Whats the profit margin on chain pizza stores?

[JEDI]

Papa Johns offers 50% off a specialty pizza when a major city's home sports team wins.
ie: when the wizards/nationals/capitols/redskins win for people in the DC/va/md area.

Normally $17 for a large:
'all the meats' = 5 meats
'The works' = 3 meats and 3 veggies

the catch is that you must order via internet only. calling up and placing the order at the store wont give u the discount.

still, for a city like DC where there are times when 3 sports teams can play at the same nite, those franchizees are giving 1/2 off if just 1 of those teams win.
and for nyc, god knows how many sports teams can play on the same nite.

Do these franchisees even break even at $8.50 for a large speciality pie?

 

[OutHouse]

ive wondered about that too. Im not sure how much of dicks papa johns corporate is to its franchise owners but i do know that quiznos corporate charges premiums for for the ingredient and supply's the franchise owners have to buy from them. its why Quiznos subs are on a bit pricier than most sub chains.

 

[bigi]

I am sure it works like with any ohter 'discount'.

They just discount one insignificant in large scale item which draws many more customers in.

People like it and flock to get stuff. Overall number of orders grows and many of those order/buy more stuff anyway.

Profit, profit and more profit.

 

[Mixolydian]

Zero.

 

[MongGrel]

Hadn't even heard of that one, bit interesting as they are in the area.

For 9 bucks though even I'd rather make a home made myself personally and load it up.

 

[MagnusTheBrewer]

Yes, they do break even. By forcing you to use internet ordering they do several things. It decreases phone pressure on individual stores on what would be busy nights anyways. The website allows for easy bundling of menu options for upselling. It aids in branding. Papa Johns like many franchises use use regional commissary suppliers which allow them to lock in lower prices on supplies. Finally, the internet allows easy databasing which allows them to tune their operations more effectively.

 

[zebrax2]

They probably are still earning a ton.

Pizzas are pretty cheap to make dough, cheese, a little sauce, vegetables, and a little meat. It is also really easy to prepare

 

[MongGrel]

And even better if you have a sister-in-law that makes home made sauce from scratch and usually have some stored away

 

[Red Squirrel]

Is it for just one pizza? Ex: if you order 2 is only 1 half off? They possibly bank on the fact that there are enough groups watching said sport on TV and they probably order a bunch of pizzas, wings, etc, and are willing to take a loss for the few single pizza orders that come in after the game. Often sports games are in the evening/night too, so they only need to offer the discount for a short period of time for that day. Have to wait till the game is over too, chances are people will order to eat during the game and have to pay full price.

 

[JulesMaximus]

Papa John's is to pizza what dog shit is to filet mignon.

 

[MongGrel]

 

[trmiv]

Anyone in this thread know anything about homemade pizza? Just wondering.

 

[MongGrel]

Anyone in this thread know anything about homemade pizza? Just wondering.

nope.

 

[Sonikku]

Taking 50% off the price of a pie is easy. Charging two quarters more per pizza pie to get employees healthcare is not.

 

[mnewsham]

Is it for just one pizza?

I live in the DC/VA/MD area like described in the OP. Around here it is 50% off the entire menu not just one pizza. Whenever this deal happens I usually use it as an excuse to get a medium pizza and two 20oz drinks for like $13 with tip.

 

[Schfifty Five]

Is it for just one pizza? Ex: if you order 2 is only 1 half off? They possibly bank on the fact that there are enough groups watching said sport on TV and they probably order a bunch of pizzas, wings, etc, and are willing to take a loss for the few single pizza orders that come in after the game. Often sports games are in the evening/night too, so they only need to offer the discount for a short period of time for that day. Have to wait till the game is over too, chances are people will order to eat during the game and have to pay full price.

It's 50% off your entire order of regular priced pizza with PJ's sports promo I believe.

Additional items like drinks/breadsticks might be full price, cant' remember though.

 

[mnewsham]

Anyone in this thread know anything about homemade pizza? Just wondering.

I've done the entire process several times (including making the dough and sauce from scratch). It's great when you take the time and effort to do the whole deal. But sometimes convenience and spur of the moment pizza is what I need.

 

[mnewsham]

Additional items like drinks/breadsticks might be full price, cant' remember though.

nope whole menu.

 

[Mai72]

I live in NJ. There are a ton pizza parlors in my area, and more open in the summer. Sadly, most fail. The competition is fierce. I'm about 5 blocks from the North Wildwood boardwalk. The people who have been doing it for a while and are successful probably make $500k easy.

Manco Manco in Ocean City, NJ were charged with $1M in tax evasion charges between 2007-2011. That's an insane amount of money.

http://philadelphia.cbslocal.com/20...zeria-owners-arrested-on-tax-evasion-charges/

 

[MongGrel]

I've done the entire process several times (including making the dough and sauce from scratch). It's great when you take the time and effort to do the whole deal. But sometimes convenience and spur of the moment pizza is what I need.

Publix makes very good pizza dough from scratch in the Deli daily, saves a bit o time.

 

[mnewsham]

Publix makes very good pizza dough from scratch in the Deli daily, saves a bit o time.

Publix is flordia area right?

They don't really exist anywhere else. Good to know there are SOME decent premade doughs though.

 

[MongGrel]

Yeah I think spread out in the south more or less.

I'm sure a many Delis do it elsewhere.

Could be wrong, but yeah I love Publix for many reasons, one of them being they treat their workers well, so I support em locally just buying there as it's convenient and usually way above average.

The store is Employee owned and does good things.

http://www.publix.com/

:thumbsup::thumbsup:

 

[MongGrel]

http://en.wikipedia.org/wiki/Publix

 

[JEDIYoda]

Yes, they do break even. By forcing you to use internet ordering they do several things. It decreases phone pressure on individual stores on what would be busy nights anyways. The website allows for easy bundling of menu options for upselling. It aids in branding. Papa Johns like many franchises use use regional commissary suppliers which allow them to lock in lower prices on supplies. Finally, the internet allows easy databasing which allows them to tune their operations more effectively.

another thread where you have no clue.......
Even if what you say were to be true , the percentage of internet sales doesn`t even come close to if lucky 5% of daily sales.......internet ordering is a fad that quite frankly is not catching on!! You cannot fine tune your operation based on 5% or for that matter 10% of total sales....sorry Charlie...

 

[MagnusTheBrewer]

another thread where you have no clue.......
Even if what you say were to be true , the percentage of internet sales doesn`t even come close to if lucky 5% of daily sales.......internet ordering is a fad that quite frankly is not catching on!! You cannot fine tune your operation based on 5% or for that matter 10% of total sales....sorry Charlie...

It's not standalone you idiot. It works in conjunction with pos. You're seriously trying to argue with me about food operations?