Papa John’s More Dough for Franchisees = OOH Opportunity

Papa John’s Re-Imaging $50 Million Budget

Former Pizzaman and founder, ‘Papa’ John Schnatter, of Papa John’s Pizza, has talked himself into a world of problems which are well documented in the press. Time line of ‘Papa’s downfall.  Papa is out. The pizza franchisee’s are not surprisingly, hurting, badly.  Sales are off big time with July sales off 10.5% and second quarter sales off over 6%.  The new management has announced major changes are coming in their advertising.

The company said it has “developed a preliminary range of $30 million to $50 million for the remainder of 2018” for costs, including: “re-imaging, the accelerated replacement of certain branded assets, financial assistance to domestic franchisees, branding initiatives, our third-party audit of the culture of Papa John’s, and additional legal and advisory costs.”

Up to $50 million it will spend in just the final third of the year to scrub Schnatter’s image from marketing materials, help struggling franchisees, do a culture audit, and pay legal costs. See article here ⇒Papa John’s ‘aggressively’ resetting ads and marketing.

There maybe more dough (dollars) available for Franchisee’s to spend in advertising as Papa John’s International Inc (PZZA.O) recently said it would lower royalties and fees charged to its U.S. and Canadian franchisees as sales at the U.S. pizza chain decline following the exit of it founder.  Let’s make it Out of Home.  NOW is the time to contact your local franchisee for #OOH.

     NOW is the time to contact your local franchisee for #OOH.

Papa John’s perfect storm opportunity for Outdoor Advertising?  Billboards’ 24/7 omnipresence and penetrating power serves the pizza business well.  Call your local franchisees.

Need some ammunition or sales success numbers to help you with your pitch for #OOH? Here’s a strong case study specifically on Papa Johns from Clear Channel Outdoor.  Sales had increased from 28% to 35% generated by the billboard campaign.  Use it.

Not sure who the Agency working on Media.  Try Ed Horne, executive vice president of Endeavor Global Marketing.  Robin Clarke, Sr. VP Marketing