Papa John’s – Better Ingredients, Better Pizza, Better Supply Chain Management

Papa John’s Pizza has been using social media channels to help educate customers where products and ingredients are coming from, and creating time effective ordering options available on channels. Aside from social channels, the company has also used a collaborative technology solution to help support the efficiency of the supply chain. The company outsourced the supply chain needs to Manhattan Associates, a supply chain software company, to help create more time effective and cost saving inventory management. Eric Hartman, Senior Director of Logistics said, “Manhattan solutions allow us to manage inventory levels accurately, efficiently and more dynamically based on actual need—and that has resulted in our being able to reduce overall inventory levels (Manhattan, 2013)”. Using the collaborative software has also provided better solutions to inventory transportation. The software can optimize routes, improving on-time store deliveries, and the overall performance of their fleet (Trebilcock, B., 2014, October). Customer service relies on the speed of the supply chain to help get their products to customers in an effective way that will save time and money.  “Implementation of Manhattan’s solutions has provided unprecedented visibility along with reduced expenses, improved efficiency and productivity in every part of the supply chain (Manhattan, 2013)”. Papa John’s wants to ensure that its “fast food” moves just as quickly throughout every level of the supply chain.

With popular health conscious food trends, Papa John’s wanted customers understand that they were receiving high quality products. Papa John’s used their social media channels to get the word out to show product development to ease any customer concerns. “Papa John’s was built on quality, which is why we talk so openly about our ingredients and you always hear us say, ‘Better Ingredients. Better Pizza.’ It’s a way of life at Papa John’s (Salloum, A., 2015, April).” The company enhanced its social content with a series of Instagram and Vine videos, accompanied by Twitter and Facebook content focusing on each ingredient category. “The content will give consumers the chance to take an in-depth look at what exactly goes into each ingredient and what makes it a quality leader (Salloum, A., 2015, April)”. Providing visibility to customers can give them a better understanding of where their products are coming from. Customers can be more conscious of what they are ordering for their next pizza.

In addition to collaborative technologies, Papa John’s is the first fast food company to let customers order through Facebook. In 2007, you could order a pizza from Papa John’s via text message. Now, you can look at your friend’s engagement photo’s while ordering a pizza at the same time. After placing the order, the customer can track the order and receive updates each step of the way. Customers can see when the ingredients are being put on, when it’s baked, and when it’s out for delivery. They can be involved every step of the way and be assured that their pizza will be received at the highest quality standard. The brand is no stranger to digital firsts. In addition to now being the first national pizza brand to allow guests to order pizza instantly through Facebook, Papa John’s was the first national pizza company:

• with digital ordering at all of its U.S. delivery restaurants in 2001;
• to offer system wide mobile ordering with SMS text in 2007;
• to launch a nationwide digital rewards program in 2010, Papa Rewards;
• to offer gift cards that can be used on mobile devices;
• to surpass 60% of total U.S. sales via digital channels; and
• to launch a custom Apple TV ordering app (first national restaurant brand, not only pizza).

Lessons for Others

Papa John’s has followed the technological trend when it comes to supply chain management. Using a collaborative technology tool, the company managed gain and take control the supply chain in the areas that they were struggling to succeed in. Having better control of your supply chain can be time and cost effective. Papa John’s took advantage of social media channels to provide better knowledge on the products they use and to provide easy ordering with more advance tracking technology.

If you have concerns as to the accuracy of anything posted on this site, please send your concerns to Peter Carr, Program Director, Social Media for Business Performance.

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