The Pizza Market in the U.S.: Foodservice and Retail
Data from a Packaged Facts August 2012 survey show that 97% of U.S. adults eat pizza, and about 93% have gotten food from a pizza restaurant in the past 12 months. These levels of penetration both underscore how many people enjoy pizza and suggest the difficulty in growing this commoditized market. On the restaurant side, pizza restaurants are losing share to other restaurant cuisine formats, major pizza chains have continued to grow sales. On the retail side, private label continues to grow sales—and steal share—in each of three mass-market pizza segments (frozen pizza, pizza products, and refrigerated pizza). On store shelves, category growth is bubbling up from the bottom: Among the top 12 frozen pizza manufacturers, significant growth has come only from boutique companies Newman’s Own and Amy’s Kitchen. However, a handful of recent brand lines from the frozen pizza giants are bucking the trend. And Packaged Facts analysis suggests that consumers will support the growth of value and premium offerings.
The Pizza Market in the U.S.: Foodservice and Retail shows a clear food consumption trend toward healthier options and home-based cost savings, at the expense of pizza. The main message to pizza purveyors is evident: enhance the overall healthfulness of your pizza, and experiment with options providing more clear-cut healthfulness without sacrificing taste. But menu trends reveal a wealth of cuisine-driven growth opportunities:
The Pizza Market in the U.S.: Foodservice and Retail fully analyzes and tabulates the industry and consumer trends that are shaping the U.S. pizza market. Scope of analysis includes pizza solid at restaurants, with an emphasis on the full-service and limited-service establishments, and at retail, with an emphasis on frozen pizza. This report presents U.S. pizza restaurant market sizing and forecasts segmented by sales at 1) full-service restaurants and 2) limited-service eating places. Our U.S. retail pizza market size and forecast is segmented by sales of 1) frozen pizza and 2) refrigerated pizza (each at grocery/supermarkets, mass merchandisers, drug stores, supercenters, dollar stores, club stores and specialty stores).
Mass-market (food, drug, and mass merchandisers other than Walmart) retail manufacturer and brand sales are presented based on dollar sales during the 52-week period ending July 8, 2012, as compiled by SymphonyIRI. This analysis is comprised of three segments: frozen pizza, refrigerated pizza, and pizza products, as well as their respective sub-segments. This report also includes extensive analysis of consumer demographics, attitudes and behaviors as relate to the pizza industry, as derived from Experian Simmons national consumer surveys. In addition, The Pizza Market in the U.S. features an extensive and exclusive analysis of Packaged Facts’ August 2012 proprietary pizza survey (with 2,000 respondents) commissioned exclusively for this report. Report Coverage
Report coverage also includes:
The Pizza Market in the U.S.: Foodservice and Retail shows a clear food consumption trend toward healthier options and home-based cost savings, at the expense of pizza. The main message to pizza purveyors is evident: enhance the overall healthfulness of your pizza, and experiment with options providing more clear-cut healthfulness without sacrificing taste. But menu trends reveal a wealth of cuisine-driven growth opportunities:
- Push more mileage out of fusion cuisine.
- Use pizza to mainstream a wider variety of leaner proteins.
- Leverage vegetable variety.
- Up the sophistication ante through premium and more exotic natural cheeses and sauce experimentation.
- Exploit the on-the-go innovation potential of the breakfast daypart.
The Pizza Market in the U.S.: Foodservice and Retail fully analyzes and tabulates the industry and consumer trends that are shaping the U.S. pizza market. Scope of analysis includes pizza solid at restaurants, with an emphasis on the full-service and limited-service establishments, and at retail, with an emphasis on frozen pizza. This report presents U.S. pizza restaurant market sizing and forecasts segmented by sales at 1) full-service restaurants and 2) limited-service eating places. Our U.S. retail pizza market size and forecast is segmented by sales of 1) frozen pizza and 2) refrigerated pizza (each at grocery/supermarkets, mass merchandisers, drug stores, supercenters, dollar stores, club stores and specialty stores).
Mass-market (food, drug, and mass merchandisers other than Walmart) retail manufacturer and brand sales are presented based on dollar sales during the 52-week period ending July 8, 2012, as compiled by SymphonyIRI. This analysis is comprised of three segments: frozen pizza, refrigerated pizza, and pizza products, as well as their respective sub-segments. This report also includes extensive analysis of consumer demographics, attitudes and behaviors as relate to the pizza industry, as derived from Experian Simmons national consumer surveys. In addition, The Pizza Market in the U.S. features an extensive and exclusive analysis of Packaged Facts’ August 2012 proprietary pizza survey (with 2,000 respondents) commissioned exclusively for this report. Report Coverage
Report coverage also includes:
- Usage penetration, usage frequency, and usage share among 10 pizza procurement sources/types consumption trends in 17 foods/food types, including restaurant pizza, frozen pizza, fresh/refrigerated pizza, healthy food, home cooked meals, and leftovers.
- Pizza menu trends, focusing on menu item penetration and menu item incidence by restaurant segment, including top proteins, ingredients, cheeses, sauces, varieties, kids’ menus, and health marketing claims.
- Factors driving the restaurant pizza purchase decision, including (ranked) pizza ordering influencers; restaurant pizza eating rationales; choice of eating participants; over eating, use of promotions; and healthy option awareness.
- Pizza restaurant delivery/pickup versus dine in; pizza chain usage versus independent pizza and non-pizza restaurant usage; items ordered from the menu; how delivery/pickup versus dine in affects the order.
- What motivates consumers to eat more pizza, including healthier pizza, personal size pizza, on-the-go options, international/ethnic pizza options, and gluten–free pizza options.
- Frozen pizza sales and product trends among Nestlé, Schwan and General Mills
CHAPTER 1: EXECUTIVE SUMMARY
Scope and Methodology
Report Scope
Report resource summary
Report summary
Market Size and Segmentation: Pizza at Foodservice and Retail
Summary analysis
The restaurant side
The retail side
Pizza Use by Channel & Type
Summary analysis
Food Consumption & Migration Trends: Placing Pizza in Context
Summary analysis
Pizza on the Menu: Menu Trend Analysis
Summary analysis
Restaurant Pizza Purchase Decision and Eating Experience
Summary analysis
Delivery v. Pickup, Chain v. Independent & Menu Item Ordering
Summary analysis
Pizza Uptake Motivators
Summary analysis
Retail Pizza Manufacturer, Brand & New Product Analysis
Summary analysis
Nestlé USA
Schwan
General Mills
Pizza Restaurant Brand Analysis
California Pizza Kitchen
Menu buzz
Healthier introductions
Customer traffic and demographic trends
Domino’s
Innovation and activity
Artisan Pizza promises quality; provides upselling ammunition
New menu introduction analysis
Customer segmentation by mobile device interaction
Key consumer groups
2009-2012 Guest traffic frequency analysis
Little Caesars Pizza
New menu introduction analysis
Promotional activity
Technology innovation
Key consumer groups
2008-2012 Guest traffic frequency analysis
Papa John’s
Branding that reflects quality positioning
Strategy paying off
Innovation and activity
New menu introduction analysis
Promotional activity
Technology innovation
Customer segmentation by mobile device interaction
Key consumer groups
Attracting highly engaged women
2008-2012 Guest traffic frequency analysis: positive momentum
Papa Murphy’s
New menu introduction analysis
Mobile marketing strategy
Customer segmentation by mobile device interaction
The Papa Murphy’s Consumer
2008-2012 Guest traffic frequency analysis
Customer segmentation by food lifestyle
Pizza Hut
New menu introduction & promotion analysis
Mobile reach
Key consumer groups
2008-2012 Guest traffic frequency analysis
CHAPTER 2: MARKET SIZE AND FORECAST
Market size and forecast
Forecast summary
Restaurant pizza market size and forecast
Graph 2-1: Restaurant Pizza Market Size & Forecast, 2007-2014
Full-service pizza restaurant sales growth outpaces limited-service segment
Graph 2-2: Full-Service & Limited-Service Restaurant Pizza Market Size & Forecast, 2007-2014
Declining share of restaurant sales
Table 2-1: Pizza Restaurants: Share of Restaurant Sales, by Segment, 2010-2012
Largest pizza chains eke out growth
At smaller competitors’ expense?
