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The margins on pizza are crazy. You're probably looking at a dollar or less in materials cost for a cheese pizza.

by larrik 8y ago

adventured 8y ago
Jimmy John's makes delivery work (entirely without pizza) as one prominent example, with 2,800 locations. It has been one of the keys to their success.
- WrtCdEvrydy 8y ago
  Yes, but they limit their delivery zone to make it happen. I wonder if this will be the future of food, more and more smaller franchises that just do delivery for the larger restaurants.
  - ReptileMan 8y ago
    Isn't limiting zone delivery standard - where I live every chain has a zone - usually 10-15 mins away fron the place. And there aee whole parts of the city they don't deliver.
    - WrtCdEvrydy 8y ago
      Yes, but Jimmy Johns takes it to the extreme. If they can't deliver to you in 5 minutes, you're SOL.
ghaff 8y ago
I was going to disagree but apparently that's about right. (Not the same as margins of the overall business but materials are fairly cheap.) Pizza probably has the benefit of being a food that's not all that easy to prepare at home both because of dough and oven. There are alternative options like the flatbread crusts you can buy but, for the most part, it's a meal that people tend to gravitate to ordering.
- jandrese 8y ago
  I remember one Pizza place putting up a sign several years back that they had to raise the price of their Pizzas by $2 because wheat had gotten expensive. They even posted the article from the newspaper next to it talking about the spike in wheat prices. The last line of the article stated that the jump in price for wheat was expected to add around 4 cents to the cost of a large Pizza.
- 2muchcoffeeman 8y ago
  It takes 15min to prep the dough. Depending on your climate leave it in the fridge or a cool oven to prove. There is a lot of leeway if you’re only after a tasty pizza. So you can prep dough the night before. Finishing off and cooking is another 15min and you could do multiple pizzas so this scales well. I make them all the time because I can split the work into 2 short sessions. And if you like simple pizzas, they are super cheap to make and easy to portion control.
  - ghaff 8y ago
    I could probably get better at it if I did it more often but I've pretty much moved to baking store-bought flatbread in a 500 degree oven which works fine for those times I actually want to make a pizza at home (which isn't all that often).

The margins on pizza are crazy. You're probably looking at a dollar or less in materials cost for a cheese pizza.

by larrik 8y ago

The margins on pizza are crazy. You're probably looking at a dollar or less in materials cost for a cheese pizza.

Jimmy John's makes delivery work (entirely without pizza) as one prominent example, with 2,800 locations. It has been one of the keys to their success.

WrtCdEvrydy 8y ago
Yes, but they limit their delivery zone to make it happen. I wonder if this will be the future of food, more and more smaller franchises that just do delivery for the larger restaurants.
- ReptileMan 8y ago
  Isn't limiting zone delivery standard - where I live every chain has a zone - usually 10-15 mins away fron the place. And there aee whole parts of the city they don't deliver.
  - WrtCdEvrydy 8y ago
    Yes, but Jimmy Johns takes it to the extreme. If they can't deliver to you in 5 minutes, you're SOL.

ghaff 8y ago

I was going to disagree but apparently that's about right. (Not the same as margins of the overall business but materials are fairly cheap.) Pizza probably has the benefit of being a food that's not all that easy to prepare at home both because of dough and oven. There are alternative options like the flatbread crusts you can buy but, for the most part, it's a meal that people tend to gravitate to ordering.

jandrese 8y ago
I remember one Pizza place putting up a sign several years back that they had to raise the price of their Pizzas by $2 because wheat had gotten expensive. They even posted the article from the newspaper next to it talking about the spike in wheat prices. The last line of the article stated that the jump in price for wheat was expected to add around 4 cents to the cost of a large Pizza.
2muchcoffeeman 8y ago
It takes 15min to prep the dough. Depending on your climate leave it in the fridge or a cool oven to prove. There is a lot of leeway if you’re only after a tasty pizza. So you can prep dough the night before. Finishing off and cooking is another 15min and you could do multiple pizzas so this scales well. I make them all the time because I can split the work into 2 short sessions. And if you like simple pizzas, they are super cheap to make and easy to portion control.
- ghaff 8y ago
  I could probably get better at it if I did it more often but I've pretty much moved to baking store-bought flatbread in a 500 degree oven which works fine for those times I actually want to make a pizza at home (which isn't all that often).