Papa Johns hopes this nostalgia-inducing pizza brings people back
Papa Johns' new Pan Pizza is released on February 3.
By Jordan Valinsky, CNN
New York (CNN) — Unless your name is Domino’s, it’s tough to be a pizza chain right now.
Just ask their two main competitors: Pizza Hut and Papa Johns. The former has posted eight consecutive quarters of sales declines and might be on the block. The latter is in the midst of an extensive turnaround effort to lure customers back after a dismal two years.
Part of that effort for Papa Johns is bringing back the Pan Pizza, a menu item it hasn’t offered in a decade.
“The pandemic burned people out on so much pizza to a degree,” said Robert Byrne, senior director of consumer research for Technomic. In its place, customers, especially younger eaters, are turning to “interesting” cuisines, like fried chicken or specialty drinks.
Pizza is also no longer the go-to when it comes to delivery. The rise in recent years of third-party delivery apps, like DoorDash or Uber Eats, has allowed customers to browse and select different cuisines, he added.
That’s all caused trouble for the major pizza chains. Sales are expected to be flat this year, remaining at $31 billion for 2025, according to Technomic.
For consumers, price supersedes quality — even if Papa Johns claims it has a better product or Pizza Hut appears to offer more toppings, he added. Also, the chains have hiked prices over the past few years because of rising costs.
“It’s still pizza,” Byrne told CNN. “The lower price here is what’s appealing.”
Domino’s has figured that out: Its $9.99 “Best Deal Ever” promotion last summer was successful, helping the chain’s sales soar 5.4% in its most recent quarter.
Papa Johns struggles go beyond pricing, Byrne said, tracing back to a lack of menu innovation. The chain’s CEO, former Wendy’s executive Todd Penegor, was hired in 2024 to help fix its offerings and hopefully engineer a turnaround.
Penegor first simplified the menu by reducing the number of non-core items and then recalibrated the restaurants’ ovens to ensure better cooking.
His next big task is innovation, starting with Wednesday’s announcement of the Pan Pizza. The chain hopes the nostalgia-inducing item brings in customers who said that competitor’s versions aren’t satisfying.
“They remember what pan pizza used to be, which doesn’t match what the category is today,” Shivram Vaideeswaran, Papa Johns’ vice president of marketing, told CNN. “We didn’t want to just be the best kind of pizza, but we really wanted to be the best pan pizza, period.”
The 12-inch pizza, which is topped with six cheeses that stretches to the edge and can hold up to seven toppings, goes on sale February 3 for $11.99.
Sales at Papa Johns in the most recent quarter declined 3%. The chain hopes the Pan Pizza not only attracts new customers but also gives its current clientele another reason to choose them over its competitors, Vaideeswaran said.
Byrne said that a new pizza has “potential” to improve sales and ideally visits, which has slipped nearly 6% year-over-year.
However, he said Papa Johns has a lot of work to do with its side dishes and appetizers. The chain’s offerings aren’t purchased as frequently as its competitors.
“A new pizza has a price premium that’s going to be placed on it and so there’s a little more of a risk involved from a consumers’ perspective,” he said. Cheaper appetizers and sides, in comparison, are a “low-risk venture” in bringing people back.
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