Table 2-2: Top 10 Pizza Restaurant Chains, Systemwide Sales: 2009-2011
Retail pizza market size and forecast
Graph 2-3: Retail Pizza Market Size & Forecast, 2007-2014
Frozen pizza sales hitting a wall
Graph 2-4: Retail Pizza Market Size & Forecast, Frozen & Refrigerated Segments, 2007-2014
CPG pizza sales at FDMx trending downward
Table 2-3: CPG Pizza Sales: Frozen Pizza, Refrigerated Pizza & Pizza Products, by Category, 2011-2012
Private label grows sales, takes share
Table 2-4: CPG Pizza Sales, Private Label Share, by Category, 2011-2012
Table 2-5: CPG Pizza Sales, Private Label Share, by Category, 2011-2012
Retail frozen pizza manufacturer share
Nestlé reigns, but share at Nestlé and Schwan dips
Table 2-6: Top 12 Frozen Pizza Manufacturer Sales, 2011-2012
Major brands in decline; growth coming from the bottom
Table 2-7: Top 15 Frozen Pizza Brand Sales, 2011-2012
Retail frozen pizza brands: company share
Retail frozen pizza brands: company share
Table 2-8: Sweet 16 Frozen Pizza Brands: Sales, Sales Share,
Parent Company Sales Share, 2012
On the fast track: frozen pizza brand growth leaders
Table 2-9: Sweet 16 Frozen Pizza Growth Brands & Line Extensions: Sales & Sales Growth, 2012
Growth does not discriminate on price
Room for value and premium growth
Table 2-10: Sweet 16 Frozen Pizza Growth Brands & Line Extensions:
Sales, Sales Growth & Unit Pricing, 2012
CHAPTER 3: PIZZA USE BY CHANNEL & TYPE
Introduction
Universally accepted
Near universal use of pizza restaurants
Pizza usage penetration and population universe
Higher usage penetration among restaurant dine in and delivery than frozen pizza
Table 3-1: Pizza Usage Penetration and Population Universe, by Distribution Channel/Pizza Type
Takeout/delivery option used most frequently
More than half of all pizzas are takeout/delivery or frozen
Table 3-2: Pizza Usage Frequency, Pizzas Eaten and Usage Share, by Distribution Channel/Pizza Type
Gender analysis: women tilt to home-based pizza sources/types
Table 3-3: Pizza Usage & Usage, by Distribution Channel/Pizza Type:
Gender Analysis
Age analysis: Prepared foods relationship to the supermarket basket
Table 3-4: Pizza Usage & Usage, by Distribution Channel/Pizza Type: Age Analysis
HH income
Table 3-5: Pizza Usage & Usage, by Distribution Channel/Pizza Type: HH Income Analysis
Presence of children
Table 3-6: Pizza Usage & Usage, by Distribution Channel/Pizza Type: Presence of Children
Population density
Table 3-7: Pizza Usage & Usage, by Distribution Channel/Pizza Type: Population Density
CHAPTER 4: FOOD CONSUMPTION & MIGRATION TRENDS: PLACING PIZZA IN CONTEXT
Introduction
Trend toward healthier options and away from pizza
Message to pizza purveyors
Graph 4-1: Food Consumption Trends: Eating More, Same & Less
A question of relevance
Restaurant pizza, home cooked meals, leftovers highly relevant
Prepared foods, Hispanic/Latino foods afresh/refrigerated pizza least relevant
Graph 4-2: Food Consumption Trends: Consumer Relevance
Netting it out
Net positive: foods with healthier profiles; net negative: pizza, pizza and pizza
Graph 4-3: Food Consumption Trends: Momentum Analysis
Restaurant pizza: net negative, with exception of youth
Table 4-1: Food Consumption Trends: Eating More Restaurant Pizza: Demographic Assessment
Frozen pizza trend more dire: net negative among all analyzed demographics
Table 4-2: Food Consumption Trends: Eating More Frozen Pizza: Demographic Assessment
Refrigerated pizza: net negative, even among core users
Table 4-3: Food Consumption Trends: Eating More Fresh/Refrigerated Pizza: Demographic Assessment
CHAPTER 5 THE CONSUMER: PIZZA MENU TRENDS & RETAIL NEW PRODUCTS
Overview
Pizza on more than a third of restaurant menus
Table 5-1: Pizza on the Menu: Restaurant Penetration, by Segment, 2012
But a downward trend is afoot
Table 5-2: Pizza on the Menu: Restaurant Penetration, 2008-2012
Pizza crosses cuisines
Table 5-3: Pizza on the Menu: Penetration,
by Restaurant Cuisine Specialty, 2012
Top proteins: high-fat proteins abound, providing opportunity for leaner proteins
Table 5-4: Top Pizza Proteins: Restaurant Penetration by Restaurant Segment, 2012
Vegetables underscore consumer taste variety; untapped potential
Table 5-5: Top Pizza Vegetables & Related Ingredients: Penetration by Restaurant Segment, 2012
Top cheeses: feta, goat, gouda & asiago not just for fine dining
Table 5-6: Top Pizza Cheeses: Restaurant Penetration by Restaurant Segment, 2012
Top sauces: tradition and wholesale borrowing reigns
Table 5-7: Top Pizza Sauces: Restaurant Penetration by Restaurant Segment, 2012
Top varieties
Table 5-8: Top Pizza Varieties: Restaurant Penetration by Restaurant Segment, 2012
Daypart analysis: not just for dinner
Table 5-9: Pizza on the Menu: Restaurant Penetration, by Daypart, 2012
But breakfast pizza experimentation abounds
But not among large chains
Table 5-10: Pizza on the Breakfast Menu: Selected Examples, 2012
Pizza health marketing claims barely dent the menu
Anemic pizza health marketing ties
New frozen pizza product introductions
June 2012: DiGiorno, CPK and Tombstone
May 2012: Kashi Four Cheese Pizza
April 2012: Frozen Naked Pizza & Bold Organics Pizza
April 2012: Udi’s Gluten-Free Frozen Pizza
March 2012: Annie’s Organic-Rising Crust Pizza
New offerings: pizza crust
CHAPTER 6: RESTAURANT PIZZA PURCHASE DECISION AND EATING EXPERIENCE
Introduction
Pizza Ordering Influencers
Pizza attributes are the strongest draw
But it’s not just about pizza
Graph 6-1: Pizza Ordering Influencers: Ranking Scores, 2012
Gender: tilt marketing messages to emphasize value and convenience
Table 6-1: Pizza Ordering Influencers: Ranking Scores, by Gender, 2012
Age analysis: play up the craving
Table 6-2:: Pizza Ordering Influencers: Ranking Scores, By Age, 2012
HH income analysis
Table 6-3: Pizza Ordering Influencers: Ranking Scores, HH Income, 2012
Race/ethnicity analysis
Table 6-4: Pizza Ordering Influencers: Ranking Scores, By Race/Ethnicity, 2012
Restaurant Pizza Eating Rationales
Community and sharing
Coupons usage opens doors for targeted marketing
Continue to target established routines
When schedules overtake us, send pizza to the rescue
Graph 6-2: Restaurant Pizza Eating Rationales, 2012
Age: community and sharing
Table 6-5: Restaurant Pizza Eating Rationales, By Age, 2012
Table 6-6: Restaurant Pizza Eating Rationales, By HH Income, 2012
Kids: where do we start?
