Frozen Pizza Market

Frozen Pizzas have been a hot topic as Countdown raised prices of the product made in Italy. Local home-brand pizza prices currently sit between $5.50 and $7, while based on the current exchange rate, Australia is seeing frozen pizzas at $4.50.

Countdown’s frozen pizza prices were raised from $4 to $9. The online prices have since dropped to $7. The Countdown Quattro Formagi, Pepperoni, Tomato and Mozzarella, Meat Lovers, Ham and Pineapple and Roasted Mediterranean Pizzas were all questioned.

“The food and beverage sector is currently experiencing significant inflationary pressure, increased production and freight costs, and dealing with the impacts of the war in Ukraine and Covid-19. Unfortunately, our Countdown-branded pizzas are no exception to these challenges, and we’ve received a cost increase from the producer, which our customers are seeing reflected in the on-shelf price,”

A Countdowns spokesperson has said that the increasing inflammatory pressures, freight and production costs, and the impacts of Covid-19 and the war in Ukraine have meant increases across all areas of food and beverage. The frozen pizza supplier has increased costs which have to be reflected on the shelf.

Homebrand frozen pizzas from both Countdown and Foodstuffs (pams) are made and imported from Italy - making them authentic Italian Pizzas. Pams frozen pizzas are 455g and retail at around $5.49, and Countdown's frozen pizzas are 400g, retailing at $7.00.

Also stocked in most supermarkets are McCain’s pizzas which are made in Australia, Leaning Tower and Mommas which are made in NZ. The market is missing major player Romanos. The Christchurch company faced a manufacturing fire in March 2021 and plans a return to the market very soon. It makes fresh and frozen pizza labels Romano’s, DaVinci’s and The Chicago Pizza Company. 

Woolworths and Coles in Australia both offer their Australian-made home brand 500g pizzas at $4.50 (AU $4). 

NZ supermarkets may import from Italy due to economies of scale, which larger international producers can better lend themselves towards. Australia benefits from this, with approximately 838 Coles supermarkets and 1,086 Woolworths compared to Countdown’s 185 and New World/PAK’nSAVE’s combined 196. 

Importing from Italy means products can be labelled as authentically Italian. But with the cost of living crisis and Australian prices being so much lower, perhaps manufacturing across the ditch needs to be considered.