Pizza segment makes up 9.5% of foodservice market

March 9, 2012
Pizza segment makes up 9.5% of foodservice market

The away-from-home pizza segment represents $46 billion in retail sales per year across the United States, making up 9.5 percent of the U.S. commercial foodservice market, according to data from research firm CHD Expert.

CHD Expert predicts the staggering pizza trend to continue in the next few years.

Americans not only love their pizza, but they want it right away. Limited-service restaurants account for 83 percent of the entire segment (in number of operators), while full-service restaurants make up 17 percent.

Limited-service restaurants bring in approximately 72 percent of the consumer dollars spent in the pizza category, totaling $33 billion in retail sales. For manufacturers and distributors, limited-service restaurants spent $11 billion on food, beverages and disposables purchases compared to $3.5 billion spent by the full-service restaurants.

The data also indicate that Americans either prefer unique independents or the big chains. From the crust to the toppings and sauces, independents make up a 56 percent share. The large chains, with their ability to offer multiple styles, multiple price points and delivery, equate to 30.5 percent of the market share.

Combine the two sub-segments and the independents and the large chains comprise 86.4 percent of the market.

According to Cathy Kearns, general manager at CHD Expert, "This uneven distribution makes cornering the market for a particular ingredient a difficult task, as a manufacturer must appeal to all the operators from the smallest and most fickle, to the biggest and most demanding."

Read more about trends and statistics.

Topics: Independent Operation, Operations Management, Trends / Statistics

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