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FRIED TILL HOT

Fried chicken is still high in the pecking order on most deli menus, as it continues its reign as one of the most reliable meal-solutions options in terms of sales.Retailers and industry experts told SN that the category has retained its age-old standing as a popular deli item, fending off the advances of popular rotisserie items and preconceived consumer attitudes toward "fried" products."I think

Eric Thorsen

February 1, 1999

6 Min Read
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ERIC THORSEN

Fried chicken is still high in the pecking order on most deli menus, as it continues its reign as one of the most reliable meal-solutions options in terms of sales.

Retailers and industry experts told SN that the category has retained its age-old standing as a popular deli item, fending off the advances of popular rotisserie items and preconceived consumer attitudes toward "fried" products.

"I think taste drives a lot of decisions and I think that's one of the reasons fried chicken stays popular," said Bill Roenigk, vice president of the National Chicken Council, Washington.

Indeed, Roenigk said fried chicken was a "major contributor" to the amount of chicken eaten per capita last year. He cited the NCC's annual report, which tracks consumption, even though fried chicken was not specified as a subcategory. Per-capita consumption averaged 75 pounds, he said.

According to Dennis Hopkins, vice president of marketing and sales development for Giant Food Stores, Carlisle, Pa., fried-chicken sales have risen about 15% in recent months, which he attributes to continually changing buying habits. Hopkins believes that "immediate consumption" is playing an increasingly important role in the growth of the category.

Even though the word "fried" sometimes conjures up unhealthy thoughts in the mind of the average consumer, Hopkins doesn't believe it has affected sales.

"People are thinking chicken and they're thinking that it's healthy for you," said Hopkins. "And that's why the category continues to grow."

According to Roland Asselin, service sales manager for Springfield, Mass.-based Big Y Foods, fried-chicken sales have remained steady. He said that its fried-chicken program has remained "a good part of our volume and our business," and he said the program has established a solid customer following.

"When people eat at home, they don't eat fried food. I think they indulge when they go out," said Asselin. "The awareness of fried not being as good is there. But, by the same token, sales have not declined in that area."

Big Y sells both cold and hot fried-chicken packages, but the bulk of its sales have been derived from the success of cold product, said Asselin.

Big Y's deli offers both the hot and cold fried chicken in eight, 12- and 16-piece trays. Asselin said that the eight-piece dinner size is the best seller, which he refers to as a "typical family order." He said the retailer also offers value-added options, like fried-chicken dinners with a choice of a side, like coleslaw or JoJo potato wedges.

The hot chicken is stored in counter cases alongside the rotisserie chicken products and side dishes. There is also a self-service hexagon case containing eight-piece fried-chicken trays.

In addition, the food-service area provides party packs that are available for special events such as Super Bowl parties or holiday gatherings.

One such option, the 32-piece fried-chicken package, includes an assortment of chicken pieces and side dishes. "Customers can order ahead, or we'll fry it for them while they shop," said Asselin.

The deli replenishes the stock of fried chicken daily, which it fries itself. The chicken comes partially prepared and is finished off in-store in deep fryers, with some pieces taking 18 minutes to finish and others taking 22 minutes, he said.

At Giant Food, and its division, Edwards Super Food Stores, the hot fried chicken "definitely outsells the cold," said Hopkins.

The hot fried chicken is packaged in a variety of ways, including buckets, insulated bags and over-wrapped trays -- which varies according to the number of chicken pieces. The larger-piece orders only come in the bucket sizes, noted Hopkins.

"I think for the lunch time and the dinner crowd, people are looking for something quick and easy," he said. "It's just easier to come in and pick it up in the insulated bags that we put it in and eat it."

The retailer merchandises eight-, 16-, 24- and 48-piece sizes. There is even a 100-piece size that Hopkins said is a popular item in the summer for picnics and for special occasions like wedding showers.

Hopkins said that although there are varying quantities available, individual fried-chicken pieces sell the best, especially the breast size. "Chicken in our basic operations sells better by the piece, with the lunch crowds and the dinner crowds," said Hopkins.

Cold fried chicken is displayed in refrigerated cases, merchandised alongside a line of heat-and-eat type entrees that include side dishes. The entrees in the takeout area or meal-solutions department are all microwavable or ovenable.

"I think that the chicken is still a growing commodity, both in our meat departments for the fresh sales and also in our deli area for the home-meal replacement products," said Hopkins.

All units prepare the fried chicken on-site. They receive it preseasoned and deep fry it a number of times per day, said Hopkins.

According to Stephan Kouzomis, president of Louisville, Ky.-based Entrepreneurial Services Inc. and a past consultant for a number of retailers including Cincinnati-based Kroger and Netherlands-based Ahold, the key to a successful fried-chicken program rests on the supermarket's commitment to providing a fresh, quality product.

Kouzomis points to Boise, Idaho-based Albertson's fried-chicken products, which are made from scratch.

"They get the breading mix, they have it made up, they get the fresh chicken in or they get the chilled or frozen, they thaw it down," said Kouzomis. "A good chicken operation will have the same dedicated people doing it every morning and, if needed, replenishing it later in the afternoon for the evening."

He said Richmond, Va.-based Ukrop's Super Markets has taken fried chicken one step further by developing its own recipe for fried chicken. He said it's very comparable to Louisville, Ky.-based Kentucky Fried Chicken's original-recipe chicken. "I've tasted it and it's probably better than [KFC]," said Kouzomis.

"They took the time to develop their own batter and their own recipe, where most [supermarkets] just take the normal generic," he said. "It's fair to say where you develop a recipe fried-chicken product, you're going to have the opportunity to have a very good business."

A lot of supermarkets, explained Kouzomis, tend to have only one flavor difference, unlike KFC's offerings, which include original or extra crispy flavorings. "[Supermarkets] make it one way, and put it out, and then that's $6.99 for eight pieces or whatever. And then they don't bundle it," said Kouzomis.

Retailers also have a tendency to not promote their fried-chicken business, said Kouzomis. He said most think they can promote it for a week, stop and then have a successful program.

"[Supermarkets are] just selling the chicken by itself and there's a great opportunity to do some programs in terms of value meals or bundling, and advertising it, which most supermarkets don't do," he said.

He said supermarkets make at least a 50% profit, day in and day out, with their fried-chicken programs. He said that the average price points posted by supermarkets range anywhere from $6.99 to $9.99 for a bucket containing eight to 12 pieces. Cold pieces are the same price unless they are a day old out of the hot case, when they're discounted slightly, he said.

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