This year, restaurant sales slumped as people sought cheaper and easier meal options. But by contrast, the pizza industry has rejoiced. Shares of Domino’s and Papa John’s have soared to 45 and 60 percent, respectively in 2016, whereas the S&P 500 Restaurants Index only gained 3.4 percent, according to the St. Louis Post Dispatch.
The reason for the sudden shift in eating habits may have a lot to do with convenience, experts say. Mobile ordering apps, and new technology that lets you order via Twitter or at the touch of a button is just easier than researching and booking a restaurant reservation.
“Restaurants that have succeeded this year have been the ones that have addressed convenience,” Stephen Anderson, an analyst at Maxim Group told the St. Louis Post Dispatch. “The pizza chains have done a good job at this.”
Pizza chains have also focused on luring customers in with constant deals and new menu promotions.
“The business is moving more to off-premise or to a faster dine-in experience,” Yum’s Chief Financial Officer David Gibbs told The St. Louis Dispatch.