High competition in the pizzeria business is due to the fact that establishments of this type are designed for people with an average income level and have a wide target audience.
Pizzerias are very popular establishments among the population, so the pizzeria business idea is always highly competitive.
To reduce the risks in organizing this business, as well as to correctly calculate the profitability and payback period of investments, it is necessary to conduct marketing research and prepare a solid business plan.
Marketing research: identifying competitors
The most important goal of marketing research for opening a pizzeria is to identify the level of competition in the surrounding areas. To reduce the risks when opening a pizzeria, it is necessary to carefully examine not only the presence of competitors, but also the list of services offered by them and the range of products. This research will tell you where the new establishment should be located, as well as avoid the mistakes already made by competitors.
Pizzeria: a portrait of a consumer
Since the pizzeria is more of a fast food establishment than a restaurant, you should not expect to create a circle of regular customers, although this should certainly be aimed at.
Visitors to pizzerias are often random people who come in for a bite to eat, as well as employees of nearby offices and enterprises.
Therefore, the pizzeria should be located close to large flows of people, public transport stops, metro stations, close to large enterprises and educational institutions. This allows you to have a constant influx of visitors, increases the chances of a quick payback for the project.
Pizzeria: choice of premises
The premises of a pizzeria can be relatively small compared to a cafe , however, it must still have sufficient space to accommodate the client’s hall and production premises.
As a rule, the area of the pizzeria is at least 100-150 square meters.
Since the pizzeria belongs to public catering establishments, it will be under the close attention of the supervisory authorities, therefore, in order to obtain permission to open a pizzeria, it will be necessary to fulfill the requirements of both fire and sanitary supervisory authorities. The conditions for fulfilling these requirements must be provided for even when choosing a room for a pizzeria.
The premises of a pizzeria are usually divided into a client room and production premises, although in some establishments, visitors to the pizzeria have the opportunity to follow the pizza preparation process with interest, which makes the pizzeria more attractive to customers. At the same time, it is necessary to remember the observance of sanitary standards and the requirements for the separation of the client hall and the production area.
Pizzeria: what will you have to invest in at the start?
The initial investment in the implementation of the pizzeria business idea consists of the following costs:
— for the purchase, repair and decoration of the premises,
— the cost of purchasing equipment, initial stocks of products,
— obtaining permits, conducting an initial advertising campaign.
The cost of purchasing equipment can range from tens of thousands to several hundred thousand dollars, depending on the size of the pizzeria and the specialization of the equipment.
In principle, for the production of pizza, you can get by with several frying pans and an oven. However, to speed up customer service, it is still necessary to purchase high-quality modern equipment.
The current costs of a pizzeria include the cost of purchasing products and raw materials, the cost of rent, utility costs, the cost of wages to staff and the security of the establishment, advertising campaigns and campaigns.
If the pizzeria is also engaged in the delivery of pizza on orders, then a significant part of the costs will be transport costs.
Pizzeria: the economic component of the business
The profitability of the pizzeria business is quite high. Experience shows that the initial investment in opening a medium-sized pizzeria can pay off within a year. However, the profitability of a pizzeria business idea largely depends on the quality of conducting marketing research and drawing up a business plan .
You can evaluate the profitability of a pizzeria business idea on your own using the calculator on our website. However, if you are going to raise borrowed funds to open a pizzeria, we recommend ordering the necessary calculations and a ready-made business plan on our website .