Pizza and Pasta Restaurants (and Takeaway) - UK - January 2010

ISSUES IN THE MARKET
Definition
Consumer research
Abbreviations
FUTURE OPPORTUNITIES
Tapping into the snacking mentality
Better than a sandwich…
…and healthy too
A whole new meaning to efficiency
The greys want risotto…and bistecca alla Fiorentina
Italian food for grown-ups
MARKET IN BRIEF
Market environment
Impact of the recession on eating out
Price promotions
Going forward
INTERNAL MARKET ENVIRONMENT
Key points
Figure 1: Venues eaten at in the last three months, April 2009
Restaurant promotions
Price promotions
Consumer responses to price promotions
Impact of price promotions on market value
Nutritional concerns
Figure 2: Salt content (highest and lowest) in survey carried out by Trading Standards Institute, February 2009
Consumers’ laissez-faire attitude towards nutritional content in restaurant meals
Figure 3: Attitudes towards nutritional labelling, April 2009
BROADER MARKET ENVIRONMENT
Key points
The recession and consumer confidence
Figure 4: GDP, PDI, consumer expenditure and savings, at constant 2004 prices, 2004-14
Figure 5: GDP quarterly percentage change, 2004-09
Figure 6: Trends in consumer confidence, January 2008-November 2009
Figure 7: Personal financial situation, February-December 2009
Figure 8: Trends in what extra money is spent on, November and December 2009
Figure 9: Trends in attitudes towards restaurants and takeaways, 2005-09
Demographic factors
Figure 10: Trends in the age structure of the UK population, by gender, 2004-14
Figure 11: Forecast adult population trends, by lifestage, 2004-14
Difficult times to justify the premium on ethical products
Figure 12: Trends in ethical products, 2005-09
Figure 13: Trends in attitudes towards diet, 2005-09
COMPETITIVE CONTEXT
Key points
Eating out market, by sector
Figure 14: Eating out market*, by sector, 2004-08
Retailers mimicking restaurant innovation – so what’s next for restaurants?
New ingredients
Minus the crusts
Extra thin
Recreating restaurant experience
In-home pizza/pasta consumption
Figure 15: Trends in frequency and usage of fresh or dried pasta and noodles, 2005-09
Figure 16: Allergies suffered personally, another member in household, November 2009
Figure 17: Trends in frequency and usage of pizza in the last 12 months (excluding takeaways), 2005-09
STRENGTHS AND WEAKNESSES IN THE MARKET
Strengths
Weaknesses
WHO’S INNOVATING?
Key points
Domino’s refit programme: ‘pizza theatre’
Mobile phone orders
Event management
New menu additions
Pregnancy pizza
MARKET SIZE AND FORECAST
Key points
Struggling dine in sector drags down overall market value
Figure 18: UK pizza and pasta market, 2004-14
MARKET SEGMENTATION
Key points
Figure 19: Forecast of the pizza/pasta market, by segment, 2004-14
MARKET SHARE
Key points
Figure 20: Top brands and outlet numbers, 2008/09
 OUTLET OPENINGS
Gondola Holdings
Tragus Group
Pizza Hut
Prezzo
Domino’s
Papa John’s
COMPANIES AND PRODUCTS
Key points
Domino’s Pizza
Figure 21: Financial performance of Domino’s Pizza, 2007-09
Papa John’s
Perfect Pizza
Pizza GoGo
Pizza Hut
Figure 22: Financial performance of Pizza Hut, 2007 and 2008
Prezzo
Figure 23: Financial performance of Prezzo, 2007-09
 GONDOLA GROUP LIMITED
Figure 24: Financial performance of Gondola Group, 2002007 and 2008
ASK Restaurants
PizzaExpress
Zizzi
 TRAGUS GROUP LTD
Figure 25: Financial performance of Tragus Group, 2007 and 2008
Bella Italia
Strada
BRAND ELEMENTS
Key points
Brand map
Figure 26: Attitudes towards and usage of pizza and pasta restaurant brands, December 2009
 BRAND QUALITIES OF PIZZA AND PASTA RESTAURANT BRANDS
A warm welcome for all the family
Figure 27: Personalities of various pizza and pasta restaurant brands, December 2009
 EXPERIENCE OF PIZZA AND PASTA RESTAURANT BRANDS
Pizza specialists most popular
Figure 28: Consumer usage of various pizza and pasta restaurant brands, December 2009
 BRAND CONSIDERATION FOR PIZZA AND PASTA RESTAURANT BRANDS
Mid-market holds appeal, Pizza Hut off-putting
Figure 29: Consideration of various pizza and pasta restaurant brands, December 2009
 BRAND SATISFACTION FOR PIZZA AND PASTA RESTAURANT BRANDS
PizzaExpress best rated
Figure 30: Satisfaction with various pizza and pasta restaurant brands, December 2009
 BRAND COMMITMENT TO PIZZA AND PASTA RESTAURANT BRANDS
Pizza Hut has most loyal customers
Figure 31: Commitment to various pizza and pasta restaurant brands, December 2009
 BRAND INTENTIONS FOR PIZZA AND PASTA RESTAURANT BRANDS
PizzaExpress has best retention, Pizza Hut close behind
Figure 32: Future usage intentions for various pizza and pasta restaurant brands, December 2009
 BRAND RECOMMENDATION FOR PIZZA AND PASTA RESTAURANT BRANDS
Eat-in pizza specialists most recommended
Figure 33: Recommendation of various pizza and pasta restaurant brands, December 2009
 PIZZAEXPRESS
What the consumer thinks
Figure 34: Attitudes towards the PizzaExpress brand, December 2009
 ASK
What the consumer thinks
Figure 35: Attitudes towards the ASK brand, December 2009
 DOMINO’S PIZZA
What the consumer thinks
Figure 36: Attitudes towards the Domino’s Pizza brand, December 2009
 PIZZA HUT
What the consumer thinks
Figure 37: Attitudes towards the Pizza Hut brand, December 2009
BRAND COMMUNICATION AND PROMOTION
Key points
Figure 38: Adspend of selected restaurant chains, by channel, 2008/09
The ‘Saturday night effect’
Creating the ‘Saturday night effect’ all year round
Investment online
What’s in a name?
