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    Pizza Patrón Experienced Significant Growth In 2009

  • Industry News February 19, 2010

    Pizza Patrón posted sales increases of 3.9 percent for 2009 compared to 2008. The company cited several factors contributing to its positive performance in one of the worst economic years in recent history.

    Pizza Patrón’s Latin focus has continued to fuel growth at the store level. According to a December 2009 analysis of consumer expenditures and corporate growth strategies by the Latinum Network, while the American economy floundered, growth in Hispanic spending was twice that of general market spending. Non-Hispanic consumer spending from 2005 to 2008 grew only 2.9 percent, while Hispanic consumer spending increased 6.4 percent in that same period. Company executives say this trend is the most significant contributing factor to the company’s success.

    “Recent statistics validate what we are seeing at our stores,” says Andrew Gamm, brand director for Pizza Patrón. “Our unique Latin focus, combined with some very aggressive marketing campaigns have allowed us to make significant gains in market share and overall sales growth.”

    Pizza Patrón launched two campaigns in 2009 that resulted in a 22 percent increase in the number of pies sold in 2008, as well as increased market share with gross sales up 17 percent from 2008. During the first quarter, the company introduced its Amigo Pizzas, the first time in the company’s 23-year history that it offered a 12-inch medium pizza as an alternative to its signature 15-inch extra-large pie. The Amigo Pizzas featured industry leading values with one-topping pies retailing at $4, two or three toppings at $5 and specialty pizzas for only $6 each. During the second phase of the strategy, Pizza Patrón initiated ‘Día del Patrón’ and offered Amigo Pizzas for only $2.99 every Monday through Wednesday for a limited time.

    “Tough market conditions create a great opportunity for entrepreneurial brands to grow if they are willing to work hard at it,” Gamm says. “There are plenty of customers out there. They expect great food and service, and they don’t want to pay a lot for it. It’s that simple.”