The pizza business, when operated by qualified and competent franchisees, are generally profitable as it is a fast-food product that is widely accepted globally. Pizza consumption is high in many parts of the world since it can be made with different kinds of proteins that are popular with local consumers, and the pizzas can be topped with beef, chicken, lamb, seafood, or any other protein that is a local favorite.
Pizzas can also cater to those that are vegetarians and vegans, and these types of pizzas are widely popular in Buddhist and Confucius cultures. Pizzas are also a shareable food which is popular in many Asian cultures. And lastly, pizzas are an affordable meal and is a perfect dine-in, delivery, and take-away food and beverage business. Everyone loves pizzas and they eat it quite often!
While COVID-19’s impact on the restaurant industry has mostly been negative, this was not often the case with the fast food industry and especially for pizza chains. Thanks to a business model that is already focused on delivery and take-away, many pizza franchises like Domino’s and Little Caesars Pizza continued to do relatively well due to their smaller store formats and value propositions to their consumers.
Many pizza franchises are poised to continue their strong returns in 2021 and the best franchises will likely exceed pre-pandemic sales and growth rates by 2022. A lot of this growth will be driven by the rapid growth in food delivery, and according to The Business Research Company, this sector is projected to grow at a compound annual growth rate (CAGR) of 4.96 percent from an estimated $96 billion in 2020. Online consumer purchasing behavior has not only been changed by COVID-19 but will continue to grow well after the pandemic is over.
Here are some of the best pizza franchises to invest in today:
Author: Sean T. Ngo is the CEO and Co-Founder of one of Asia’s leading franchise consultancy, VF Franchise Consulting. He is Vietnamese American and has been living in Vietnam for over 16 years. You can reach him at [email protected] or [email protected]