Table 6-7: Restaurant Pizza Eating Rationales, By HH Income, 2012
Eating Participants, Over Eating, Promotions & Healthy Option Awareness
Family & kids trump eating alone
Satisfaction? Yes. Over indulgence? Not really.
Couponing a significant force
Healthy options? Where?
Graph 6-3: Consumer Pizza Restaurant Eating Participants, Over Eating, Promotions & Healthy Option Awareness, 2012
Eating participants
Gender: family differential
Table 6-8: Consumer Pizza Restaurant Eating Participants, By Gender, 2012
Age: time with child-raising years
Table 6-9: Consumer Pizza Restaurant Eating Participants, By Age, 2012
HH Income: family a middle-income sweet spot
Table 6-10: Consumer Pizza Restaurant Eating Participants, By HH Income, 2012
Race/ethnicity
Table 6-11: Consumer Pizza Restaurant Eating Participants, By Race/Ethnicity, 2012
Kids
Table 6-12: Consumer Pizza Restaurant Eating Participants, By Presence of Children in HH, 2012
Over eating, promotions & healthy option awareness
Gender
Table 6-13: Consumer Pizza Restaurant Eating: Over Eating, Promotions & Healthy Option Awareness, By Gender, 2012
Age
Table 6-14: Consumer Pizza Restaurant Eating: Over Eating, Promotions & Healthy Option Awareness, By Gender, 2012
HH income
Table 6-15: Consumer Pizza Restaurant Eating: Over Eating, Promotions & Healthy Option Awareness, By HH Income, 2012
CHAPTER 7: DELIVERY V. PICKUP, CHAIN V. INDEPENDENT & MENU ITEM ORDERING
Introduction
2.5 times more people choose delivery than dining in
Table 7-1: Pizza Procurement: Restaurant v. Takeout/Delivery,
Demographic Assessment, 2012
More takeout/delivery users influenced by “ease of pizza” factors
Table 7-2: Consumer Restaurant Pizza Eating Rationales, by Eat-In v. Takeout/Delivery, 2012
Pizza chains dominate
Table 7-3: Pizza Procurement: Major Pizza Chain, Local Independent Pizza Restaurant, Non-Pizza Restaurant, Demographic Assessment, 2012
Eating on site more likely at local independents and on-pizza restaurants
Table 7-4: Pizza Procurement: Major Pizza Chain, Local Independent Pizza Restaurant & Non-Pizza Restaurant, by Eat-In v. Takeout/Delivery, 2012
So, what did you order at the pizza restaurant?
Non-pizza entrées, in aggregate, contribute strongly to order
Salad: the healthy holdout
Drinks, please
Graph 7-1: Food and Drink Ordered During Last Visit to Pizza Restaurant, 2012
Larger orders: younger patrons
Table 7-5: Food and Drink Ordered During Last Visit to Pizza Restaurant, by Age, 2012
HH Income
Table 7-6: Food and Drink Ordered During Last Visit to Pizza Restaurant, by HH Income, 2012
Race/ethnicity
Table 7-7: Food and Drink Ordered During Last Visit to Pizza Restaurant, by Race/Ethnicity, 2012
Menu ordering: Eating at restaurant v. takeout/delivery
Table 7-8: Food and Drink Ordered During Last Visit to Pizza Restaurant, by Eat-In v. Takeout/Delivery, 2012
CHAPTER 8: PIZZA UPTAKE MOTIVATORS
Introduction
Summary analysis
Healthier pizza needed to increase usage
Personal size
On-the-go convenience
An international/ethnic twist
But a hard sell to some
Graph 8-1: Motivators to Eat Pizza More Often, 2012
Gender
Table 8-1: Motivators to Eat Pizza More Often, by Gender, 2012
Age: experiment with youth
Table 8-2: Motivators to Eat Pizza More Often, by Age, 2012
HH Income: health hits higher notes
Table 8-3: Motivators to Eat Pizza More Often, by HH Income, 2012
Race/ethnicity
Table 8-4: Motivators to Eat Pizza More Often, by Race/Ethnicity, 2012
Healthy foods & home cooked meals: trends on the rise
Graph 8-2: Food Consumption Trends: Eating More, Same & Less
Significant effect on pizza uptake motivators
More healthful eating translates to healthy pizza motivation
Less healthy eating translates to personal size and on-the-go pizza motivation
Table 8-5: Food Consumption Trends: Eating More, Same & Less:
Motivators to Eat Pizza More Often
Introduction
Summary analysis
Nestlé USA
CHAPTER 9: RETAIL PIZZA MANUFACTURER, BRAND & NEW PRODUCT ANALYSIS
Schwan
General Mills
Frozen pizza long-term trend: positive; short-term trend: negative
Table 9-1: HH Frozen Pizza Eating & Eating Frequency, 2006-2012
Brand usage trending
DiGiorno strengthens brand leadership
Table 9-2: HH Frozen Pizza Brand Penetration and Engagement, 2006-2012
Nestlé USA, Inc.
Company Overview
Kraft acquisition consolidates pizza supremacy
King of pizza sales
Superpremium taking a bigger hit
DiGiorno remains jewel in the pizza crown
Table 9-3: Nestlé Frozen Pizza Sales, by Brand and Line Extension, 2011-2012
Brand by brand
DiGiorno consumer usage drivers
High-frequency engagement driven by 18-34s, blacks, and <$50K households
Table 9-4: DiGiorno Frozen Pizza: Key Users and High-Frequency Users
New offerings
Recession aids DiGiorno’s fight with pizza chains
Advertising makes targeting of pizza chains crystal clear
Going after sports
Tombstone
Tombstone consumer usage foundation
High-frequency engagement underscores importance of lower incomes & black consumers
Table 9-5: Tombstone Frozen Pizza Use and High-Frequency Use: Key Users
New offerings
Stouffer’s and Stouffer’s Lean Cuisine
California Pizza Kitchen: suffering from neglect or the recession?
