Pizza Time Case Study

 

CIMA MARCH 2016 – MANAGEMENT CASE STUDY

Published by: Kaplan Publishing UK Unit 2 The Business Centre, Molly Millars Lane, Wokingham, Berkshire RG41 2QZ Copyright © 2015 Kaplan Financial Limited. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means electronic, mechanical, photocopying, recording or otherwise without the prior written permission of the publisher.

Notice

The text in this material and any others made available by any Kaplan Group company does not amount to advice on a particular matter and should not be taken as such. No reliance should be placed on the content as the basis for any investment or other decision or in connection with any advice given to third parties. Please consult your appropriate professional adviser as necessary. Kaplan Publishing Limited and all other Kaplan group companies expressly disclaim all liability to any person in respect of any losses or other claims, whether direct, indirect, incidental, consequential or otherwise arising in relation to the use of such materials.

Selling like HOT PIES in an incredibly competitive pizza market.

Company:Papa John's
Product:Restaurant
Format:Billboard mix

“Most customer calls start with ‘Do you still have the $10 pizza?” Ravi Ramakrishnan Owner, Papa John’s Pizza - Naperville, Illinois

The Challenge

Papa John’s had never used out-of-home advertising in the Chicagoland area. As a result, they had the point of view that it would be a risk to invest in this advertising medium. However, the pizza business thrives on constant reminders to the customers. If placed in the right location, the 24/7 nature of billboards could be a very effective method in providing that constant reminder.

The Solution

Papa John’s worked with Clear Channel Outdoor to determine the best location(s) and the right message/design. The client decided upon an offer that could last a long period of time without hurting the bottom line. They advertised “All Large Pizzas for $10”. The food cost is typically high for this type of offer, and Papa John’s hoped for the sales volume to make up for this. They also hoped to increase their online sales that remained at 28% for a long period of time by highlighting “PapaJohns.com” in the ad message.

The Results

Papa John’s diligently tracked their weekly sales and online sales during the campaign period. Their online sales had increased from 28% to 35%, and they were consistently averaging over a $1000 in online sales every week. In addition, the client’s coupon redemption report showed that the most used coupon was the $10 coupon created to track sales generated by the billboard campaign.

Get Connected

©1998-2017. Clear Channel Outdoor, Inc. All rights reserved. | Terms of Use | Privacy Statement

0 comments

Leave a Reply

Your email address will not be published. Required fields are marked *