Introducing the Gamers
Doug Ferriman, proprietor, Loopy Dough’s Pizza, Boston
Kevin Suto, CEO and President, Zachary’s Chicago Pizza, Oakland
Dan Collier, franchisee, Rusty’s Pizza Parlors, Ventura, California
Peg Tomasso, proprietor, Tomasso’s Pizza & Subs, Boca Raton, Florida
Joe Crowley, proprietor, Pisa Pizza, Malden, Massachusetts
Chef Jeff Freehof, proprietor, Garlic Clove Italian Eatery, Evans, Georgia
Scott Anthony, franchisee, Fox’s Pizza Den, Punxsutawney, Pennsylvania
Do you’re feeling like, based mostly in your gross sales, the recession is nearing its finish?
Ferriman: Sure, I do assume the recession is slowly enhancing. We now have seen combined gross sales at our shops. Whereas one retailer is up 5 %, one other is fl at or down two %. However, all in all, I do consider client confidence is coming again.
Suto: I’ve not seen any indication that the economic system goes to get well any time quickly. It’s robust on the market for a lot of companies and people. I base this sense not essentially on our gross sales, however on what I see and listen to from people in our group and across the nation.
Collier: No, I don’t consider the recession is nearing the tip. Not even shut. Sure, my gross sales are up over final yr. Nevertheless, that’s as a result of we adjusted our advertising, did extra occasions and added new advertising for catering. All this effort has led to a 5 % improve solely. Previously two months, two extra pizza locations and a number of eating places in our market have gone out of enterprise. I get a name nearly weekly from some restaurant proprietor asking if I’d like their restaurant for pennies on the greenback.
Tomasso: No, as a result of we now have discovered that our clients are nonetheless cautious with their cash. Our gross sales have been rising. Pizza is wholesome and inexpensive for a household. Individuals nonetheless need to eat out, or order in, and pizza matches the invoice.
Crowley: No. Gross sales have been nice due to our advertising and reinvestment, however our clients are nonetheless going through layoffs and monetary issues.
Freehof: I’m seeing slight will increase over final yr, however not over two years in the past. It’s a great signal, however I wouldn’t come near calling it ‘close to its finish.’
Anthony: Sure, however customers have misplaced quite a lot of confidence within the system and are nonetheless spending conservatively.
What steps have you ever taken to battle the recession? What have the outcomes been?
Ferriman: We now have stepped up our junk mail marketing campaign, particularly focusing on company catering in addition to residential supply. The outcomes have been robust as a consequence of pizza’s capacity to stretch the catering greenback higher than different meals classes.
Suto: We now have been very cautious to watch our prices and to remove waste. Most significantly, we work very arduous to be one of the best we could be each day. We’re happy with the outcomes to this point and may thank our loyal clients and dedicated employee-owners for our longevity and success.
Collier: Our coupon affords have been for 10 to fifteen % off. We elevated that to twenty %, on common. We now aggressively market catering, and we doubled the variety of off-site occasions (festivals, colleges, sporting tournaments, and so on.). We eradicated all ‘mass’ advertising. Excepting door hanging, all print advertising is to our personal database. We additionally lower labor two %, renegotiated all rents with landlords and renegotiated all financial institution notes with banks.
Tomasso: We merely proceed to do enterprise as all the time, offering scrumptious pizza utilizing high quality substances. Our clients have come to depend on our dedication to excellence and have rewarded us with a steady enterprise.
Crowley: Steps taken to battle the recession embrace a significant transform and an aggressive advertising marketing campaign. We reinvested over $100,000 on a transform, utilizing many distributors that I met at Worldwide Pizza Expo. Our advertising marketing campaign targeted on large fundraising applications, junk mail, Fb and theme nights. Outcomes have been a ten % improve in gross sales and nice crew morale.
Freehof: We’ve marketed in new and revolutionary methods. We’ve related with new clients and targeted on catering any occasion attainable, and it has helped preserve our heads above water.
Anthony: We now have targeted on prime prices and group advertising. As for prime price, regardless that my gross sales have been down three % in 2009 versus 2008, my income nonetheless stayed up. I used to be in a position to meet the calls for of my clients and don’t have any worth will increase. Group advertising: On this economic system, this was a significant step in incomes buyer loyalty. Particularly when opponents are waging worth wars, I can nonetheless compete on high quality.
As a enterprise proprietor, what’s your main concern heading into 2011?
