Another private-label frozen pizza maker expands
Dec. 27, 2009
Palermo, a $150 million dollar frozen-pizza company based in Milwaukee, will end the year with double-digit growth and expanded operations, according to JSOnline, the online version of Milwaukee's Journal Sentinel.
The majority of Palermo's business comes from selling frozen pizzas to grocery stores, which they then resell under their own store names. This is also known as "private label pizza." An Information Resources report said store-brand frozen pizza sales increased 23 percent the year ended Nov. 29. But Palermo's brand pizza sales altogether have increased 18 percent this year, and the company is adding three acres onto its production facilities.
Palermo's is another success story in the world of frozen pizza, whose mascot has been the double-digit gaining DiGiorno brand. Many pizzerias also are trying their hand at frozen pizza and other retail forays as consumers have traded down to lower price points and more in-house eating.
Business Strategy and Profitability