Jack’s Pizza virtually unchanged
Usage patterns change significantly according to frequency of use
General engagement driven by 18-34s, households with kids, middle-income bracket & region
High-frequency engagement dispersed across many groups
Table 9-6: Jack’s Frozen Pizza Use and High-Frequency Use: Key Users
The Schwan Food Company
Pizza-centricity
Table 9-7: Schwan Frozen Pizza Sales, by Brand and Line Extension, 2011-2012
Red Baron
Freschetta
Promotions
Tony’s
LiveSmart Schools
Villa Prima
General Mills
Totino’s
On-the-go innovation
Promotional activity
Introduction
California Pizza Kitchen
Company overview
Restaurant snapshot
Menu overview
CHAPTER 10: PIZZA RESTAURANT BRAND ANALYSIS
Marketing & brand activity
Innovation and activity
Menu innovation
Healthier introductions
New dessert Strawberry Shortcake
Natural Chicken and Gluten-Free Crust
Cutting what doesn’t work
Table 10-1: California Pizza Kitchen New Offerings: XXX
Promotional activity
Facebook fans get a “thank you”
Gift cards
Alabama tornado relief
Technology innovation
CPK attracts Mobile Professionals
Graph 10-1: California Pizza Kitchen Usage Frequency Mobile Segmentation Analysis
The California Pizza Kitchen Consumer
Key consumer groups
General “any” use
Engaged users
Table 10-2: California Pizza Kitchen Engagement: Key Users
2008-2012 Guest traffic frequency analysis:
CPK customer attitudes about food
Customer segmentation by food lifestyle
True Foodies
But Variety on a Budget isn’t far behind…
Graph 10-2: California Pizza Kitchen Usage Frequency Food Segmentation Analysis
Domino’s Pizza
Company overview
Menu overview
Growth strategy
Innovation and activity
Menu innovation
Higher quality products timed with well executed promotions
Product reformulation pays huge dividends
Balancing low-price promotions with higher quality introductions
Artisan Pizza promises quality; provides upselling ammunition
Domino’s Smart Slice school lunch program meets USDA school nutrition criteria
New menu introduction analysis
On trend with gluten free
New pizzas, breads and sides making their way onto the menu
Table 10-5: Domino’s New Offerings: Pizza
Sides and apps up the flavor ante
Table 10-6: Domino’s New Offerings: Bread & Sides
Promotional activity
Global Domino’s Day promotion
ShopRunner promotion
Carryout promotion
Cyber Monday
Technology innovation
iPhone app passes $1 million in weekly sales
Domino’s launch Android app
Q2 2012 on track for growth
Customer segmentation by mobile device interaction
A strong connection to highly engaged mobile phone users
Graph 10-3: Domino’s Usage Frequency Mobile Segmentation Analysis
PULSE generating online sales
Call center builds incremental sales
The Domino’s Consumer
Key consumer groups
General “any” use
Engaged users: youth and non-white racial/ethnic groups drive sales
Highly engaged users: HH income becomes much more important
Table 10-7: Domino’s Pizza Engagement: Key Users
2009-2012 GUEST TRAFFIC FREQUENCY ANALYSIS
Table 10-8: Domino’s Guest Traffic Trends, 2009-2012
Domino’s delivers to Hispanics
Table 10-9: Domino’s Location & Hispanic Population Analysis
But . . .
Table 10-10: Domino’s Hispanic Guest Traffic Trends, 2009-2012
Customer segmentation by food lifestyle
Graph 10-4: Domino’s Usage Frequency Food Segmentation Analysis
Sales performance
2012 on solid footing
Table 10-11: Domino’s, Selected Metrics, 2007-11
Little Caesars Pizza
Company overview
Menu overview
Brand strategy
Marketing & brand activity
“Pizza! Pizza!” returns
New menu introduction analysis
New varieties of Caesar Wings
Promotional activity
$5 Hot-N-Ready pizza
Crazy Bread during basketball
Crazy Bread during football
Crazy Bread for Veterans Day
Gift card moves
Card Rewards with Discover card
Technology innovation
iPhone app
But the app has its limitations…
Customer segmentation by mobile device interaction
Graph 10-5: Little Caesar’s Usage Frequency Mobile Segmentation Analysis
The Little Caesar’s Consumer
Key consumer groups
General “any” use
Engaged users:
Highly engaged users:
Table 10-12: Little Caesar’s Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS:
Table 10-13: Little Caesar’s Guest Traffic Trends, 2008-2012
Customer segmentation by food lifestyle
6+ visits a month attracts Variety on a Budget
Graph 10-6: Little Caesar’s Usage Frequency Food Segmentation Analysis
CNN calls Little Caesars a good franchise bet
Merchandise on its website
Papa John’s
Company overview
Restaurant snapshot
Menu overview
Brand strategy
Branding that reflects quality positioning
Strategy paying off
Marketing & brand activity
Loyalty and gift card programs
Innovation and activity
Menu innovation
New menu introduction analysis
Chicken Parmesan Pizza LTO
Buffalo Chicken Pizza LTO
Classic Sausage & Peppers Pizza LTO
Table 10-14: Papa John’s New Offerings: XXX
Pizza combinations flex value positioning
Promotional activity
Advertising matters
“1040” Special for tax day pro-crustinators
Relationship with NFL
NFL and Pepsi
1 Million Pizza NFL Giveaway
Super Bowl XLVI Coin Toss lands on “heads”
Papa John’s offered free pizza if Super Bowl went into overtime
Papa John’s heart-shaped pizza
“Tools for Teacher” 2011 Collection Drive
Celebrates opening 3,000th North American restaurant
Technology innovation
First company to reach $2 billion in online sales
Papa John’s turned to Radware for fast delivery
Android and iPhone app explosion
Online pizza loyalty program
Mixing pizza with politics exposes social media dangers
Customer segmentation by mobile device interaction
Graph 10-7: Papa John’s Usage Frequency Mobile Segmentation Analysis
The Papa John’s Consumer
Key consumer groups
General “any” use
Engaged users: age reversal, racial/ethnic disparity, solidly middle class- and family-driven
Highly engaged users: women?
