It’s still early in the year, but the message is quite clear for pizza franchises looking to increase their market share in 2010: advertise.
The big pizza franchises – Domino’s, Pizza Hut and Papa John’s – are reporting surprisingly strong figures of late, against the backdrop of general constriction in the restaurant market. These franchises are all rolling out extensive advertising campaigns. By putting pizza on the public agenda, the bosses at the big pizza franchises feel they have inspired a small renaissance in pizza eating – no small feat considering the popular familiarity with the product.
“This positive momentum has continued thus far in 2010, as sales and traffic have increased significantly since the launch of our new core pizza,” says David Brandon, Domino’s CEO. In reporting on these positive reports from Domino’s and others, the Wall Street-Journal comments that there might not be many savings to be made from investors, though Domino’s shares have gone up 52% this year.
These statistics have inspired a lot of optimism in the industry. Pizza franchises are struggling like everyone else, but the big three are showing that pizza can work as a franchise investment if you are willing to advertise and get your brand image out there.
It’s also interesting to see the way that the success of the pizza franchises has trickled down to help many other industries.
If you’re still curious about pizza franchising, read our pizza franchise report for even more in-depth information.