Papa John’s Int’l, Inc. (NASDAQ:PZZA) has introduced the garlic-Parmesan goo as an addition to its original offering to its customers. This has gotten its customers excited and its competitors watching out. This comes after the company’s founder and previous chairman, John Schnatter, was caught in a racial slur fiasco during a conference call. This incident led to his resignation.
Although Schnatter resigned and was no longer actively involved in the company’s daily affairs, Papa John’s struggled to recover from this occurrence. In the effort to redeem the company, they put it up for sale, revealed a calzone as well as got into a business collaboration with Shaq. All these strategies did not seem to work for Papa John’s. However, the introduction of the garlic-Parmesan goo could be a good thing that will help them break through the market and reach out to their customers.
Papa John’s Signature Pizza
Papa John’s has always been well known for the garlic dipping sauce. Even the company’s critics coincided that the company is at its best with the garlic sauce. The company leverages this strength and unique value proposition and integrated into the garlic-Parmesan and baking it into a Parmesan Cheese and garlic sauce crust. This is a huge win for the company not only in the introduction of the new product but also in its recovery from the racial incident.
Papa John Pizza has always offered its customers the gluten-free, thin, and original pizza crust. This is unlike its competitors, who have been offering flavored crusts to their customers. According to Papa John’s, the flavored crust is an addition to the original offering. This implies that the customers will still get their pepperoncini and garlic dipping sauce in their package. This is a more valuable addition to the customers and a competitive advantage for Pape John’s over its competitors.
Papa John’s Pizza proved that sometimes a simple innovation could go along way, as far as saving a company’s name and goodwill. The company said that they expect to increase their overall sales and customer base with their innovation – the Parmesan Cheese and garlic sauce crust pizza.