Table 10-16: Papa John’s Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS: POSITIVE MOMENTUM
Table 10-17: Papa John’s Guest Traffic Trends, 2009-2012
Customer segmentation by food lifestyle
6+ visits a month attracts Variety on a Budget
Graph 10-8: Papa John’s Usage Frequency Food Segmentation Analysis
Sales performance
Sales growth trending upward
Unit expansion continues
International growth outpaces domestic growth
Table 10-18: Papa John’s, Selected Metrics, 2009-12
Papa Murphy’s
Company overview
Menu overview
Innovation and activity
Menu innovation
New menu introduction analysis
Mini Murph Make-n-Bake Pizza Kit
Table 10-19: Papa Murphy’s New Offerings: 2011-2012
Table 10-20: Papa Murphy’s New Offerings: 2011
Promotional activity
Tax Day Special
Relay For Life Program
Marketing & brand activity
$35 million ad campaign
Take ‘N Grill Giveaway
Lumberjack Pizza Contest
Technology innovation
Phizzle mobile marketing relationship extended
Redemption rates look promising
Customer segmentation by mobile device interaction
Pragmatic Adopters: engaged users who value brand attributes, not mobile connectivity
Highly engaged Social Connectors and Mobile Professionals differentiate brand
Graph 10-9: Papa Murphy’s Usage Frequency Mobile Segmentation Analysis
The Papa Murphy’s Consumer
General “any” use
Engaged users
Highly engaged users
Table 10-21: Papa Murphy’s Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS
Table 10-22: Papa Murphy’s Guest Traffic Trends, 2008-2012
Customer segmentation by food lifestyle
Graph 10-10: Papa Murphy’s Usage Frequency Food Lifestyle Segmentation Analysis
Sales performance
Franchise Deals
Pizza Hut
Menu overview
Growth strategy
Franchising model continues to gather steam
Innovation and activity
SuperBowl Sunday a Bonanza
Menu innovation
New menu introduction & promotion analysis
P’Zolo takes aim at subs
Subway Takeover promotion drives home message
Pizza crusts and breads making way onto menu
Ultimate Cheese Lover’s Pizza Deal
Ultimate Stuffed Crust Pizza
Cheesy Bites introduction gets a supporting cast of characters
Table 10-23: Pizza Hut New Offerings: Pizza, Sandwiches and Bread
Spreading the wealth with family deals
Big Dinner Box promotion and Red Roof Wednesday
GameStop tie-in
$10 Any Pizza Deal
Table 10-24: Pizza Hut New Offerings: Family Meals & $10 Deals
Promotional activity
Tim Tebow partnered with BOOK IT!
P’Zone Promotion
Pizza Hut Partners with Zynga to Benefit Hunger Relief
Technology innovation
Pizza Hut offers mobile ordering apps
Customer segmentation by mobile device interaction
Drawing from Mobile Generation and Social Connectors
Graph 10-11: [Company] Usage Frequency Mobile Segmentation Analysis
The Pizza Hut Consumer
Key consumer groups
General “any” use: youth, region, and race
Engaged users: youth, region, and race
Highly engaged users: HH income adds a twist
Table 10-25: Pizza Hut Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS
Table 10-26: Pizza Hut Guest Traffic Trends, 2008-2012
Customer segmentation by food lifestyle
Engaged users
Highly engaged users
Graph 10-12: Pizza Hut Usage Frequency Food Segmentation Analysis
Methodology
Consumer survey methodology
Market size and forecast
Appendix
Retail pizza manufacturer and brand sales
Menu item trend analysis
Report table interpretation
Consumer engagement
Pizza restaurants
Frozen pizza
Terms & definitions
Supermarkets
Restaurant categories
Limited-service restaurant definitions
Full-service restaurant definitions
Other definitions
Scope and Methodology
Report Scope
Report resource summary
Report summary
Market Size and Segmentation: Pizza at Foodservice and Retail
Summary analysis
The restaurant side
The retail side
Pizza Use by Channel & Type
Summary analysis
Food Consumption & Migration Trends: Placing Pizza in Context
Summary analysis
Pizza on the Menu: Menu Trend Analysis
Summary analysis
Restaurant Pizza Purchase Decision and Eating Experience
Summary analysis
Delivery v. Pickup, Chain v. Independent & Menu Item Ordering
Summary analysis
Pizza Uptake Motivators
Summary analysis
Retail Pizza Manufacturer, Brand & New Product Analysis
Summary analysis
Nestlé USA
Schwan
General Mills
Pizza Restaurant Brand Analysis
California Pizza Kitchen
Menu buzz
Healthier introductions
Customer traffic and demographic trends
Domino’s
Innovation and activity
Artisan Pizza promises quality; provides upselling ammunition
New menu introduction analysis
Customer segmentation by mobile device interaction
Key consumer groups
2009-2012 Guest traffic frequency analysis
Little Caesars Pizza
New menu introduction analysis
Promotional activity
Technology innovation
Key consumer groups
2008-2012 Guest traffic frequency analysis
Papa John’s
Branding that reflects quality positioning
Strategy paying off
Innovation and activity
New menu introduction analysis
Promotional activity
Technology innovation
Customer segmentation by mobile device interaction
Key consumer groups
Attracting highly engaged women
2008-2012 Guest traffic frequency analysis: positive momentum
Papa Murphy’s
New menu introduction analysis
Mobile marketing strategy
Customer segmentation by mobile device interaction
The Papa Murphy’s Consumer
2008-2012 Guest traffic frequency analysis
Customer segmentation by food lifestyle
Pizza Hut
New menu introduction & promotion analysis
Mobile reach
Key consumer groups
2008-2012 Guest traffic frequency analysis
CHAPTER 2: MARKET SIZE AND FORECAST
Market size and forecast
Forecast summary
Restaurant pizza market size and forecast
Graph 2-1: Restaurant Pizza Market Size & Forecast, 2007-2014
Full-service pizza restaurant sales growth outpaces limited-service segment
Graph 2-2: Full-Service & Limited-Service Restaurant Pizza Market Size & Forecast, 2007-2014
Declining share of restaurant sales
Table 2-1: Pizza Restaurants: Share of Restaurant Sales, by Segment, 2010-2012
Largest pizza chains eke out growth
At smaller competitors’ expense?
