In an interview to Restaurant India, Sandeep Singh, CEO, Papa John's India talks about their growth plans for India.
How Papa John’s has grown after acquiring Pizza Corner?
By setting down 20 stores that the brand has that we did with the acquisition of Pizza Corner and we started acquiring them in December 2014 and by March 2015 we had a count of 67 stores with a combination of corporate as well as franchisee store. There are around 17 franchised stores and 50 corporate stores. It was all about growing further and we are still open to franchisees and growing further business.
We see that you have a huge presence in South Indian market. Why so?
It was to create a market and dominance. Today, south India is a good cluster for us and we want to further expand. We are open to North as well but we want to focus on West.
What are the criteria for the partners you are looking for?
We are looking for partners who are mostly those who can grow big with us and has potential of at least opening 10-15 stores depending on the area where they want to open stores. They can start with 5 stores and go to 20 stores as well.
What is your footfall?
We are majorly a delivery company and for us 60 per cent of the business is delivery. Seeing this we also launched our app because 50-55 per cent of the business is coming from online orders only. The penetration of Mobile apps has gone to 120 per cent. We want to be easily available to the consumer and we want them to experience the brand directly. There is also a good response. 4o per cent of our footfall is dine in and takeaway and 60 per cent is delivery.
Tell us something about your food.
When it comes to Papa John’s we serve 100 per cent baked products which doesn’t have oil or this shallow fry process which Domino’s and Pizza Hut has. Papa John’s Pizza doesn’t use oil when baking the pizza. And, these are few things that make us different from the others making us one of the best in the industry. Our cheese is 100 per cent mozzarella, our sauces are made within the same day of tomatoes plucked and these are the things that help us maintain that belief with the customers.
We see that there are many Italian brands entering the market. What is the reason?
Food industry itself is currently at somewhere 14 billion dollars in India and is expected to be 33 billion by 2020. I think there is place for everyone. And, anyone who wants to explore market in India it won’t be a trouble. QSR is a regular food today. Pizza is part of a regular meal. And, yes this market is growing and there is place for everyone. If we talk about Papa John’s our same store sales growth is 16- 17 per cent. And, if the market wouldn’t have been there we haven’t achieved the same store sales growth. Competition is not a concern right now as it will just create awareness for people.
Going forward what is your expansion plan?
Currently we are looking at West as the market as we are running 3 stores in Pune and one in Mumbai. We want Mumbai, Pune and Gujarat to basically grow and we are inviting lots of sub franchisees. Our target is to touch 100 marks as soon as possible and then further going there is no stopping.