New Pizza Place In Saginaw, MI. Business Trends, Advertising

We opened the doors to our pizza place, Pizza Amore, about 3 months ago and have gotten great reviews about our products we offer. We make our dough from scratch from our own recipe that was about 4 months in the making. Anyway, we noticed that since school has been in session our Mon-Wed sales are almost diminishing and our Thurs - Sunday sales are not picking up very much. Is this type of trend normal to experience? Our food costs are around 23% - 27%, we have low rent and utility bills which puts our profit margin around 50% - 60% depending on the week. Is it typical for a pizza place to make around $5,000 a month starting out? Is there anything we can do to step up sales? We haven’t really spent much on advertising because we do not have a budget for that yet. We have had a rented sign up front letting people know we are here, as well as just put some mailer coupons that will be mailed at the end of the month to about 17,000 people in the immediate area. Should this help sales? Most of our advertising has been done via social media and word of mouth but it doesn’t seem like the business is actually growing. Is it too soon to tell? Any opinions or advice will be greatly appreciated. Pizza in the immediate area around us consists of a Howies and a Ceasers (Located in the Kmart across the street). There are also two schools within 5 miles, and a ton of apartment buildings. Any ideas?

Pics are of some of our products as well as our location and menu.

Re: New Pizza Place In Saginaw, MI. Business Trends, Adverti

When you say making $5,000 a month are you talking profit or net sales?

Re: New Pizza Place In Saginaw, MI. Business Trends, Adverti

First, let me congratulate you on a great looking pie and very nice customer reviews. With a high quality product and customer rave reviews, you will be a favorite soon.

If you are experiencing a net profit, after all costs and expenses (even if that is before owner withdrawals or pay), of $6,000 per month after only 3 months, you should probably have a sore arm from slappin yourself on the back. Others here will give you advice on growing your sales, but you have probably achieved one of the more important elements of any successful pizza place…a product that is a hit with the market. I’ll follow this thread to see what you responded to the “sales, or profit”? question and other operator responses. And good luck with your new business.

Re: New Pizza Place In Saginaw, MI. Business Trends, Adverti

If you are 3 months in and making money, you are ahead of the game. What kind of weekly/daily sales, population, competition? You obviously have a good product, so it is just a matter of getting them in the door to try it, e.g. advertising/mailers/etc.

Re: New Pizza Place In Saginaw, MI. Business Trends, Adverti

I sure hope you are compiling a customer database… the honeymoon period can be brief.

This report, “How To Attract More Customers At Lower Cost” might be helpful. View it here: https://s3-us-west-2.amazonaws.com/rr-g … f#zoom=100