Table 2-2: Top 10 Pizza Restaurant Chains, Systemwide Sales: 2009-2011
Retail pizza market size and forecast
Graph 2-3: Retail Pizza Market Size & Forecast, 2007-2014
Frozen pizza sales hitting a wall
Graph 2-4: Retail Pizza Market Size & Forecast, Frozen & Refrigerated Segments, 2007-2014
CPG pizza sales at FDMx trending downward
Table 2-3: CPG Pizza Sales: Frozen Pizza, Refrigerated Pizza & Pizza Products, by Category, 2011-2012
Private label grows sales, takes share
Table 2-4: CPG Pizza Sales, Private Label Share, by Category, 2011-2012
Table 2-5: CPG Pizza Sales, Private Label Share, by Category, 2011-2012
Retail frozen pizza manufacturer share
Nestlé reigns, but share at Nestlé and Schwan dips
Table 2-6: Top 12 Frozen Pizza Manufacturer Sales, 2011-2012
Major brands in decline; growth coming from the bottom
Table 2-7: Top 15 Frozen Pizza Brand Sales, 2011-2012
Retail frozen pizza brands: company share
Retail frozen pizza brands: company share
Table 2-8: Sweet 16 Frozen Pizza Brands: Sales, Sales Share,
Parent Company Sales Share, 2012
On the fast track: frozen pizza brand growth leaders
Table 2-9: Sweet 16 Frozen Pizza Growth Brands & Line Extensions: Sales & Sales Growth, 2012
Growth does not discriminate on price
Room for value and premium growth
Table 2-10: Sweet 16 Frozen Pizza Growth Brands & Line Extensions:
Sales, Sales Growth & Unit Pricing, 2012
CHAPTER 3: PIZZA USE BY CHANNEL & TYPE
Introduction
Universally accepted
Near universal use of pizza restaurants
Pizza usage penetration and population universe
Higher usage penetration among restaurant dine in and delivery than frozen pizza
Table 3-1: Pizza Usage Penetration and Population Universe, by Distribution Channel/Pizza Type
Takeout/delivery option used most frequently
More than half of all pizzas are takeout/delivery or frozen
Table 3-2: Pizza Usage Frequency, Pizzas Eaten and Usage Share, by Distribution Channel/Pizza Type
Gender analysis: women tilt to home-based pizza sources/types
Table 3-3: Pizza Usage & Usage, by Distribution Channel/Pizza Type:
Gender Analysis
Age analysis: Prepared foods relationship to the supermarket basket
Table 3-4: Pizza Usage & Usage, by Distribution Channel/Pizza Type: Age Analysis
HH income
Table 3-5: Pizza Usage & Usage, by Distribution Channel/Pizza Type: HH Income Analysis
Presence of children
Table 3-6: Pizza Usage & Usage, by Distribution Channel/Pizza Type: Presence of Children
Population density
Table 3-7: Pizza Usage & Usage, by Distribution Channel/Pizza Type: Population Density
CHAPTER 4: FOOD CONSUMPTION & MIGRATION TRENDS: PLACING PIZZA IN CONTEXT
Introduction
Trend toward healthier options and away from pizza
Message to pizza purveyors
Graph 4-1: Food Consumption Trends: Eating More, Same & Less
A question of relevance
Restaurant pizza, home cooked meals, leftovers highly relevant
Prepared foods, Hispanic/Latino foods afresh/refrigerated pizza least relevant
Graph 4-2: Food Consumption Trends: Consumer Relevance
Netting it out
Net positive: foods with healthier profiles; net negative: pizza, pizza and pizza
Graph 4-3: Food Consumption Trends: Momentum Analysis
Restaurant pizza: net negative, with exception of youth
Table 4-1: Food Consumption Trends: Eating More Restaurant Pizza: Demographic Assessment
Frozen pizza trend more dire: net negative among all analyzed demographics
Table 4-2: Food Consumption Trends: Eating More Frozen Pizza: Demographic Assessment
Refrigerated pizza: net negative, even among core users
Table 4-3: Food Consumption Trends: Eating More Fresh/Refrigerated Pizza: Demographic Assessment
CHAPTER 5 THE CONSUMER: PIZZA MENU TRENDS & RETAIL NEW PRODUCTS
Overview
Pizza on more than a third of restaurant menus
Table 5-1: Pizza on the Menu: Restaurant Penetration, by Segment, 2012
But a downward trend is afoot
Table 5-2: Pizza on the Menu: Restaurant Penetration, 2008-2012
Pizza crosses cuisines
Table 5-3: Pizza on the Menu: Penetration,
by Restaurant Cuisine Specialty, 2012
Top proteins: high-fat proteins abound, providing opportunity for leaner proteins
Table 5-4: Top Pizza Proteins: Restaurant Penetration by Restaurant Segment, 2012
Vegetables underscore consumer taste variety; untapped potential
Table 5-5: Top Pizza Vegetables & Related Ingredients: Penetration by Restaurant Segment, 2012
Top cheeses: feta, goat, gouda & asiago not just for fine dining
Table 5-6: Top Pizza Cheeses: Restaurant Penetration by Restaurant Segment, 2012
Top sauces: tradition and wholesale borrowing reigns
Table 5-7: Top Pizza Sauces: Restaurant Penetration by Restaurant Segment, 2012
Top varieties
Table 5-8: Top Pizza Varieties: Restaurant Penetration by Restaurant Segment, 2012
Daypart analysis: not just for dinner
Table 5-9: Pizza on the Menu: Restaurant Penetration, by Daypart, 2012
But breakfast pizza experimentation abounds
But not among large chains
Table 5-10: Pizza on the Breakfast Menu: Selected Examples, 2012
Pizza health marketing claims barely dent the menu
Anemic pizza health marketing ties
New frozen pizza product introductions
June 2012: DiGiorno, CPK and Tombstone
May 2012: Kashi Four Cheese Pizza
April 2012: Frozen Naked Pizza & Bold Organics Pizza
April 2012: Udi’s Gluten-Free Frozen Pizza
March 2012: Annie’s Organic-Rising Crust Pizza
New offerings: pizza crust
CHAPTER 6: RESTAURANT PIZZA PURCHASE DECISION AND EATING EXPERIENCE
Introduction
Pizza Ordering Influencers
Pizza attributes are the strongest draw
But it’s not just about pizza
Graph 6-1: Pizza Ordering Influencers: Ranking Scores, 2012
Gender: tilt marketing messages to emphasize value and convenience
Table 6-1: Pizza Ordering Influencers: Ranking Scores, by Gender, 2012
Age analysis: play up the craving
Table 6-2:: Pizza Ordering Influencers: Ranking Scores, By Age, 2012
HH income analysis
Table 6-3: Pizza Ordering Influencers: Ranking Scores, HH Income, 2012
Race/ethnicity analysis
Table 6-4: Pizza Ordering Influencers: Ranking Scores, By Race/Ethnicity, 2012
Restaurant Pizza Eating Rationales
Community and sharing
Coupons usage opens doors for targeted marketing
Continue to target established routines
When schedules overtake us, send pizza to the rescue
Graph 6-2: Restaurant Pizza Eating Rationales, 2012
Age: community and sharing
Table 6-5: Restaurant Pizza Eating Rationales, By Age, 2012
Table 6-6: Restaurant Pizza Eating Rationales, By HH Income, 2012
Kids: where do we start?
Table 6-7: Restaurant Pizza Eating Rationales, By HH Income, 2012
Eating Participants, Over Eating, Promotions & Healthy Option Awareness
Family & kids trump eating alone
Satisfaction? Yes. Over indulgence? Not really.
Couponing a significant force
Healthy options? Where?
Graph 6-3: Consumer Pizza Restaurant Eating Participants, Over Eating, Promotions & Healthy Option Awareness, 2012
Eating participants
Gender: family differential
Table 6-8: Consumer Pizza Restaurant Eating Participants, By Gender, 2012
Age: time with child-raising years
Table 6-9: Consumer Pizza Restaurant Eating Participants, By Age, 2012
HH Income: family a middle-income sweet spot
Table 6-10: Consumer Pizza Restaurant Eating Participants, By HH Income, 2012
Race/ethnicity
Table 6-11: Consumer Pizza Restaurant Eating Participants, By Race/Ethnicity, 2012
Kids
Table 6-12: Consumer Pizza Restaurant Eating Participants, By Presence of Children in HH, 2012
Over eating, promotions & healthy option awareness
Gender
Table 6-13: Consumer Pizza Restaurant Eating: Over Eating, Promotions & Healthy Option Awareness, By Gender, 2012
Age
Table 6-14: Consumer Pizza Restaurant Eating: Over Eating, Promotions & Healthy Option Awareness, By Gender, 2012
HH income
Table 6-15: Consumer Pizza Restaurant Eating: Over Eating, Promotions & Healthy Option Awareness, By HH Income, 2012
CHAPTER 7: DELIVERY V. PICKUP, CHAIN V. INDEPENDENT & MENU ITEM ORDERING
Introduction
2.5 times more people choose delivery than dining in
Table 7-1: Pizza Procurement: Restaurant v. Takeout/Delivery,
Demographic Assessment, 2012
More takeout/delivery users influenced by “ease of pizza” factors
Table 7-2: Consumer Restaurant Pizza Eating Rationales, by Eat-In v. Takeout/Delivery, 2012
Pizza chains dominate
Table 7-3: Pizza Procurement: Major Pizza Chain, Local Independent Pizza Restaurant, Non-Pizza Restaurant, Demographic Assessment, 2012
Eating on site more likely at local independents and on-pizza restaurants
Table 7-4: Pizza Procurement: Major Pizza Chain, Local Independent Pizza Restaurant & Non-Pizza Restaurant, by Eat-In v. Takeout/Delivery, 2012
So, what did you order at the pizza restaurant?
