Wednesday, July 17, 2013

Pizza Chains Threatened by Non-traditional Fresh Food Delivery

Restaurant customer migration has been well documented by Technomic, The NPD Group and Black Box Intelligence showing or predicting nominal or flat growth for the restaurant industry of late. Some sectors could be more vulnerable than others to new non-traditional points of distribution. 

The pizza sectors continued battles within the sector over price and product selection has an intensified competitive threat on the delivery front from the Quick Service Restaurant (QSR) sector.  Pizza once the suburban dinner savior with its delivery option is seemingly under attack from the QSR sector.

Leading the way is Burger King now offering delivery in parts of 72 different cities and suburbs around the country.  Other QSR’s are now considering offering delivery.  We asked David Decker of DemandTracker who are the customer most likely to want delivery from QSR’s and which chains would be most likely to benefit from offering the highly coveted service.

Here is what the new DemandTrack survey asked consumers who are “aware of the twenty largest quick-service restaurant chains what changes the restaurant could make that would cause the person to visit the restaurant more often…. Among the top twenty quick-service chains, Wendy’s has the highest number of people, 14% would use the brand more often if delivery were available. McDonald’s has the second-highest number at 12% and Subway, Church’s Chicken, Popeye’s, and Taco Bell each had 11%.  If any two of the aforementioned chain QSR’s were to begin delivery Foodservice Solutions® team see’s serious consequences for the pizza sector and a minimum loss of 5% of total market share.

Who wants delivery the most? The QSR’s leading demographic and coveted industry demographic consumers who are “18-34” years old according to the DemandTracker survey that who.  “As quick-service restaurant companies consider offering delivery, it’s important to understand to which restaurant consumers that service would most appeal” said David Decker, President of Consumer Edge Insight stated.

Regular readers of this blog have been exposed to many new non-traditional points of fresh food distribution.  None of those points threatens a particular sector like this one does the pizza sector.  Is your company new to the grocerant niche?  Do you want to understand how to succeed within the grocerant niche when under attack?  Well here we are we can help. If you want to grow within this niche here we are.

Invite Foodservice Solutions® to complete a Migration Marketing assessment, grocerant program assessment. For brand, product placement, menu positioning assistance simply call Foodservice Solutions® today.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Johnson, or


  1. Really fast food delivery? Burger King always seems to find a way to go broke. The profit margin in fast food is so slim, how will delivery make money? The burgers are small enough. I am not going to tip a driver 5 bucks on a burger and fries. It is very easy to cook pizza by order, not 20 in advance, like fries and burgers are done. I don't see a burger and fry keeping warm in a 10 minute drive, and if you keep them hot what about my lettuce? If fast food wants to make a real move, they need to get a counter full of self serve kiosks, with ONE person taking orders and assisting. They need mobile apps that allow you to walk in the door -put in your order via phone, walk up and pay via NFC as you pick it up. Money needs to be put into workers cooking, assembling, cleaning, pushing cars through the drive-thru, not standing around waiting to take orders. And please, don't anyone suggest a kiosk in the drive thru- ever been behind someone that can't figure out an ATM?