Neither Domino's nor Pizza Hut: Pizza chain announces massive closures in the United States

The pizza industry in the United States faces major challenges, but not all chains are in the same situation. While Domino's and Pizza Hut keep their presence stable, another major chain announces massive closures that are causing concern. It's Papa John's, which is going through a difficult time and is closing dozens of locations, both in the United States and globally.

Papa John's is the fourth largest pizza delivery chain in the United States, founded in 1984. In recent years, the company has seen a steady decline in its revenue. In 2024 alone, its sales dropped almost 4% compared to the previous year. The situation has been worse in the United Kingdom, where the chain closed more than 40 locations last year.

These figures reflect a serious problem. Papa John's lost more than 22 million dollars in revenue, and the negative trend has been ongoing since 2021. As a result, hundreds of employees have lost their jobs. The company is seeking new owners for the closed stores and claims that these closures are temporary, although it is uncertain when they will reopen.

Papa John's, Unlike Its Competitors

The decline of Papa John's contrasts with the stability of its competitors. Domino's and Pizza Hut keep most of their establishments open, with only occasional adjustments in some locations. This indicates that the problem doesn't affect the entire industry equally, but is more related to Papa John's management and strategy.

The rebranding and the departure of its founder, John Schnatter, after personal controversies, marked a turning point for the brand. Currently, former NBA player Shaquille O'Neal is a spokesperson and part of the board of directors. His presence aims to improve the image and attract new customers, but the recovery has not been immediate.

The pizza delivery market is increasingly competitive. Consumers demand quality, speed, and affordable prices. Additionally, inflation and changes in consumption habits affect all chains. However, while Domino's and Pizza Hut seem to adapt better to these conditions, Papa John's struggles to keep its market share.

The massive closures of Papa John's not only affect the company but also its franchisees and employees. The chain must rethink its strategy to survive in a sector where competition is fierce and customer expectations are high.

In summary, although Domino's and Pizza Hut are the names that appear most in the pizza world, it's Papa John's that is making headlines for its massive closures. Its future will depend on the ability to adapt and overcome this crisis that threatens its position among the leading chains in the United States.