Wednesday, May 7, 2008

Pizza.com

Herr Docktor thinks Yours Famously can eat his weight in pizza - which may be true - but my appetite for sure has not fueled Papa John's $1 billion of online sales.

In the past seven years, Papa John's International, the nation's third largest pizza delivery chain trumpeted online sales growing at an average clip of more than 50% per year. In 2001, the chain's online sales totaled a scant $20.4 million, and last year, its online sales approached $400 million. The estimate it will take less than three years to hit their next billion - at the current pace and rate of growth.

Other chains in the fiercely competitive pizza industry are also tapping into the technology craze to give customers ways to order pies other than through the standard phone call or trip to a restaurant. Domino's Pizza put its own twist on online ordering early this year by introducing a "Pizza Tracker," which lets customers keep tabs on the progress of their orders. Consumers can find out when their pies are in the oven, when they're on the way, and even the first name of their delivery person. That's a little too much access to their pizza, I think. Domino's also lets customers place orders from Web-enabled mobile devices.

Pizza Hut said it's online orders have grown sixfold in the last three years. The Hut, America's biggest pizza chain, also allows customers to order via text messaging and mobile Web. They plan to unveil a new method for ordering pizzas, dubbed "Pizza Hut Shortcut," that it says will be the fastest in the industry. Customers will be able to download a "widget" onto their computers that will let them place their favorite pizza orders with just one click.

Since launching its Web-based ordering in 2001, Papa John's said it has invested more than $15 million in online ordering technology. Customers can place online orders up to 21 days in advance - y'know, for when you plan out that marathon World Of Warcraft gaming session. Another, more reasonable function lets consumers repeat their most recent orders with just one click. Papa John's said more than 20% of its sales come from online or through text messaging, an option it introduced last year.

It's just like Neil Stephenson wrote about in Snow Crash...at least, the pizza part.

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