QSR May 2023

BRAND INNOVATION

A slew of headwinds has category leaders rethinking their playbooks.

A rare bright spot for the restaurant industry during the pandemic, the quick-service pizza category has seen its sales momentum dissipate after several years of COVID-driven tailwinds. Domino’s, Pizza Hut, and Papa Johns reported weaker sales in 2022 amid a challenging delivery environment. Higher-priced delivery orders were among the first things consumers cut last year as they tightened their wallets, according to Domino’s CEO Russell Weiner. “As we saw in the last recession, delivery moves with the economy, especially for customers with lower disposable income, who represent a significant portion of our business,” he told investors during the company’s Q4 and full-year earnings call in February. “We expect the economy to be a headwind for our delivery business in 2023.”

ADOBE STOCK / SYDA PRODUCTIONS

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MAY 2023 | QSR | www.qsrmagazine.com