Pizza Patron’s Gamble to Hold Prices Pays Off

Nation’s #1 Latino Pizza Brand Bucks Industry Trends

DALLAS, Feb. 25 /PRNewswire/ — Pizza Patron, the premier Latino pizza brand, has recently seen all-time sales records broken in many stores. Despite no increase in menu pricing, the chain saw comparable sales increase 7.9 percent in January which followed the chain’s 3.29 percent gain for the fourth quarter of 2008.

In 2008, when commodity, fuel, rent and wage costs skyrocketed, Pizza Patron executives made a calculated decision to hold prices on their retail menus. Rather than pass on the extra costs to cash-strapped customers, an exhaustive evaluation of the business model was initiated to determine ‘if’ and ‘where’ operating costs could be lowered.

No stones were left unturned in the process which included negotiating new agreements with vendor partners, changing store designs to lower construction costs, and establishing new initiatives to control unnecessary waste inside each store.

“Tough business climates can create the best opportunities for success and growth,” said Andrew Gamm, director of Brand Development for Pizza Patron. “Companies who thrive in challenging times aren’t the ones who have somehow avoided adversity, they are the ones who are willing to look in the mirror and become stronger as a result.”

Pizza Patron has been credited with creating the country’s first chain of Latino-Hispano focused restaurants, where traditional American-style pizza is served in a distinctly Latin environment.

The company currently operates nearly 90 stores in six states and plans to have 750 stores nationwide within a decade.

About Pizza Patron – Pizza Patron was founded by Antonio Swad in 1986. Since franchising began in March 2003, the brand has grown from four locations in Dallas to 84 locations in six states, with more than 40 additional stores under development. Pizza Patron features festive, Latin-influenced pizza stores that are community-based in Spanish-speaking or predominately Hispanic neighborhoods. Since 2006, Pizza Patron has expanded its menu to include new items such as Patron Dippers(TM), Fiesta Wings(TM), BreadStix(TM), QuesoStix(TM) and ChurroStix(TM). Additionally, they successfully rolled-out their LISTA-NOW READY(TM) pizza program nationally. The carry-out pizza chain also features a variety of different store models including DINE-IN, RAPIDITO(TM) (airports/malls), TIENDITA(TM) (portable mini-store extension) and their QSP(TM) (Quick Service Pizza) concept. All pizza dough is made fresh throughout the evening; no preservatives are added or needed. The sauce is prepared fresh in the stores from crushed Roma tomatoes and marinated with a secret blend of herbs and spices. Only 100% mozzarella cheese is used on all pizzas. X-Large pizzas are offered at prices as low as $6 for cheese and one topping and $4 for the same medium AMIGO PIZZA(TM). An X-Large ‘La Patrona’ deluxe pizza with everything is priced as low as $8.

For more information, visit http://www.pizzapatron.com/.

Source: Pizza Patron

CONTACT: Sandy Bell of S. Bell, Inc., +1-972-934-2850, ext. 106, fax,
+1-972-934-2870, sandybell@sbellinc.com, for Pizza Patron

Web Site: http://www.pizzapatron.com/