Low-cost Pizza Franchise Market Size Expected to Reach $26.3 Billion by 2032

The low-cost pizza franchise market size was valued at $16.4 billion in 2022, and is estimated to reach $26.3 billion by 2032, growing at a CAGR of 4.9%

WILMINGTON, DE, UNITED STATES, March 5, 2025 /EINPresswire.com/ -- Significant growth has been witnessed in the low-cost pizza franchise industry across the developed and developing economies in the past few decades. The pizza franchises provide a guarantee of success for the franchisees. Moreover, popular pizza brands such as Domino’s, Papa John’s, Marcos Pizza, and Pizza Hut have effectively adopted the franchise business model as a great tool for expanding their business operations in new markets across the globe. Furthermore, these franchisors have gained rapid popularity and success along with their domestic and international franchisees in the past. This is a major factor that has attracted most individuals to start their franchise stores with the globally known brands. The goodwill and popularity of pizza brands significantly influence individuals in making decisions regarding the acquisition of franchise brands. According to data from Franchise Direct, about 50% of all franchise brands are international, which increases the attraction of franchising on a global scale.

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The growth in demand for pizza, rise in the penetration of local and international pizza brands, growth in popularity of dining out culture, and rise in participation of women in the workforce are some of the major factors that are expected to boost the growth of the pizza industry and drive the low-cost pizza franchise market growth during the forecast period. The growth in participation of women in the workforce leads to lower availability of time to indulge in regular household chores such as cooking and cleaning. Moreover, the busy and hectic life schedules of urban couples lead to the growth in demand for food away from home, which significantly contributed to the growth in the consumption of pizza. Moreover, the growth in the penetration of various online food ordering platforms in the past few years, owing to the proliferation of digital technologies and growth in the adoption of smartphones has significantly created huge opportunities for the pizza franchise brands to grow across the globe.

As per the low-cost pizza franchise market analysis, the market is analyzed on the basis of revenue component, type, franchise location, and region. On the basis of revenue component, the market is classified into franchise fees, royalty fees, advertising and marketing fees, supply chain and purchasing fees, renewal fees, and others. On the basis of type, the market is categorized into delivery and takeout franchise, carryout franchise, fast casual franchise, mobile pizza franchise, and others. On the basis of franchise location, the market is bifurcated into domestic and international. On the basis of region, the market is analyzed across North America (the U.S., Canada, and Mexico), Europe (Germany, France, the UK, Italy, Spain, and the rest of Europe), Asia-Pacific (China, Japan, India, South Korea, Australia, and rest of Asia-Pacific), and LAMEA (Brazil, Argentina, Saudi Arabia, South Africa, and rest of LAMEA).

On the basis of the revenue component, the supply chain and purchasing fees segment dominated the market, garnering 54.8% of the low-cost pizza franchise market share in 2022. This is because the supply chain and purchasing fees are associated with the sale of equipment and other essential supplies required for smooth business operations. The franchisors supply essential equipment and other supplies to the franchisee that help them to smoothly operate and carry out their daily operations.

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On the basis of type, the fast casual franchise (including quick-service restaurants) garnered a major revenue share in 2022. This is attributed to the growth in the number of franchisees and the rise in the penetration of pizza brands across developed and developing economies. Moreover, the growth in popularity of dining out culture in developing nations is expected to boost the growth of the market during the forecast period.

As per the low-cost pizza franchise market trends, based on the franchise location, the domestic segment dominated the market in 2022 and is expected to retain its dominance during the forecast period. This is attributed to the increased penetration and popularity of globally recognized brands such as Domino’s, Marcos, Papa, John’s, and Marcos in their home market. Furthermore, any pizza brand seeks to expand its business operations in its home market, initially. This has led to the dominance of this segment in the low-cost pizza franchise market.

As per the low-cost pizza franchise market forecast, on the basis of region, Asia-Pacific is expected to be the fastest-growing market during the forecast period. The rise in demand for pizza, the requirement for more employment opportunities in developing nations, rising urbanization, growth in the penetration of pizza stores in small towns, and growing popularity of eating out culture are some of the major factors that are supporting the growth of the low-cost pizza franchise market in the Asia-Pacific region.

Papa John’s International, Inc., Jets America, Inc., Hungry Howies Pizza & Subs, Inc., Marcos Franchising, LLC., Red Brick Pizza LLC., Sbarro LLC., Domino’s Pizza, Inc., Mr. Gattis Pizza, LLC., Papa Murphys International LLC., and Little Caesar Enterprises, Inc. are the major companies profiled in the low-cost pizza franchise market report. These manufacturers are constantly engaged in various developmental strategies such as partnerships, mergers, acquisitions, and new product launches to gain a competitive edge and exploit the prevailing low-cost pizza franchise market opportunities.

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Key findings of the study

The low-cost pizza franchise market was valued at 16,365.2 million in 2022 and is estimated to reach $26,250.6 million by 2032, growing at a CAGR of 4.9% from 2023 to 2032.
On the basis of revenue component, the supply chain and purchasing fees segment has dominated the market in 2022 and is expected to grow at a CAGR of 4.4% during the forecast period.
On the basis of type, the mobile pizza franchise segment is expected to be the fastest-growing segment, registering a CAGR of 6.1% from 2023 to 2032.
On the basis of franchise location, the international segment is estimated to witness the fastest growth, registering a CAGR of 5.9% during the forecast period.
On the basis of region, the U.S. was the most prominent market in North America in 2022 and is projected to grow at a CAGR of 4.3% during the forecast period.

David Correa
Allied Market Research
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