The Pizza Company, a subsidiary of Minor Food Group Plc, is set to invest more than 300 million baht this year in expanding its network of outlets and renovating existing ones, despite facing challenges from rising costs, competition, and a tough macroeconomic environment. The company’s ambitious growth plans include opening 20 new stores and renovating between 80 and 100 of its current locations.
Amid an increase in the minimum wage and ongoing economic pressures, Anupon Nitiyanant, the chief operating officer of Minor Food Group, emphasized the need for companies in the restaurant industry to adapt. The government raised the daily minimum wage starting January 1, with increases ranging from 7 to 55 baht, which has impacted labor costs across the sector. “To retain staff, we have to raise our daily wage even higher than the official minimum wage,” Anupon said.
Alongside labor costs, The Pizza Company is also facing rising raw material costs, including dairy products and fruits. To mitigate these challenges, the company is focusing on cost management and using its high purchasing volumes to manage expenses effectively.
In terms of competition, the restaurant sector is expected to become even more crowded in 2025, as new entrants, including Chinese restaurant chains, are anticipated to challenge established players. Patt Pongwittayapipat, general manager of The Pizza Company, outlined that the company’s expansion will focus on both standalone outlets and branches within hypermarkets, with approximately 60% of the new stores set to open in provincial areas. Notably, the company will be opening its first-ever branch in Mae Hong Son, expanding its footprint in previously underserved regions.
The company, which currently operates 430 outlets across Thailand, also expects its delivery service to continue driving sales. Around 50% of The Pizza Company’s sales currently come from delivery orders, with dine-in and takeaway comprising about 30% and 20%, respectively. The new stores will improve delivery efficiency by serving as additional distribution points.
In addition to the new openings and renovations, The Pizza Company plans to spend more than 100 million baht to upgrade existing outlets and another 300 million baht on marketing activities this year. The company is optimistic that the ongoing recovery in Thailand’s tourism sector will boost sales in tourist destinations, further driving growth.
The Pizza Company has recently launched its “Buy One Get One Plus” campaign, running from February through April 2025. Customers can enjoy two pizzas starting from 279 baht, with additional perks such as free delivery during select periods.
The company is targeting a sales growth of over 10% this year, as it navigates the challenges and opportunities of the current market environment.
In closing, The Pizza Company’s strategic investments in new stores, renovations, and marketing are set to position the brand for sustained growth in the competitive Thai restaurant market. These efforts are aimed at boosting both customer satisfaction and overall sales.
