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FROZEN/REFRIGERATED: Trends: The Summertime Freeze

April 27, 2010

-By D. Gail Fleenor


The supermarket frozen section is a popular stop for consumers during the long, hot summer. Ice cream and a myriad of frozen novelties are always a good way to cool off. Frozen pizza has become a summertime staple, with families snatching the convenient pies to make more time for outdoor activities. For those who worship their grills during hot weather, grilling frozen pizza is a fun new way to get the party started, and salad-topped pizza is a way to add garden
freshness. This is the era of the "staycation," when consumers stay home instead of traveling, so the frozen case may be more popular than ever this summer.

"As the weather warms, our customers turn to the ice cream and novelty categories," says
Mark Walden, VP, perishable operations for Tyler, Texas-based Brookshire Grocery Co. The
grocer has over 150 stores in Texas, Louisiana, Arkansas and Mississippi. "We also expect to
see an upward trend in items that tie in with outdoor cooking and grilling, like French fries
and frozen vegetables."

Kids at home during the summer will increase demand for quick-to-fix breakfast items, dinners and pizzas, Walden notes, and the recession will continue to alter some consumers' plans. "We also are expecting to see bag ice sales to be strong during the summer months, as many of our customers are spending vacations at the local lakes and parks, in lieu of traveling."

Store-brand pizzas will be "very bullish" this summer, he adds. The grocer has its own ice cream line, Goldenbrook Farms, which Walden notes is a customer favorite. "Goldenbrook will be offering summertime favorites like Lemon Ice Box Ice Cream and Watermelon Sherbet, available only in summer."

Lakeland, Fla.-based Publix expects the usual spike in ice cream and novelties this summer, with some additional popular items, according to Maria Brous, company spokeswoman.

"Frozen vegetables are trending up because of pricing and availability compared to fresh vegetables, and the new steam technology that continues to grow in popularity with consumers," she says. Pizza has been a strong performer for Publix during the down economy. "The frozen pizza companies have targeted pizza delivery with their marketing, and it has resulted in increased volume for frozen pizza."

Getting it Down Cold

Frozen novelties are driving growth within the ice cream category, according to Brian Manning, VP, brand building at Unilever Ice Cream in Englewood Cliffs, N.J. "Frozen novelties are up 1 percent in dollar volume vs. a year ago, while packaged ice cream is down 3.9 percent," he observes.

Beginning in early May, Unilever brands Breyers, Popsicle, Klondike and Good Humor will be releasing new and/or improved 2010 products in time for the summer heat. Breyers is launching a new line of Smooth & Dreamy bars and sandwiches (three of each), with 120 to 160 calories and 4 to 6 grams of fat per serving. Also new from Breyers: Smooth & Dreamy All Natural 1/2 Fat ice cream in Dark Chocolate Velvet and Coffee Fudge Brownie varieties.

Within the novelties segment, vitality novelties (such as better-for-you items) are driving
growth, according to Manning. "Consumers are seeking portion-control desserts that taste delicious, but are moderate in fat and calories, which supports our launch of Breyers
Smooth & Dreamy bars and sandwiches."

Popsicle is introducing Jolly Rancher ice pops with four flavors in each pop, and Dora the
Explorer Slow Melt pops with gelatin to stay frozen longer. The company is teaming up with Marvel to create Popsicle Iron Man 2 face pops in conjunction with the May release of the "Iron Man" movie sequel. New from Klondike: four ice cream sandwiches, Oreo, Mrs. Fields, Peanut Butter Chocolate and Classic Vanilla.

Good Humor is celebrating its 90th anniversary by offering some classic treats such as ice cream sandwiches, bars and cones now made with light ice cream, and Strawberry Shortcake and Chocolate Eclair bars with more ice cream and improved taste. Also in the offing:
the Good Humor 10,000 Winners Sweet-Stakes, from May 1 through Sept. 6, 2010.

Time to Scream

The ice cream segment was mostly flat between 2003 and 2008, with no real pickup in sales projected through 2013, according to Chicago-based market research firm Mintel. Upbeat ice cream manufacturers are ignoring predictions by introducing countless new items and flavors, as well as products geared to consumer requests for healthier products.

