Pizza Franchise Trends: Majority of Consumers Prefer Restaurants Over Retailers

In a recent analysis of the pizza market, Technomic, a prominent forecasting and metrics tracking service for the food-service industry, revealed that a significant 86% of all consumer spending on pizza occurs at foodservice operators, with only 14% being spent at retailers.

The findings shed light on the evolving landscape of both away-from-home and at-home pizza consumption, as shared in a press release by Technomic.

Wade Hanson, Senior Principal at Technomic, commented on the slight dip in pizza sales across the foodservice industry over the past 18 months. He attributed this decline to factors such as pricing and a mild case of “pizza fatigue.” Hanson explained, “The increased frequency of pizza orders during the pandemic years might have contributed to this fatigue, but it’s essential to note that consumer love for pizza remains strong. Technomic predicts a resurgence in growth rates, anticipated to commence as early as 2024.”

The study also revealed that 86% of foodservice operators who feature pizza on their menus consider it crucial for their business success. Interestingly, the generational breakdown shows a shift in pizza consumption habits. Gen Z and millennials are reported to be consuming more pizza than they did two years ago, while Baby Boomers and Gen Xers are leaning towards consuming less.

As the pizza landscape continues to evolve, the study suggests that the pizza franchise sector, including renowned names like Little Caesars Pizza, could play a pivotal role in reshaping consumer preferences. The findings emphasize the enduring appeal of pizza and indicate that the industry may witness a rebound in growth in the coming years.

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