Potato pieces such as cut potato chunks are pre-processed by blanching, parfrying and freezing, followed by a surface-coating step wherein the potato pieces are coated with a blend of oil and lecithin. In a preferred form, the oil-lecithin blend comprises about 95% weight oil such as a soybean-based salad oil, and about 5% weight soybean-based lecithin. This oil-lecithin blend is applied to the pre-processed potato pieces as by spraying to achieve a product weight increase of from about 2% to about 8%. Such surface-coated frozen potato pieces are adapted for finish preparation by microwave heating, with the finish-prepared pieces exhibiting substantial and desirable external surface crispness in combination with clean and natural potato flavor.