Patties results shows profits from innovation
Patties Foods, the manufacturers of iconic baked products such as Four’N Twenty pies has just released its annual results for the financial year ended 30 June 2012. These show positive profit growth which the company attributes to listening to consumer demand. More specifically, when consumers continued to ask for cheaper products, Patties Foods has responded with value-for-money food choices that stem from innovation and investment in new technologies.
Patties Foods Limited (PFL) is a leading Australian manufacturer, supplier and marketer of branded frozen foods, specifically savoury, dessert and fruit products. To many consumers they are better known as the providers of the football favourite staple Four’n Twenty meat pies.
Rather than downsizing in the shadow of supermarket house brands, Patties has come up with new enticing products to tempt shoppers to continue to buy Patties products. The new Angus meat pie is one example of new developed premium products.
The Patties report details market highlights for the year and an increased market share in all categories due to:
- Continued success of the Angus range of meat pies driving growth of the Four’n Twenty brand in Out of Home channels by 19% and In Home by 10%
- Increased sales of Patties’ brand In Home party range
- Successful launch of the innovative Creative Gourmet Smoothie Cubes range to
- create a new frozen fruit category of Drinkable Fruit
- Branded Frozen Fruit sales growth of 12%
This is a leading example for other companies in light of the continued competition of low-cost supermarket branded items that have seen many independent companies discontinue. Patties also credits its success is partially due to non-supermarket sales such as gaining their supply contract with BP Reliance national group and RFG’s Brumby’s chain.
It seems Patties principles are paying off for both the consumer and the company. Their motto “we will partner with our customers to meet consumer demand. We prosper because consumers buy and enjoy our food. We will continue to understand our consumers by recognizing their needs and respond with better products,” has proved successful so far with 2012 forecasted for continued growth. It may also be an important message for other independent food manufacturers dealing with in-house supermarket competition.