck E. Cheese as a kid-friendly restaurant and arcade ideal for children’s birthday parties—and they still are with more than 500 locations worldwide—the brand entered into the grocery channel with its frozen pizza offerings in 2021, said Flatlander Foods Founder and CEO Eddy Patterson. The move was driven as pivot to the limitations placed on restaurants at the height of the Covid pandemic. “That’s when they came to Flatlander and we were able to form a partnership,” he said. “For us, it’s a natural progression of the brand. It’s not really starting from a net zero and trying to create something from nothing. The brand is established with its 40-year history; there’s a large consumer base, obviously, and so having the brand now offer an in-home experience is really exciting to capture another occasion where families are enjoying pizza.”

What’s most notable about Chuck E. Cheese’s frozen pizzas is that they’re not complex. “Cheese and pepperoni,” said Patterson. “That’s your block and tackle. That’s your North Star. That’s what kids want to buy. And kids 4 to 14 years old represent the No. 1 and No. 2 age group by consumption.”

While there are potentially new toppings options coming down the pipeline, Patterson noted the Chuck E. Cheese formula works for families and for grocery alike.

“When you look at Chuck E. Cheese, it’s a fun brand, it’s inspirational, it represents diversity," he said. "It also represents family values. Those are important for consumers today. And when you have a brand as powerful as Chuck E. Cheese, we’ve seen consumers will pay more for a brand and they’ll be more loyal to a brand that they identify with or believe in.”

Frozen pizza makers are hoping retailers are taking notice of consumer spending evolving to ensure their frozen pizza offerings can meet demand.

“As consumers are more and more budget conscious in the current economy, we want retailers to consider their frozen pizza sets,” said Fallucca with Palermo Villa. “Consumers can get high quality frozen pizzas that are often better than pizzerias or carryout for a fraction of the price. That is a benefit to retailers, keeping dollars in their stores versus consumers choosing to spend their dollars in restaurants and for carryout.”