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All Wrapped Up - Ruiz Offers Hand-Held Mexican Breakfast Products That Fit Consumer Lifestyles Like a Glove

Trade Article - Stagnitos's New Products Magazine - March, 2002

Ruiz hits trends on the mark once again with the company’s latest product introductions — El Monterey brand Breakfast Burrito and Breakfast Soft Tacos.

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By Lori Dahm

Mexican cuisine has become standard American fare — good news for Ruiz Foods, Dinuba, Calif., a company that has 38 years of experience manufacturing Mexican food designed for the American palate.

Ruiz hits trends on the mark once again with the company’s latest product introductions — El Monterey brand Breakfast Burrito and Breakfast Soft Tacos. The new products are perfect for on-the-go eating and designed for breakfast consumption — the meal occasion that is currently experiencing the highest growth rate in foodservice channels. And two of the products offer a unique feature: Ruiz’ gordita-style tortilla used in the soft taco is the first of its kind to appear in the frozen food category.

How does Ruiz Foods continue to create successful new products?

There is no simple answer to that question. But from Ruiz’ perspective, the company has identified a specific target audience and has loyally served that market with authentic products developed according to high quality standards.

It has been the right recipe for the El Monterey brand name and Ruiz Foods, as the company’s dedication to innovation, quality and authenticity has landed the El Monterey brand in the leading position in the frozen Mexican food segment in the retail, convenience store, vending and foodservice channels.

El Monterey Breakfast Soft Tacos and Breakfast Burritos are already promising to be another smashing success. These products hit the ground running last November and their popularity is growing in “hot to go” channels such as gas stations and convenience stores. The breakfast items also are becoming popular in foodservice channels such as schools, institutions, contract cafeterias and other foodservice venues such as QSR restaurants. It’s been a well-deserved win for Ruiz: the story behind this success involves trials and tribulations that required the company’s experience in the manufacture of Mexican food products.

Products and Predictors
Three new products were introduced as the El Monterey breakfast line: a half pound Breakfast Burrito containing egg, sausage, potato and cheese, and two Breakfast Soft Tacos in Cheesy Sausage and Egg and Omelet and Cheese Sauce varieties. Ruiz Foods began to consider entering the breakfast eating occasion with frozen El Monterey products when their trend radar picked up on the breakfast opportunity. Mexican food has ranked as the number one growing incremental food business since the year 2000, according to NPD. Pairing the number one growing eating occasion – breakfast – with the number one growing cuisine in an easy-to-eat product is a stroke of pure genius.

“We looked at the trends that were in place around the nation and saw that the number one fast food chain in the United States was seeing one-third of their business come from the breakfast segment, and just a few years prior this same chain had almost non-existent breakfast business,” says Ray Friedman, vice president of marketing and business development at Ruiz Foods. “Our other products serve the same on-the-go consumers that visit fast food restaurants, so the next logical step was to consider competing with the QSR breakfast items with a high quality El Monterey product. There were a number of existing retail items that were low quality and low cost, but we believed the robust flavors and the authenticity that the El Monterey brand offers would be a welcome alternative. We wanted to give consumers something they could really bite into.”

Enter the El Monterey frozen breakfast products. The Burrito is a half pound of eggs, sausage, potatoes, cheese and tomatoes. The Breakfast Soft Tacos are encased in a gordita-style tortilla, - a tortilla that is heartier than a flat tortilla and more akin to bread in its thickness and texture.

The Breakfast Soft Tacos were developed with particular consideration of the seasoning flavors chosen. For example, the product development team knew that sausage isn’t considered a Mexican food product, so the spice combination used in the Cheesy Sausage and Egg Soft Taco was developed to help impart a more Mexican cuisine flavor to the sausage. Similarly, the cheese sauce that is a part of the Omelet and Cheese Sauce Breakfast Soft Taco is more of a cheese/ salsa blend that includes jalapenos — designed to deliver a bold flavor to the overall product.

“We went through many different flavor combinations to arrive at the final flavor profiles that we felt would appeal to our target consumer but still retain the spicy bold flavor that is characteristic of the El Monterey brand,” says Kimberli Carroll, director of marketing for foodservice at Ruiz. “We used many internal and external panels to find the spice level that would appeal to our target consumer and to make sure we hit our mark.”

