News

Pizza Patron set to tap Hispanic market in Denver

June 9, 2004

DENVER—When Randy Schmidt opens the first of four planned Pizza Patron units this summer, his stores will be staffed with Spanish-speaking workers—serving pizza, not Mexican food.

According to the Denver Post, Schmidt aims to tap into the city's large and growing Hispanic population.

"It sounds smart," said David Perez, chief executive officer of Latin Force, a New York-based Latino marketing agency. "Hispanics are the fastest-growing group. They're the engine of economic growth in America."

According to GE Franchise Finance's 2004 Chain Restaurant Industry Review, the U.S. Hispanic population grew 82.9 percent between 1990 and 2003. The group's buying power rose 194.1 percent to $652.6 billion during the same period.

Though a Pizza Patron spokesman said its pizza is much like other large chain competitors', he said the brand's uniqueness centers on cultural links to its customers; the concept is family focused, Latin music is played in store lobbies and its outlets are colorfully decorated. Those features, not its products, set it apart from other pizza chains in the minds of its Hispanic customers.

"People who aren't comfortable with English will feel safer calling because they know they will get someone who speaks Spanish," Janina Calderon-Ferguson, president of Calderon Hispanic Marketing in Denver, told the Post.

The 16-unit chain also has positioned itself as a value leader in its Texas markets. Its carryout-only stores sell 15-inch, one-topping pizzas for $4.99. The chain uses the slogan "Mas pizza. Menos dinero." or in English, "More Pizza. Less Money."

Currently Pizza Patron has signed development agreements to build out 94 additional units in Texas, Arizona, New Mexico and Colorado.

"(Denver) is an untapped market," Schmidt said. "Granted, there are pizza places all over the place, but this is something that Hispanic people can identify with."

See related Pizza Patron stories ...
* Pizzeria gigante!
* Latino pizza chain savors national pie
* Pizza Patron to build 28 stores in Houston market