Papa Johns International, Inc. continues to struggle during what the company called a “challenging operational environment” as same-store sales drooped 1% during the second quarter ended June 25. According to Papa Johns CEO Rob Lynch, April 2023 was the worst month of same-store sales since he joined the company in August 2019, attributable to low-performing franchisee stores, which lagged behind company-owned store performance.
Besides making sure that franchisees do not run away with menu price increases, Papa Johns’ growth strategy moving forward is rooted in improved digital marketing and continued menu innovation. This quarter, Papa Johns introduced the Doritos Cool Ranch Papadia, which “generated a significant amount of buzz” on their digital channels and drove engagement. Most recently, Papa Johns introduced garlic stuffed-crust pizza at the start of the third quarter, and will be soon introducing a spicy garlic stuffed-crust pizza to “keep the momentum going.”