Bull’s-eye
And that mark is definitely not the Hispanic market. Three quarters of the loyal consumers of the El Monterey brand frozen Mexican food products are non-Hispanic consumers, what Ruiz Foods calls the “general” market. And the remaining quarter of the El Monterey consumers that are Hispanic tend to be third generation American Hispanics — consumers who probably do not prepare their own Mexican cuisine or whose tastes have become accustomed to less spicy Mexican cuisine. In fact, Ruiz Foods has built the company’s unique 38-year legacy upon a rather unique premise. The company is owned by a Hispanic family whose family members are very involved in taste paneling and approving new products during development. Ruiz Foods prides itself on retaining authenticity, even using recipes attributed to Fred Ruiz’ mother, Rose. Yet the target for the products has always been the American palate — consumers unfamiliar with the products as they would be flavored and seasoned in Mexico.

“The success of this approach is undeniable. The company is growing so fast that one of the challenges constantly facing us is the capacity of our production facility,” says Friedman. “In fact, Ruiz Foods has recently installed equipment giving us the largest tortilla-producing capability in the United States This turns out to be a huge advantage because we use all of these tortillas in the production of our El Monterey products.”

Resident expertise
Advantages such as the company’s in-house tortilla manufacturing have helped Ruiz Foods overcome obstacles that arise during new product development projects. For example, unique manufacturing challenges that arose during the development of the new breakfast products utilized resident expertise and experience. First, using gordita-style tortillas for the breakfast soft taco items required special handling procedures.

“The gordita-style tortilla is best described as a bread. This bread has a four to six hour window after it is produced during which it must be shaped into its final form or it will crack or won’t fold properly. Heated trucks carry the soft tacos from their place of manufacture to our plant, where they are formed and used in the production of the Breakfast Soft Taco items,” says Carroll. “Any hiccups on either side of the production can affect the manufacture of the product, so our operations have to be completely smooth.”

The product development team was familiar with the Gordita “memory shape” problems because of other El Monterey Soft Taco products recently introduced in the line. The team transferred that knowledge to the Breakfast Soft Taco manufacturing procedure to create a standardized operation for using the soft tacos within a specified period of time. Other challenges that Ruiz conquered with the Breakfast products included finding the proper egg ingredients. The eggs that the company initially used in prototypes had a poor texture that wasn’t firm enough, an undesirable moisture level and a lesser quality flavor. Eventually the product development team turned to IQF eggs, which required changing some of the manufacturing procedures in order to accommodate the frozen form of the egg Iingredient.

“We also had to find another sausage ingredient — we needed a meaty texture and a sausage that would hold up after being microwaved. Many sausage ingredients become too soft or don’t have the proper sausage flavor that we were looking for,” says Friedman. “And the cheese also needed to be different than the Monterey Jacks or cheddars that we use in our other El Monterey products. These breakfast products needed a stronger cheese profile to accompany the other flavors in the products. We had to find a more satisfying cheese than the mild cheeses we were accustomed to using.”

The new product development team worked through the issues of finding new ingredient sources and incorporating unfamiliar ingredients into the manufacturing process. Teamwork between the functions working on the project was essential to create the successful end product. This new product team included experts from R&D, marketing, operations, quality assurance and purchasing. Each function was critical throughout the entire new product development process, and the team even utilized feedback from suppliers and customers as product prototypes were proposed and tested, extending the “team” beyond Ruiz resources.

“Every member of the team has a voice in setting up the timeline for the development of a new product and we truly utilize teamwork,” says Friedman. “We extend that teamwork philosophy to our customers and suppliers, bringing in suppliers to help solve issues and be part of the team and asking customers to help us evaluate prototypes as we are moving through development. We bring all of it together to build superior new products.”

To market, to market
The new breakfast items were released in market with an accompanying promotional rebate program, advertising in various publications and communication with Ruiz’ broker network. So far, the Breakfast Soft Tacos and Breakfast Burritos have done well in convenience store and vending channels, and are proving popular in institutions and cafeteria feeders. Friedman believes the success of the line is because the products were developed according to the mission and objectives that drive Ruiz.

“Four tenants drive the business of Ruiz Foods Products, Inc. At the top of the list is quality. We believe we introduce quality Mexican food products . Second is leadership, and Ruiz is dedicated to being a leader in the marketplace today,” says Friedman. “Third we believe in authenticity. We won’t introduce products under the guise of Mexican food that are completely different from what you would see in Mexico. And finally, we uphold innovation, and this leads to innovation in new products and a dedication to continuing to introduce new products like the new El Monterey Breakfast products.”

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