Re:Uber, Postmates Agree on $2.65B All-Stock Deal
by bluedino on Monday July 06, 2020 @09:25AM
(#23747608)
You can't really compare a cheap frozen pizza to a chain pizza. They are bigger, for one.
I've read before that a Hot-n-Ready from Little Caeser's is sold for $5.55 but costs $3.50 in just ingredients. They don't make any money on those.
The breadsticks that they sell for $3.99, the cup of marinara for $1.99, the $13 veggie pizza and the $15 supreme pizza is where the money is made. Do you think there's an extra $10 in toppings on those supreme pizzas? Don't forget the bottles of soda..
http://www.unhappyfranchisee.com/little-caesars-what-franchi...
Re:Uber, Postmates Agree on $2.65B All-Stock Deal
by user5994461 on Monday July 06, 2020 @09:35AM
(#23747701)
That was the price for fresh, not frozen, and they're not small. Smaller than the large £20 pizza from the chain, sure, but not necessarily smaller than the £10-15 one.
The link is talking about a $11 pizza, that was briefly on sale for $5 (and still making a profit). It's not a $5 pizza.
Re:Uber, Postmates Agree on $2.65B All-Stock Deal
by bluedino on Monday July 06, 2020 @02:24PM
(#23751027)
Are you familiar with a hot n ready? That is a large one topping pepperoni, they are always $5-6 depending on location. It’s been this way since 1997
Re:Uber, Postmates Agree on $2.65B All-Stock Deal
by the-dude on Monday July 06, 2020 @05:51AM
(#23746198)
> (it's not allowed to sell an item at a loss in Europe).
Do you have a source for this?
You see where this is going. Pizzas are worth nothing, supermarkets are making money on these (it's not allowed to sell an item at a loss in Europe). Domino produces for £1-2 and sell for £10-20.
The accepted number in the restaurant industry is that food cost must be less than 30% of the listed price. Pizzas are pushing this to an extreme by selling for double digits while they're so cheap.