May 14, 2004
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FOCUSING ON ITALIAN CHEESE — Italian cheese manufacturer Lucille Farms offers Mozzarella, Provolone and a variety of shredded cheeses. It also recently has introduced new products.

By Kate Sander

MONTVILLE, N.J. — In an effort to provide relevant products that meet the needs of today’s customers, Lucille Farms is focusing its attention on marketing two products that until recently were under development — Lucille Farms Select Pizza Cheese and Lucille Farms Premium Reduced-Fat Mozzarella Cheese.

Lucille Select is for the value-conscious customer who wants a real cheese product that is available at prices below that of traditional Mozzarella, says Jay Rosengarten, CEO, Lucille. Lucille Select Pizza Cheese is comparable to Mozzarella as a pizza topping and performs well in deck and conveyor ovens, Rosengarten says.

The introduction of the product, designed primarily for foodservice, has come at a time when cheese prices are at record levels. While no one can ever predict exactly what the cheese market is going to do, the time really couldn’t have been much better.

“It’s been terrific. We’ve been beating our expectations,” says Al Falivene, president, Lucille.

However, neither Rosengarten nor Falivene wants Select Pizza Cheese only to receive attention because of its price. In fact, they say, its difficult to tell Select Pizza Cheese, which is made strictly with dairy products and carries the Real seal, apart from traditional Mozzarella. The cheese is fresh, not frozen, adding to its quality, they say.

“It’s not just a cost-efficient product. It works the same as or better than many premium Mozzarellas,” Falivene says.

“Well, not better than our premium Mozzarella, but several other manufacturers’ premium Mozzarellas,” he quickly adds with a chuckle.

Meanwhile, Lucille Farms, which debuted a fat-free Mozzarella in the early 1990s that led the company to eventually going public, has dusted off the formula for its reduced-fat cheese and revamped it in terms of taste, functionality and marketability.

Lucille Farms Premium Reduced-Fat Mozzarella Cheese has 57 percent less fat than traditional Mozzarellas, 22 percent fewer calories, 48 percent less sodium, 33 percent more protein and 60 percent lower cholesterol. Perhaps more importantly in the midst of the nation’s fascination with low- and no-carb diets, the product contains no carbohydrates. Rosengarten says the company has been showing the cheese, which is all-natural and contains no fat replacers, to school districts concerned about student health. It’s an ideal product for pizza makers, he adds, because it appeals to the health-conscious and no carb crowds looking for an alternative, he says. It’s also a product ideal for the healthcare industry, such as nursing homes and hospitals, he says.

In addition, the company offers premium Mozzarella and Provolone and a variety of shredded cheeses. It manufactures about 25 million poundsannually, using milk it procures from St. Albans Cooperative Creamery. With the two new products appealing to a wide range of customers, the company’s future is bright, Rosengarten says.

“These products are really products of their time,” Falivene adds.

To get the word out, the company has been taking its new products to trade shows, including the Pizza Expo in Las Vegas in March, as well as doing advertising and a great deal of sampling.

“There’s no magic to this,” Rosengarten says. “It’s hard work; you roll up your sleeves and knock on doors.”

Lucille Farms has a history of hard work behind it. Falivene tells of how his parents, Philip and Lucille, started the company in the late 1930s as a storefront lattacini in the Bronx. The shop was a landmark in its Italian neighborhood, beloved for Philip Falivene’s excellent homemade cheese. Philip Falivene made the cheese during the day and sold the product in the evenings. As the cheese became more well known, they began to sell cheese from other manufacturers as well. Eventually, though, the company returned to its roots, focusing on its own cheese and opening its Swanton, Vt., plant in 1975.

Gennaro Falivene joined his brother Philip in the business and remains with Lucille to this day, serving as executive vice president of quality control. Al Falivene joined the business in 1965.

Over the years, the company has weathered some rough times, Al Falivene says. Rosengarten agrees but notes that is changing.

“Our products are extremely consistent and high quality,” Rosengarten says. “That’s what we stand for.”

To improve consistency and facilitate the new product introductions, Rosengarten, a Lucille board member who was appointed CEO in late 2002 to direct the company’s overall focus, says the company has made a number of changes. There have been a few capital improvements, including a newprocessing room at the company’s Swanton production facility, as well as management changes, including a new plant manager.

Rosengarten has high hopes for the company. In 2003, the company had sales of approximately $38 million. When asked where he hopes to see the company at in five years, Rosengarten says he would like to see sales increase tenfold.

“Lucille is a relatively small player (in the Italian cheese market),” Rosengarten says. “But we have the right products. We’ve just scratched the surface.”

Rosengarten foresees most of the company’s near-term growth coming from the foodservice sector. Rosengarten says Lucille would entertain the idea of doing private label cheese for the right customer, but adds, “We’re foodservice suppliers. That’s what we should be doing for the foreseeable future.

“We had to recognize who we are,” Rosengarten says, noting that the company cannot be all things to all people.

Falivene also looks forward to seeing the company continue to grow with the right mix of products for its customers.

“We want to grow the company with specialty cheese products that are high quality and needed by the marketplace,” Falivene adds.

CMN