Pizza takeout concepts drive loyalty with value, location and discounts

Feb. 15, 2013

A new survey of restaurant customers in the U.S. identifies the top loyalty drivers for pizza takeout concepts as good value, convenient locations and low prices.

Having "great-tasting food" ranked as the seventh most important factor.

The survey was conducted by Restaurant DemandTracker, a syndicated consumer research service from Consumer Edge Insight.

Fifty-three percent of respondents cited "good value" as the top driver for patronizing a pizza takeout concept. This was followed by convenient locations (44 percent), low prices (44 percent), good discounts/promotions (42 percent) and fast service (41 percent). Having great-tasting food was cited by 35 percent of consumers.

The survey included five of the largest pizza-takeout restaurant brands in the U.S.: CiCi's Pizza, Domino's Pizza, Little Caesar's Pizza, Papa John's Pizza and Pizza Hut. These brands were also rated on different attributes, with the following results:

  • Strongest perceptions for providing "good value" among past visitors: Little Caesar's (45 percent) and Cici's (43 percent).
  • Top-scoring pizza-takeout brands for "convenient locations:" Pizza Hut (40 percent) and Domino's and Little Caesar's with 34 percent each.
  • Top-scoring brands for "low prices:" Little Caesar's (50 percent) and CiCi's (47 percent).
  • Top-scoring brands for "good discounts/promotions:" Domino's (39 percent) and Little Caesar's (38 percent).
  • Brands most likely to be perceived to offer "fast service:" Little Caesar's (43 percent) and Cici's (38%).
  • Top brands for "great-tasting food:" Papa John's (44 percent), followed by Pizza Hut with 41 percent. This was one of Little Caesar's relative weaknesses, with only 30 percent of past visitors saying it provided "great-tasting food."

"For restaurants in the pizza-takeout segment, the most important factors that drive loyalty to a brand are all related to providing great price/value relationship and fast service from a convenient set of locations," said David Decker, president, Consumer Edge Insight. "Little Caesar's scores among the top-two brands in the segment on each of these attributes, but with other brands close behind. The competitiveness of this segment means that brands need to continue to find other ways to differentiate themselves in ways that enhance perceived value."

Read more about trends and statistics.

Topics: Operations Management , Trends / Statistics

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