Non-pizza entrées, in aggregate, contribute strongly to order
Salad: the healthy holdout
Drinks, please
Graph 7-1: Food and Drink Ordered During Last Visit to Pizza Restaurant, 2012
Larger orders: younger patrons
Table 7-5: Food and Drink Ordered During Last Visit to Pizza Restaurant, by Age, 2012
HH Income
Table 7-6: Food and Drink Ordered During Last Visit to Pizza Restaurant, by HH Income, 2012
Race/ethnicity
Table 7-7: Food and Drink Ordered During Last Visit to Pizza Restaurant, by Race/Ethnicity, 2012
Menu ordering: Eating at restaurant v. takeout/delivery
Table 7-8: Food and Drink Ordered During Last Visit to Pizza Restaurant, by Eat-In v. Takeout/Delivery, 2012
CHAPTER 8: PIZZA UPTAKE MOTIVATORS
Introduction
Summary analysis
Healthier pizza needed to increase usage
Personal size
On-the-go convenience
An international/ethnic twist
But a hard sell to some
Graph 8-1: Motivators to Eat Pizza More Often, 2012
Gender
Table 8-1: Motivators to Eat Pizza More Often, by Gender, 2012
Age: experiment with youth
Table 8-2: Motivators to Eat Pizza More Often, by Age, 2012
HH Income: health hits higher notes
Table 8-3: Motivators to Eat Pizza More Often, by HH Income, 2012
Race/ethnicity
Table 8-4: Motivators to Eat Pizza More Often, by Race/Ethnicity, 2012
Healthy foods & home cooked meals: trends on the rise
Graph 8-2: Food Consumption Trends: Eating More, Same & Less
Significant effect on pizza uptake motivators
More healthful eating translates to healthy pizza motivation
Less healthy eating translates to personal size and on-the-go pizza motivation
Table 8-5: Food Consumption Trends: Eating More, Same & Less:
Motivators to Eat Pizza More Often
Introduction
Summary analysis
Nestlé USA
CHAPTER 9: RETAIL PIZZA MANUFACTURER, BRAND & NEW PRODUCT ANALYSIS
Schwan
General Mills
Frozen pizza long-term trend: positive; short-term trend: negative
Table 9-1: HH Frozen Pizza Eating & Eating Frequency, 2006-2012
Brand usage trending
DiGiorno strengthens brand leadership
Table 9-2: HH Frozen Pizza Brand Penetration and Engagement, 2006-2012
Nestlé USA, Inc.
Company Overview
Kraft acquisition consolidates pizza supremacy
King of pizza sales
Superpremium taking a bigger hit
DiGiorno remains jewel in the pizza crown
Table 9-3: Nestlé Frozen Pizza Sales, by Brand and Line Extension, 2011-2012
Brand by brand
DiGiorno consumer usage drivers
High-frequency engagement driven by 18-34s, blacks, and <$50K households
Table 9-4: DiGiorno Frozen Pizza: Key Users and High-Frequency Users
New offerings
Recession aids DiGiorno’s fight with pizza chains
Advertising makes targeting of pizza chains crystal clear
Going after sports
Tombstone
Tombstone consumer usage foundation
High-frequency engagement underscores importance of lower incomes & black consumers
Table 9-5: Tombstone Frozen Pizza Use and High-Frequency Use: Key Users
New offerings
Stouffer’s and Stouffer’s Lean Cuisine
California Pizza Kitchen: suffering from neglect or the recession?
Jack’s Pizza virtually unchanged
Usage patterns change significantly according to frequency of use
General engagement driven by 18-34s, households with kids, middle-income bracket & region
High-frequency engagement dispersed across many groups
Table 9-6: Jack’s Frozen Pizza Use and High-Frequency Use: Key Users
The Schwan Food Company
Pizza-centricity
Table 9-7: Schwan Frozen Pizza Sales, by Brand and Line Extension, 2011-2012
Red Baron
Freschetta
Promotions
Tony’s
LiveSmart Schools
Villa Prima
General Mills
Totino’s
On-the-go innovation
Promotional activity
Introduction
California Pizza Kitchen
Company overview
Restaurant snapshot
Menu overview
CHAPTER 10: PIZZA RESTAURANT BRAND ANALYSIS
Marketing & brand activity
Innovation and activity
Menu innovation
Healthier introductions
New dessert Strawberry Shortcake
Natural Chicken and Gluten-Free Crust
Cutting what doesn’t work
Table 10-1: California Pizza Kitchen New Offerings: XXX
Promotional activity
Facebook fans get a “thank you”
Gift cards
Alabama tornado relief
Technology innovation
CPK attracts Mobile Professionals
Graph 10-1: California Pizza Kitchen Usage Frequency Mobile Segmentation Analysis
The California Pizza Kitchen Consumer
Key consumer groups
General “any” use
Engaged users
Table 10-2: California Pizza Kitchen Engagement: Key Users
2008-2012 Guest traffic frequency analysis:
CPK customer attitudes about food
Customer segmentation by food lifestyle
True Foodies
But Variety on a Budget isn’t far behind…
Graph 10-2: California Pizza Kitchen Usage Frequency Food Segmentation Analysis
Domino’s Pizza
Company overview
Menu overview
Growth strategy
Innovation and activity
Menu innovation
Higher quality products timed with well executed promotions
Product reformulation pays huge dividends
Balancing low-price promotions with higher quality introductions
Artisan Pizza promises quality; provides upselling ammunition
Domino’s Smart Slice school lunch program meets USDA school nutrition criteria
New menu introduction analysis
On trend with gluten free
New pizzas, breads and sides making their way onto the menu
Table 10-5: Domino’s New Offerings: Pizza
Sides and apps up the flavor ante
Table 10-6: Domino’s New Offerings: Bread & Sides
Promotional activity
Global Domino’s Day promotion
ShopRunner promotion
Carryout promotion
Cyber Monday
Technology innovation
iPhone app passes $1 million in weekly sales
Domino’s launch Android app
Q2 2012 on track for growth
Customer segmentation by mobile device interaction
A strong connection to highly engaged mobile phone users
Graph 10-3: Domino’s Usage Frequency Mobile Segmentation Analysis
PULSE generating online sales
Call center builds incremental sales
The Domino’s Consumer
Key consumer groups
General “any” use
Engaged users: youth and non-white racial/ethnic groups drive sales
Highly engaged users: HH income becomes much more important
Table 10-7: Domino’s Pizza Engagement: Key Users
2009-2012 GUEST TRAFFIC FREQUENCY ANALYSIS
Table 10-8: Domino’s Guest Traffic Trends, 2009-2012
Domino’s delivers to Hispanics
Table 10-9: Domino’s Location & Hispanic Population Analysis
But . . .
