How to Save Your Independent Pizzeria From Failure [Infographic]

By: Chris Campbell

2 Minute Read

Nov 17, 2017

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Pizza Infographic 892475 Edited

Independent pizzerias are competing against brand giants to attract pizza lovers. According to restaurant consultant Aaron Allen, technology is killing off independent pizzerias in the United States at the rate of roughly 2,549 locations per year (in 2015 alone).

There's a stark difference between brand pizzerias and independent pizzerias. Even though 93% of Americans eat at least one pizza per month, 7,800 independent pizzerias have closed in the last decade, unable to compete with Domino's, Pizza Hut, and other enterprise pizzeria companies.

Many restaurants fail. But yours can succeed with the right strategy. Check out these pizzeria survival tips below.


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3 Reasons Why Pizzerias Fail (And How Yours Can Succeed)

1. Brand giants like Domino’s dominate the market.

  • Chain pizza shops only account for 48% of all pizza restaurants, but they’re pulling in 61% of the revenue
  • The 3 largest pizza chains process nearly 15% of all pizza industry revenue via their digital platforms
  • For example, Domino’s price per share has grown 3,000% since 2008 with their smart delivery app and branding campaigns.
    • Price per share $3.86 in 2008 to $132 in March 2016
    • Market capitalization $300 million in 2008 to $7.42 billion in 2016

Pizzeria Survival Tip: Invest in restaurant software that makes the guest experience -- from ordering, to payments, to delivery -- more convenient, without breaking your bank.

2. Online ordering vendors take a commission of your revenue.

  • In 2010, roughly 1.39 billion delivery orders were made via phone. In 2015, only 1.02 billion guests called in an order, a 27% decrease.
  • Online orders grew from 403 million to 904 million, a 124% increase, with 47% of Americans ordering food online.
  • However, Foodler, GrubHub, and Seamless take a 13.5% commission on the average delivery order

Pizzeria Survival Tip: Offer online ordering system for your restaurant, avoid commission fees and allow transparency on every online order.

3 .Restaurant marketing is not a priority

  • 51% of all mobile searches on Google are for restaurants, yet as few as 5% of restaurants have mobile-compliant websites.
  • Millennials made more than 14 billion visits to foodservice establishments and spent $95 billion on restaurant meals and snacks in 2014

Pizzeria Survival Tip: Create a mobile-friendly website and be active on Facebook, Twitter, and Instagram. It’s necessary, not just to compete with other pizzerias, but to stay in business.


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