Ferriman: My main concern heading into 2011 is commodity costs, particularly cheese and wheat. One ounce of cheese is 16 cents, so you actually should deal with portion management and watch it like a hawk.
Suto: The economic system is No. 1. Excessive and sudden price escalation is all the time a significant concern as nicely. Well being care is uncontrolled, and everyone knows what occurred with cheese, fl our and different commodities not so way back.
Collier: I consider that the recession is not going to finish till unemployment comes down beneath 9 %. We profit from an worker standpoint since nobody leaves as a result of there aren’t any jobs obtainable. However our clients have much less cash as a consequence of layoffs, diminished advantages and diminished hours. The second concern is cash to borrow. Tighter financial institution restrictions imply no cash obtainable to borrow to develop.
Tomasso: Politics are killing this nation. Republicans and Democrats have to cease this fixed ‘going for the throat’ over each situation and work collectively to seek out options to our issues. We fear about how healthcare initiatives and taxes are going to have an effect on us.
Crowley: My main headache heading into 2011 is coping with political points: Medical health insurance, elevated meals tax, immigration reform, native and state will increase in taxes and costs, and adjustments in native and state fi ling procedures.
Freehof: Discovering new methods to develop my enterprise. Fascinated about house meal substitute.
Anthony: Whereas I anticipate my gross sales quantity to go up, I don’t need to overlook all I discovered from the recession. By no means take a great economic system with no consideration. What’s the one essential factor you recognize now that you simply want you knew while you first opened your enterprise?
Ferriman: The one factor I want I knew after I opened can be the right way to successfully market my model. As many small companies do, we tried all the things, however by no means targeted on one or two confirmed advertising automobiles utilizing one message. Now, we deal with two to 3 advertising automobiles and simply hammer away at them. We goal school college students by means of a collegiate promotion e book that’s distributed all through the town. We always mail menus in a radius round a location, and we additionally ship junk mail items to firms.
Suto: Our enterprise is continually evolving, and but we’re firmly rooted within the imaginative and prescient set forth by our founders, Zach Zachowski and Barbara Gabel, in 1983. There isn’t actually one large factor that stands out as essential data we have been missing to start with. We’re always introduced with alternatives to study as people and evolve as an organization.
Collier: As I opened extra places, I believed I may proceed to put on all the identical ‘hats’. Consequently, some essential components of operations didn’t get sufficient consideration. If I had it to do over again, I might have promoted an space supervisor after I opened the third location.
Tomasso: Don’t skimp on the standard or parts of your product. Individuals pays for good meals. Don’t be afraid to cost for it.
Crowley: I want I knew again in 1993 that I wanted to surrender duty and belief my key staff. It took a few years for me to cease being a employee and begin being an proprietor.
Freehof: That in a recession, all people is in search of a deal or low cost.
Anthony: Making a great pizza is barely a fraction of what it takes to have a great pizza enterprise.
What’s your greatest enterprise headache, operationally talking?
Ferriman: My greatest headache can be operating a supply enterprise in Boston. It’s a problem coping with visitors and highrise buildings. Certainly one of our shops in Boston is situated close to Fenway Park. Each time there’s a sport, it’s gridlock across the retailer, which makes it troublesome to take care of good supply instances. One other problem in a metropolis is delivering to the high-rise buildings. When a driver has to go to the twentieth ground of a constructing, she or he may get slowed down, including an additional quarter-hour to a supply.
Suto: The unpredictability of the human situation is to me essentially the most diffi cult factor to take care of. We rely on quite a lot of nice individuals to do what we do, and we’re very fortunate that our staff are so devoted and dependable. With a employees as giant as ours and offering for as many shoppers as we do, there may be all the time one thing that’s going to occur with an worker or buyer that’s out of our management that may create hardship for our enterprise. We take care of these points as they come up. We do no matter we will to assist these individuals by means of their difficulties. It may be difficult, but additionally rewarding on the identical time.
Collier: The fixed effort to make sure we produce one of the best pizza available in the market. Since we cost extra, the pizza should be value it.
Tomasso: Always reinforcing correct procedures with our employees.
Freehof: In instances like these, extra individuals use bank cards, which adjustments money fl ow and will increase prices!
Anthony: Workers’ sense of entitlement and lack of initiative/ motivation. While you discover a star worker, do what it takes to maintain them.
What has been your best type of advertising?
