Franchise Spotlight: Pizza
This is a sector teeming with franchise opportunities and looks set for a bright future.
Pizza is one of the most popular and desired foods in the restaurant and take away sector. Whether consumers are satisfying cravings, looking for quick and easy comfort food, or creating a shared dining experience, pizza ranks highly as the go-to food for hungry Canadians.
Pizza franchises have had to adapt to changes in the market, not least during the 2020 global health pandemic, where many businesses were forced to close their doors. Pizza is a food that is easy to offer as a takeaway and delivery service which gave many businesses a revenue stream during this challenging time.
With consumer trends showing a movement towards healthier lifestyles and less ‘junk food’ being consumed, franchisees would benefit from analysing the market carefully and looking for pizza chains that offer healthy pizza alternatives using fresh and organic products. This will enable them to stay in line with changes in consumer attitudes. Despite some consumers wanting healthier pizza options, there is certainly still a market for more traditional pizza, with over 50% of Canadas giving the main reason for eating out being ‘a treat’ or a celebration in 2019, according to Statistics Canada.
Boston Pizza is a chain that offers consumers casual dining in a family-friendly environment. Freshslice Pizza has capitalized on healthier options with multigrain crust pizzas and low-calorie sauces. Pizza Nova has a family feel to its marketing, offering consumers fresh ingredients and high-quality products.
Pizza Industry Analysis
The pizza industry is a highly competitive and fast-changing market which encourages pizza chains to think carefully about how they diversify and entice new consumers. This might be through meal deal promotions, loyalty programmes, create your own pizza options, 2-4-1 menu promotions, or focusing on providing gourmet dining experiences. Franchisees will need to consider the options available and ensure they have a clear idea of strategy and options for diversification in the future.
In such a competitive market, franchisees will benefit from the ongoing support and guidance, as well as initial training, which an umbrella company can provide. Franchisees also become part of an established brand which brings with it reputation and consumer loyalty from day one. Most franchisors do not require franchisees to have experience in the industry, although it is certainly helpful. Instead, franchisees need to display entrepreneurial spirit, business acumen, management and sales skills plus a drive to deliver excellent customer satisfaction.