Who’s better? campaigns
Celebrity chefs
PIZZA/PASTA RESTAURANTS VISITED
Key points
Figure 39: Visited pizza and pasta restaurants in the last three months, November 2009
FREQUENCY OF VISITING PIZZA/PASTA RESTAURANTS
Key points
Figure 40: Frequency of visiting pizza and pasta restaurants, November 2009
ATTITUDES TOWARDS PIZZA/PASTA RESTAURANTS
Key points
Figure 41: Attitudes towards pizza and pasta restaurants and takeaways, November 2009
Demand for more adult-friendly venues
Impact of age on consumers’ preferences for customisation
Retail versus restaurant
Point of order
Figure 42: Trends in accessing internet via mobile phone, 2007-09
PIZZA/PASTA RESTAURANTS’ TARGETING OPPORTUNITIES
Key points
Figure 43: Pizza/pasta restaurant target groups, November 2009
Family Feasters
Pizza No No
Tech-savvy Pizza Enthusiasts
On-the-fencers
Supermarket Alternatives
APPENDIX – INTERNAL MARKET ENVIRONMENT
Figure 44: Attitudes towards selected lifestyle statements, by detailed demographics, 2009
Figure 45: Attitudes towards selected lifestyle statements, by detailed demographics, 2009
Figure 46: Attitudes towards selected lifestyle statements, by detailed demographics, 2009
Figure 47: Attitudes towards selected lifestyle statements, by detailed demographics, 2009
Figure 48: Attitudes towards selected lifestyle statements, by detailed demographics, 2009
APPENDIX – PIZZA/PASTA RESTAURANTS VISITED
Figure 49: Most popular visited pizza and pasta restaurants, by detailed demographics, November 2009
Figure 50: Next most popular visited pizza and pasta restaurants, by detailed demographics, November 2009
Figure 51: Pizza and pasta restaurants visited, by pizza and pasta restaurants visited, November 2009
APPENDIX – FREQUENCY OF VISITING PIZZA/PASTA RESTAURANTS
Figure 52: Frequency of visiting pizza and pasta restaurants, by detailed demographics, November 2009
Figure 53: Pizza and pasta restaurants visited, by frequency of visiting pizza and pasta restaurants, November 2009
Figure 54: Frequency of visiting pizza and pasta restaurants, by visited pizza and pasta restaurants, November 2009
APPENDIX – ATTITUDES TOWARDS PIZZA/PASTA RESTAURANTS
Figure 55: Most popular attitudes towards pizza and pasta restaurants and takeaways, by detailed demographics, November 2009
Figure 56: Next most popular attitudes towards pizza and pasta restaurants and takeaways, by detailed demographics, November 2009
Figure 57: Most popular visited pizza and pasta restaurants, by attitudes towards pizza and pasta restaurants and takeaways, November 2009
Figure 58: Next most popular visited pizza and pasta restaurants, by attitudes towards pizza and pasta restaurants and takeaways, November 2009
Figure 59: Frequency of visiting pizza and pasta restaurants, by attitudes towards pizza and pasta restaurants and takeaways, November 2009
Figure 60: Most popular attitudes towards pizza and pasta restaurants and takeaways, by attitudes towards pizza and pasta restaurants and takeaways, November 2009
Figure 61: Next most popular attitudes towards pizza and pasta restaurants and takeaways, by attitudes towards pizza and pasta restaurants and takeaways, November 2009
APPENDIX – PIZZA/PASTA RESTAURANTS’ TARGETING OPPORTUNITIES
Figure 62: Pizza/pasta restaurants target groups, by detailed demographics, November 2009
Figure 63: Pizza/pasta restaurants target groups, by pizza and pasta restaurants visited, November 2009
Figure 64: Pizza/pasta restaurants target groups, by frequency of visiting pizza and pasta restaurants, November 2009
Figure 65: Pizza/pasta restaurants target groups, by attitudes towards pizza and pasta restaurants, November 2009