Foodservice operators are switching to convenience food products to offset rising labor costs, increasing raw commodity prices, and a lack of trained personnel, and to realize economies from new food technology. A total of 138 surveyed firms reported over $1 billion in convenience food sales to the hotel, restaurant, and institutional (HRI) market during 1973/74. Over two-thirds of the companies had national sales distribution, nearly one-fourth reported regional sales distribution, and only a few small companies limited their distribution to local areas. Frozen food products accounted for over two-thirds of the products introduced and over 60 percent of the products discontinued during 1968-73. Heat-and-serve and portion control items were seen as the largest growth areas for convenience foods in the HRI market, but frozen foods are expected to gain the greatest sales over the next few years.