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Editorials | Issues | January 2007  
Italian Food, Mexican Cash, U.S. Indignation
David Sedeno - Fort Worth Star-Telegram


| | The pizza peso ploy highlights the growing economic clout of the Hispanic community in America and the busy two-way traffic along the border. | Pizza Patron never counted on a week like the past one.
 "Pizza por Pesos" was supposed to be a low-key campaign that would let many in the chain's loyal Hispanic customer base unload unused Mexican currency at its 59 restaurants in five states.
 The campaign brought the group instant marketing notoriety as an example of how to cater to a burgeoning niche. But it also landed the company in the crosshairs of the immigration debate, with criticism on blogs and talk shows and calls to its stores saying that the campaign is un-American and encourages illegal immigration.
 "If we had any inkling that this would get the attention that it got, we would certainly have prepared for it better," said Andy Gamm, the chain's director of brand marketing.
 Pizza Patron stores are located in predominantly Hispanic neighborhoods. They have bilingual staffs, and business is based on a carryout model. The prices are competitive with major chains, and the menu has options for pizzas with a Mexican twist.
 Before this brouhaha, I had visited and ordered from a couple of the stores and found their products comparable to those of the national chains.
 Entrepreneur Antonio Swad came to Dallas from New York and opened his first Pizza Patron store in 1986 in the only area where leases were affordable. He soon discovered that many of his customers spoke Spanish; he didn't.
 He started catering to them, working on recipes meeting their likes, and opened other stores. He then set up the business for franchising.
 As many national restaurant chains are looking at ways to attract the Hispanic market, Pizza Patron is merely extending its already established reach.
 Pizza Patron was inundated with e-mails, many critical of the company. Many people also have called franchisees to complain and have tried to disrupt their business. Others merely wanted to get rid of pesos left over from vacations to Chihuahua, Cancun or Cozumel.
 Swad said that the peso intake at the stores has been running between 10 percent and 15 percent of total revenue, which he calls a good number. The promotion will run through the end of February, and the company will re-evaluate its effectiveness and decide whether to continue.
 As for this promotion giving more incentives for illegal immigrants to come north to spend their pesos: Swad pointed out that lost in this whole campaign is that most of the people with pesos have gone to Mexico and re-entered the United States legally.
 I have to agree.
 Most illegal immigrants coming to this country for the first time probably have never heard of Pizza Patron. On their trek north, they carry very little with them, such as clothes or identification cards, so they won't have to give their real name in case of arrest.
 "I don't think buying pizza is a priority on your mind if you're coming from Mexico that way," Gamm said.
 Besides, any money that these illegal immigrants would be carrying would be in U.S. currency.
 Smugglers, you see, quit taking pesos a long time ago. | 
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