Consumers are growing weary of spending. In an age where some industry giants are using AI to create personalized pricing to max out customer spending, even the simple tradition of grabbing a Friday night pizza on the way home can feel like too great a luxury. And the pizza industry has felt it! According to Technomic’s Top 500 Restaurants data, nearly two-thirds of top pizza chains experienced declining sales in 2024, reports Nation’s Restaurant News (NRN).
Domino’s decided to combat declining sales by giving customers a break—and as a result, they caught a break themselves. “Domino’s brought back its “Best Deal Ever” promotion, with a $9.99 deal on any pizza with any toppings running from July 7 through Aug. 3,” writes Joanna Fantozzi for NRN. “This is the second time this year that Domino’s has offered the same promotion, with CEO Russell Weiner stating that the last ‘Best Deal Ever’ run in March ‘broke through the industry clutter’ to appeal to value-seeking customers in an increasingly competitive environment.”
Fantozzi reminds us, “Last year, Domino’s was the best performing of the top pizza chains, with 5.3% sales growth, above the restaurant industry average sales growth, which slowed to 3.1% in 2024,” so it is worth watching their tactics. These value offerings work—and other pizza chains are paying attention.
“Little Caesars introduced its own $9.99 promotion in the form of the company’s first-ever combo meal menu. The online-only “More for $9.99” menu lets customers pick different mix and match menu pairings for the same price,” adds Fantozzi, adding a competitive edge to the market and the summer deal strategy.
Pizza Hut has followed suit at a similar price point. These promotions have made a summer slice fun and accessible to customers again. “Both the Domino’s and Little Caesars summertime promotions highlight customization and value perception, which appeal to budget-conscious consumers that are choosing takeout options that appeal to a variety of tastes and are conscious of tightening budgets as economic uncertainty continues,” NRN shares.
Richard Weil, principal and owner of National Restaurant Consultants, and pizza industry veteran notes, “The pizza segment is often a bellwether segment. The hyper-competitive pizza industry has, for decades, created multiple battles, especially among the big five pizza chains. What industry operators should pay attention to is not just this segment, but the success of creating the value proposition in breaking through the clutter to attract and retain consumers.”
While pizza has been a highly effected portion of the restaurant industry, the decline in consumer spending on dining out is widespread. Pivoting to care for budget-conscious customers is a great way to meet the customers’ needs and attract business. Contact National Restaurant Consultants to find out more ways to increase customer counts and retention.