Many ice cream lovers are seeking healthier alternatives that taste like premium ice cream in an assortment of flavors. "We are seeing an increased interest in better-for-you products," says Matt Thornicroft, assistant marketing and communications manager for Cleveland-based Pierre's Ice Cream. "Pierre's customers have grown very loyal to our Slender No Sugar Added Reduced Fat Ice Cream and Smooth Churned Light Ice Cream lines."

Consumer awareness of probiotic benefits is increasing the popularity of frozen yogurt, he notes. "We launched Yovation Probiotic Frozen Yogurt, available in six flavors, in anticipation
of this trend.

"You know summer is arriving at Pierre's once the first batches of Coconut-Pineapple, Peaches and Cream, and Spirit of America (Strawberry, Vanilla and Blueberry Ice Creams)
begin coming off the line," Thornicroft says of the limited-edition flavors. Other seasonal,
limited-edition flavors include Cinnamon, Chocolate Covered Strawberry and Slam
Dunk Chunk.

New flavors in Pierre's lineup include Frosting on the Cake, Chocolate Treasure Tracks and Espresso Chip in the Smooth Churned line. Old favorites Coffee and Black Raspberry
Chip are also returning.

Another ice cream maker collaborates with a popular summer pastime each year. Baseball
is big at Turkey Hill Dairy, where the official ice cream for both the Philadelphia Phillies and the New York Yankees is produced.

Baseball sponsorship flavors are available to retailers throughout the Philadelphia and New York market areas. Headquartered in Lancaster County, Pa., Turkey Hill ice cream is currently available in 24 states throughout the Northeast, South, Midwest and West, with plans for further expansion.

Turkey Hill's light recipe line enjoyed a 70 percent increase in unit sales in the United States over the past year (Information Resources, Inc., 52 weeks ending Feb. 14, 2010), according to Melissa Mattilio, company marketing manager. New flavors in the line, which boasts one-third fewer calories, are Coconut Almond Fudge and Bavarian Espresso.

Turkey Hill prides itself on listening to its consumers through its dairy hotline, blog, research and focus groups. "We continue to see a strong trend toward healthier dessert options — but only if they provide a strong sense of indulgence," says Mattilio.

Fire up the Grill for Pizza

Palermo Pizza has some new ideas for preparing frozen pizza in the summertime that might
push sales of the popular pies even higher. "Grilling is a great way to enhance the flavor and texture of the pizza. It's also a great way to keep the house cool by not turning on the oven on a hot day," says Giacomo Fallucca, president and CEO of Milwaukee-based Palermo Villa, Inc. "Palermo's Pizzas can be grilled on a charcoal or gas grill — in the backyard, at a summer tailgate or anywhere you grill." Pizza grilling tips are available on the company's Web site.

Whichever style of grill customers use when grilling pizza, Fallucca says there are three requirements: grill with a lid; use indirect heat — the heat from the grill should not be directly under the pizza; and "a love for great pizza!"

Salad-topped pizza is a cool alternative to grilling pizza on hot summer days. Palermo's suggests baking one of its Primo Thin Cheese pizzas and then personalizing it with your own crisp ingredients such as romaine lettuce, tomato, arugula and mushrooms as toppings. Recipes for a BLT or Mushroom & Arugula pizzeria-style pizza made at home are on the company's Web site.

The frozen pizza category continues to grow, with the greatest amount of real dollar growth coming from the premium category; according to Fallucca, pizzas that retail for $4 or more grew by 9.7 percent, or $127.4 million. The total category grew 5.9 percent, or $169.3 million, in the 52-week period ending March 21, 2010, he notes. "Rising-crust and ultra-thin types of premium frozen pizzas have seen the largest upswing in sales," he says.

New from Palermo's: Primo Thin Garden pizza featuring a crispy, all-natural multigrain crust and a garden of vegetables, and Primo Thin Chicken Fajita with an ultra-thin crust, Mexicali sauce and sour cream topping.

Schwans suggests Red Baron Pizza by the Slice, "the first microwave pizza actually
sliced from a real 16-inch pizza," for a quick summer meal. The fire-baked, pizzeria-style crust comes in a three-sided microwave tray. "Now, consumers can satisfy their craving for pizza anytime this summer, without turning on the oven and heating up the kitchen, or making a whole pizza when they only want a slice or two," says Dan Hammer, SVP, marketing, for Minneapolis-based Schwans.

Each package has two individually wrapped slices in separate trays. Flavors include Pepperoni, Cheese, Supreme and Three Meat.


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