Papa Johns 2014 Annual Report Download - page 15

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offers a container of our special garlic sauce and a pepperoncini pepper. In addition to our fresh dough
traditional crust pizza, we offer a thin crust pizza, which is a par-baked product produced by a third-party
vendor. Each thin crust pizza is served with a packet of special seasonings and a pepperoncini pepper.
Domestically, all ingredients and toppings can be purchased by our restaurants from our Quality Control
Center (“QC Center”) system, which delivers to individual restaurants twice weekly. To ensure consistent
food quality, each domestic franchisee is required to purchase dough and tomato sauce from our QC
Centers and to purchase all other supplies from our QC Centers or other approved suppliers.
Internationally, the menu may be more diverse than in our domestic operations to meet local tastes and
customs. QC Centers outside the U.S. may be operated by franchisees pursuant to license agreements or
by other third parties. International QC Centers are required to meet food safety and quality standards and
to be in compliance with all applicable laws. We provide significant assistance to licensed international
QC Centers in sourcing approved quality suppliers.
We continue to test new product offerings both domestically and internationally, including limited time
offering pizzas. The new products can become a part of the permanent menu if they meet certain
established guidelines.
Efficient Operating System. We believe our operating and distribution systems, restaurant layout and
designated delivery areas result in lower restaurant operating costs and improved food quality, and
promote superior customer service. Our QC Center system takes advantage of volume purchasing of food
and supplies and provides consistency and efficiencies of scale in fresh dough production. This eliminates
the need for each restaurant to order food from multiple vendors and commit substantial labor and other
resources to dough preparation.
Commitment to Team Member Training and Development. We are committed to the development and
motivation of our team members through training programs, incentive and recognition programs and
opportunities for advancement. Team member training programs are conducted for corporate restaurant
team members, and operational training is offered to our franchisees. We offer performance-based
financial incentives to corporate and restaurant team members at various levels.
Marketing. Our domestic marketing strategy consists of both national and local components. Our national
strategy includes national advertising via television, print, direct mail, digital, mobile marketing and
social media channels. Our online and digital marketing activities have increased significantly over the
past several years in response to increasing consumer use of online and mobile web technology. Local
advertising programs include television, radio, and print materials. We strive to efficiently allocate
resources among television, print, digital, social and other media, and integrate social media into
marketing campaigns.
In international markets, our marketing focuses on reaching customers who live or work within a small
radius of a Papa John’s restaurant. Our international markets use a combination of advertising strategies,
including television, radio, digital, and print depending on the size of the local market.
Strong Franchise System. We are committed to developing and maintaining a strong franchise system by
attracting experienced operators, supporting them to expand and grow their business and monitoring their
compliance with our high standards. We seek to attract franchisees with experience in restaurant or retail
operations and with the financial resources and management capability to open single or multiple
locations. We devote significant resources to provide Papa John’s franchisees with assistance in restaurant
operations, management training, team member training, marketing, site selection and restaurant design.
Our strategy for global unit growth focuses on our strong unit economics model. We strive to eliminate
barriers to expansion in existing international markets, and identify new expansion opportunities. Our