Now eight months into his role as Amy’s Kitchen president, Paul Schiefer – a 16-year veteran of the company – spoke with NOSH about how the brand is adapting innovation to a period of higher inflation while maintaining its hold on the frozen organic meals category. He also shared thoughts on working through production challenges and the growing relevance of regenerative agriculture in CPG. 📈 Higher Prices, Higher Value Products: The Petaluma, Calif.-based company introduced six family-sized formats in October that serve three-to-four individuals. The line is rolling out to retailers nationwide now that its Kroger launch exclusivity has expired. “Customers are looking for more value,” Schiefer said. “I’ve got three little kids and it's hard to cook up five Amy's entrees for dinner if you're feeding everybody.” ♻️ Staying Relevant Against The Competition: Though the brand has a presence beyond meals, including in snacks, Schiefer said it will remain focused where it has seen the most success – frozen entrees, canned soup and chili. Amy’s instead aims to stand out with its mission for sustainable sourcing and social responsibility. Last week, the company released its 2023 Impact Report which also highlighted areas for improvement like shifting to 100% recyclable packaging – “it's also a way to hold us accountable,” Schiefer said about the report. 🌱 Regen Ag Versus Organic: According to Schiefer, the company believes that organic is an inherent part of regenerative agriculture (though that definition is still debated in the broader regen space). While it isn’t currently working to obtain a Regenerative Organic Certification, Amy’s is exploring the idea of other badges that support its sustainability goals. “We deeply feel that you can't be regenerative until you're organic,” he said. “That being said, I think layering in deeper work around social equity for farmworkers and really making sure that we're validating the impact of those regenerative practices makes a lot of sense.” 🚗 Challenges To The QSR Concept: The Amy’s Drive-Thru concept has been an ambitious project since its launch in 2015, but now with four locations, the team is at a place of “capturing all of those learnings,” and experimenting with smaller format stores, said Schiefer. At one point, he served as both director of restaurant operations and interim president of Amy’s Drive Thru. 🏭 Improving The Production Process: As Amy’s works to repair its image and supply chain after labor disputes and the closing of a facility in San Jose, California in 2022, it will take a focused approach to manage the growth of its production plants. The focus however comes alongside continued delays to building its fourth production facility in Goshen, New York. Amy’s owns the property and still plans to build the factory when the next wave of demand hits, but for now it remains “shovel-ready,” Schiefer said. |