‘Challenge Accepted’: Zesty Z Pivots From Popcorn to Pita Chips
After a challenging couple of years, family-owned Mediterranean foods brand Zesty Z is aiming to start a new chapter for its business with this week’s launch of a line of twice-baked pita chips.
The new product, which offers more fiber, less fat and fewer carbs than conventional pita chips, arrives at a critical point for the mother-and-son founded company, which initially launched eight years ago with za’atar seasoning, then expanded into globally inspired popcorn.
But various supply chain and operational challenges over the past two years ultimately pushed the brand onto a new path, said co-founder and CEO Alexander Harik.
“It was really hard to cut the popcorn and za’atar,” he said. “But the story continues.”
The pivot into pita chips stemmed from conversations more than a year ago with retailers and distributors, who noted a gap in their assortment for a modern take on the $246 million Stacy’s brand, owned by Frito-Lay, which Harik said has 82% market share in the pita chip segment. Frito-Lay often relies on product bundling, requiring retailers to carry another of its brands such as Doritos or Cheetos, which isn’t a fit for most specialty and natural grocers, Harik said.
“[Our customers told us] ‘If you make us a [pita chip] product that is actually good and different, we’ll carry it,’” Harik recalled. “I said, ‘Challenge accepted.’”
A year of market research, focus groups and additional discussions with retail partners culminated in the development of Zesty Z Perfect Pita Chips, which is now available to purchase online and is set to roll out to select Northeast retailers including Shoprite, Gourmet Garage, Stop & Shop, Roche Bros. and others in March.
Available in Sea Salt and Parmesan Garlic flavors, the 6 oz. bags will retail between $5.49 and $5.69. By comparison, a 7.33 oz. bag of Stacy’s Pita Chips costs $4.49 at Shoprite.
“Pita is in the DNA of our family and Arab culture,” Harik said, noting the flatbread was a fixture of school lunches, family dinners and weekend visits to a Lebanese bakery during his childhood. “Pita is personal, and we’re ready to shake some things up.”
Zesty Z was among the first businesses to earn a Minority Business Certification introduced last year by the American-Arab Anti-Discrimination Committee. Harik helped shape the program by offering industry perspective, demonstrating how a diversity certification could bolster a brand with limited resources.
Used a traditional Lebanese pita bread recipe as inspiration, Zesty Z’s pita chips are made with modified wheat starch and contain 14 grams of net carbs, 6 grams of fiber and 3.5 grams of total fat per serving, compared to Stacy’s 18 grams of net carbs, less than 1 gram of fiber and 5 grams of fat per serving.
“We hired a French master baker to work with this, and I got my hands dirty, and we worked with only manufacturers who actually make pita bread,” Harik said. “There’s grill marks and … curved edges on the chip.”
‘A Second-Time Founder of My Own Company’
Harik, with his mother, Lorraine George-Harik, founded Zesty Z with the mission of introducing the Middle Eastern herb mix za’atar to more American consumers. Building on the growing demand for global condiments like sriracha, the Brooklyn-based brand partnered with foodservice operators and specialty grocery stores to market its versatile spread made with olive oil and sesame seeds.
Four years ago, Zesty Z added a range of ready-to-eat popcorn featuring Mediterranean flavors such as Feta Cheese, Spicy Chili, and Honey and Sea Salt. Last year, the brand previewed a new SKU, Organic Olive Oil with Sea Salt, as an alternative to classic buttered popcorn at the Summer Fancy Food Show and planned to focus on direct-to-consumer and foodservice channels for the za’atar spice mix.
At its peak, the brand was sold in several thousand retail doors, Harik said, naming Whole Foods Market and Costco as notable accounts. Zesty Z also partnered with airlines, meal kit services and hotels.
Now, Harik sees more promise in pita chips, aspiring to create the second best-selling brand in the category. Other competitors include New York Style and Stonefire Authentic Flatbreads, which generate a fraction of Stacy’s sales.
“None of the competitor brands really have done anything different in 20 years to challenge it or disrupt it,” he said.
Early traction among key retailers and distributors, as well as the brand’s strong social media presence (13 million organic impressions) and the founders’ earlier operating experience position Zesty Z for success in its next chapter.
“It’s been a long year and a half of kind of idling… but I’m really proud,” he said. “I’m basically a second-time founder of my own company.”