Table 10-10: Domino’s Hispanic Guest Traffic Trends, 2009-2012
Customer segmentation by food lifestyle
Graph 10-4: Domino’s Usage Frequency Food Segmentation Analysis
Sales performance
2012 on solid footing
Table 10-11: Domino’s, Selected Metrics, 2007-11
Little Caesars Pizza
Company overview
Menu overview
Brand strategy
Marketing & brand activity
“Pizza! Pizza!” returns
New menu introduction analysis
New varieties of Caesar Wings
Promotional activity
$5 Hot-N-Ready pizza
Crazy Bread during basketball
Crazy Bread during football
Crazy Bread for Veterans Day
Gift card moves
Card Rewards with Discover card
Technology innovation
iPhone app
But the app has its limitations…
Customer segmentation by mobile device interaction
Graph 10-5: Little Caesar’s Usage Frequency Mobile Segmentation Analysis
The Little Caesar’s Consumer
Key consumer groups
General “any” use
Engaged users:
Highly engaged users:
Table 10-12: Little Caesar’s Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS:
Table 10-13: Little Caesar’s Guest Traffic Trends, 2008-2012
Customer segmentation by food lifestyle
6+ visits a month attracts Variety on a Budget
Graph 10-6: Little Caesar’s Usage Frequency Food Segmentation Analysis
CNN calls Little Caesars a good franchise bet
Merchandise on its website
Papa John’s
Company overview
Restaurant snapshot
Menu overview
Brand strategy
Branding that reflects quality positioning
Strategy paying off
Marketing & brand activity
Loyalty and gift card programs
Innovation and activity
Menu innovation
New menu introduction analysis
Chicken Parmesan Pizza LTO
Buffalo Chicken Pizza LTO
Classic Sausage & Peppers Pizza LTO
Table 10-14: Papa John’s New Offerings: XXX
Pizza combinations flex value positioning
Promotional activity
Advertising matters
“1040” Special for tax day pro-crustinators
Relationship with NFL
NFL and Pepsi
1 Million Pizza NFL Giveaway
Super Bowl XLVI Coin Toss lands on “heads”
Papa John’s offered free pizza if Super Bowl went into overtime
Papa John’s heart-shaped pizza
“Tools for Teacher” 2011 Collection Drive
Celebrates opening 3,000th North American restaurant
Technology innovation
First company to reach $2 billion in online sales
Papa John’s turned to Radware for fast delivery
Android and iPhone app explosion
Online pizza loyalty program
Mixing pizza with politics exposes social media dangers
Customer segmentation by mobile device interaction
Graph 10-7: Papa John’s Usage Frequency Mobile Segmentation Analysis
The Papa John’s Consumer
Key consumer groups
General “any” use
Engaged users: age reversal, racial/ethnic disparity, solidly middle class- and family-driven
Highly engaged users: women?
Table 10-16: Papa John’s Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS: POSITIVE MOMENTUM
Table 10-17: Papa John’s Guest Traffic Trends, 2009-2012
Customer segmentation by food lifestyle
6+ visits a month attracts Variety on a Budget
Graph 10-8: Papa John’s Usage Frequency Food Segmentation Analysis
Sales performance
Sales growth trending upward
Unit expansion continues
International growth outpaces domestic growth
Table 10-18: Papa John’s, Selected Metrics, 2009-12
Papa Murphy’s
Company overview
Menu overview
Innovation and activity
Menu innovation
New menu introduction analysis
Mini Murph Make-n-Bake Pizza Kit
Table 10-19: Papa Murphy’s New Offerings: 2011-2012
Table 10-20: Papa Murphy’s New Offerings: 2011
Promotional activity
Tax Day Special
Relay For Life Program
Marketing & brand activity
$35 million ad campaign
Take ‘N Grill Giveaway
Lumberjack Pizza Contest
Technology innovation
Phizzle mobile marketing relationship extended
Redemption rates look promising
Customer segmentation by mobile device interaction
Pragmatic Adopters: engaged users who value brand attributes, not mobile connectivity
Highly engaged Social Connectors and Mobile Professionals differentiate brand
Graph 10-9: Papa Murphy’s Usage Frequency Mobile Segmentation Analysis
The Papa Murphy’s Consumer
General “any” use
Engaged users
Highly engaged users
Table 10-21: Papa Murphy’s Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS
Table 10-22: Papa Murphy’s Guest Traffic Trends, 2008-2012
Customer segmentation by food lifestyle
Graph 10-10: Papa Murphy’s Usage Frequency Food Lifestyle Segmentation Analysis
Sales performance
Franchise Deals
Pizza Hut
Menu overview
Growth strategy
Franchising model continues to gather steam
Innovation and activity
SuperBowl Sunday a Bonanza
Menu innovation
New menu introduction & promotion analysis
P’Zolo takes aim at subs
Subway Takeover promotion drives home message
Pizza crusts and breads making way onto menu
Ultimate Cheese Lover’s Pizza Deal
Ultimate Stuffed Crust Pizza
Cheesy Bites introduction gets a supporting cast of characters
Table 10-23: Pizza Hut New Offerings: Pizza, Sandwiches and Bread
Spreading the wealth with family deals
Big Dinner Box promotion and Red Roof Wednesday
GameStop tie-in
$10 Any Pizza Deal
Table 10-24: Pizza Hut New Offerings: Family Meals & $10 Deals
Promotional activity
Tim Tebow partnered with BOOK IT!
P’Zone Promotion
Pizza Hut Partners with Zynga to Benefit Hunger Relief
Technology innovation
Pizza Hut offers mobile ordering apps
Customer segmentation by mobile device interaction
Drawing from Mobile Generation and Social Connectors
Graph 10-11: [Company] Usage Frequency Mobile Segmentation Analysis
The Pizza Hut Consumer
Key consumer groups
General “any” use: youth, region, and race
Engaged users: youth, region, and race
Highly engaged users: HH income adds a twist
Table 10-25: Pizza Hut Engagement: Key Users
2008-2012 GUEST TRAFFIC FREQUENCY ANALYSIS
Table 10-26: Pizza Hut Guest Traffic Trends, 2008-2012
Customer segmentation by food lifestyle
Engaged users
Highly engaged users
Graph 10-12: Pizza Hut Usage Frequency Food Segmentation Analysis
Methodology
Consumer survey methodology
Market size and forecast
Appendix
Retail pizza manufacturer and brand sales
Menu item trend analysis
Report table interpretation
Consumer engagement
Pizza restaurants
Frozen pizza
Terms & definitions
Supermarkets
Restaurant categories
Limited-service restaurant definitions
Full-service restaurant definitions
Other definitions