Ferriman: One of the best type of advertising we now have used is junk mail. We’re always sending mail items out to firms and residents. It’s the tried and true type of pizza advertising and all the time gives one of the best outcomes.
Suto: Phrase of mouth, by far. Prospects sharing their optimistic expertise at Zachary’s with others has been our best type of advertising from the start.
Collier: New clients: Door-hanging. Present supply clients: Unsolicited mail. Present dinein clients: 15 % off enterprise card for subsequent time. Additionally, on-line ordering now represents 7 % of our gross sales.
Tomasso: Group involvement. Sponsoring youth groups, offering present certificates, particular pricing for youth teams and operating particular occasions all year long. For instance, we started Pizzas for Pencils 15 years in the past, the place we collect new college provides to present to needy kids. This yr we’re inviting clients in to make their very own pizza — and in trade we’re asking for $10 value of latest college provides. Individuals have enjoyable and save a couple of dollars on the price of a pizza. We assist a worthy trigger — and other people speak about it.
Collier: We use it, however it’s not efficient at this level. Fb is designed for private relationships, not a lot for pizza enterprise. All of the inventive cellphone apps and texting promoting are ineffective. They’ve grow to be the brand new gross sales individuals to interchange the outdated print promoting gross sales individuals who solely serve to distract you from ops. YouTube might be the best of the bunch.
Tomasso: Sure, we do use social media. We launched a Fb fan web page and linked it to our Twitter account, permitting customers from each networks to see our updates. We uploaded pictures of the pizzeria and employees, and let our followers know of specials and occasions with every day updates. Often, we provide freebies to clients who point out they’re a Fb fan.
Crowley: We’re utilizing Fb, and it has been unbelievable. We now have over 3,400 followers, and that quantity is rising each day. We use it to ‘promote’ slightly than ‘promote’. We run contests and giveaways and have enjoyable with it.
Freehof: We now have a Fb fanpage. It continues to develop, and now clients are beginning to put up their favourite issues about our restaurant, which we clearly love!
Anthony: Whereas I’m not satisfied that these types of media are right here to remain (as they are going to go the best way of MySpace), we’re giving it a strive. We use Fb. It’s a good, cheap solution to get your message out. However I actually don’t see it driving visitors by itself. I view it as a further solution to make an impression on individuals.
Pepperoni apart, what’s your bestselling pizza? What number of of these per week do you sale?
Freehof: “Meat Lovers” is 25 % of all my specialty pizza gross sales.
Ferriman: Our greatest-selling pizza is the potato bacon cheddar sicilian slice: Seasoned purple bliss potatoes, smoked bacon, scallions, cheddar cheese and swirl of ranch dressing. It’s a favourite among the many scholar inhabitants. We promote about 50 a day.
Suto: Our ‘Delight and Pleasure’ is our spinach and mushroom stuffed pizza. We promote quite a lot of them. We haven’t taken the time to rely what number of we promote in every week!
Collier: Powerful name since 80 % of our pizzas have pepperoni. Our BBQ Rooster pizza sells nicely, together with our signature ‘Rusty’s Particular’ (meats and veggies).
Tomasso: Pepperoni is certainly the king. Our second greatest vendor is cheese, which we promote a couple of hundred of. Sausage is subsequent. We now have a neighborhood meat market make our Italian sausage, and he makes use of simply sufficient purple pepper for slightly kick. Certainly one of our specialty pies, ‘The Carnivore,’ made with pepperoni, sausage, meatball and bacon, is fashionable, too. The aroma of that pie is to die for. One thing we now have been enjoying round with currently, we name them ‘Pizza Popovers,’ is gaining followers. We roll up a pizza, lower it into sections and bake in muffin tins. Mild, fluffy and completely different. One thing for our clients to speak about.
Crowley: Our greatest-selling specialty pizza is our buffalo hen with a bleu cheese base, marinated buffalo hen, roasted purple peppers and our three-cheese mix.
Anthony: Pizza makes up 70 % of our menu combine per week, and we promote about 700 pizzas every week. Plain cheese pizza has actually grown in recognition (thanks, recession). That now accounts for 14 % of our pizza gross sales. Pepperoni is 56 %. Moreover, our connoisseur pizzas account for 10 % of pizza gross sales. Our ‘Pierogi Pizza’ and the ‘Rooster Rancher’ make up greater than half of that (about 4 % every).
