NEWS, EVERYONE, PAPA JOHN'S
COOKING UP SOME FRESH
CHANGES, THE PIZZA CHAIN HAS
ROLLED OUT A BRAND NEW LOGO AND
GRAPHICS LOOK AND BRICK AND
MORTAR LOCATIONS WILL BE
TRANSFORMED TO STREAMLINE THE
CUSTOMER EXPERIENCE. THIS COMES
AS THE COMPANY CONTINUES
TO SHOW STRENGTH RECENTLY
MARKING 9 CONSECUTIVE QUARTERS
OF GLOBAL GROWS AND JOINING US
NOW IS OF ROP
LYNCH C CEO OF PAPA JOHN'S ROB,
THANKS SO MUCH FOR JOINING US
HERE ON CHEDDAR NEWS WONDERING
IF YOU CAN WALK US THROUGH THIS
REBRAND AND SOME OF THE
DIFFERENT CONCEPTS THAT YOU'RE
FOCUSING ON IN ADDITION TO WHAT
WE MENTIONED.
>> UNIT I THANK YOU FOR HAVING
ME IT'S GREAT TO BE ON THE
SHOW. YOU KNOW PAPA JOHN'S SCAN
A GREAT A COUPLE YEARS AS THE
PANDEMIC IS CHALLENGE THE
WAY WE YOU KNOW COME TOGETHER
AND ENJOY FOOD, IT'S JUST BEEN
SOMETHING THAT THAT YOU KNOW
AMERICA AND REALLY GLOBALLY
PEOPLE HAVE BEEN ABLE TO KIND
OF CLING TO GET DELIVERED
SAFELY TO YOUR
HOME AND AND AND AND ENJOY SOME
JOINT MILIT FAMILY SO RIGHT NOW
WE'RE LOOKING TOWARDS THE
FUTURE AND HOW WE
KEEP THAT GROWTH GOING AND WHAT
WE ASPIRE TO BE AND WE FELT
LIKE WAS THE RIGHT TIME
FOR US TED RICE AND CHANGE INTO
THE VISUAL IDENTITY OF
THE BRAND. WE'RE BUILDING LOT
OF RESTAURANTS THIS YEAR WE'RE
GOING TO BUILD ABOUT 250
RESTAURANTS GLOBALLY NEXT YEAR
WITH PLAN TO BUILD A MORE
SO AS WE BUILD THESE NEW
RESTAURANTS, WE WANT THEM TO BE
GROUNDED IN THE IDENTITY THAT
WE WANT TO HAVE FOR THE LONG
TERM. AND SOMETHING THAT WE
FEEL JUST MAKES IT MORE
ENGAGING MAKES IT MORE
APPROACHABLE AND THAT'S REALLY
WHAT'S BEEN DRIVING THAT THE
THE TIMING AROUND US THE
BRANDING THE BRAND RIGHT NOW.
>> IT'S REALLY INTERESTING AND
I WANT TO TALK WITH YOU A BIT
ABOUT THE RESTAURANTS IN
THEIR PHYSICAL CASSIDY BUT
SOMETHING THAT STRUCK ME WAS
THAT YOU ARE BUILDING A LOT OF
THESE NEW RESTAURANTS, HOW DO
YOU BALANCE THAT WITH YOUR
DIGITAL STRATEGY, ESPECIALLY
AFTER SOMETHING LIKE THIS
PANDEMIC.
>> YOU KNOW WE'RE IN E-COMMERCE
COMPANY IT HARDLY ABOUT 80% OF
OUR ORDERS ARE
PLACED DIGITALLY. BUT ALL OF
THOSE ORDERS NEED TO BE MADE
SOMEWHERE PAPA JOHN'S IS UNIQUE
IN THAT RESTAURANT INDUSTRY
THAT ALL OF OUR INGREDIENTS ARE
FRESH. MAKE ALL OF OUR FOOD,
FRESH RIGHT WHEN YOU ORDER IT
SO IT'S REALLY IMPORTANT THAT
WE HAVE GREAT RESTAURANTS WHERE
WE CAN MAKE THE ORDERS THAT ARE
GOING TO
BE DELIVERED PEOPLE'S HOPES SO
YOU KNOW ABOUT 40% OF OUR
BUSINESSES CARRY OUTS OUR
CUSTOMERS ARE COMING INTO OUR
RESTAURANTS AND WANT TO MAKE
SURE THAT OUR RESTAURANTS ARE
GOOD REPRESENTATION OF OUR
BRAND AND AND AND HOW WE WANT
TO BE PERCEIVED MOVING FORWARD.
>> GOTCHA AND A PART OF THAT
REPRESENTATION AS WE MENTIONED
SOME REALLY FASCINATING CHANGES
TO
THE PHYSICAL BRICK AND MORTAR
STORES YOU'RE GOING TO BE DOING
AWAY WITH THE
MENU BOARD WORDS AT PHYSICAL
LOCATIONS ALSO INSTALLING SOME
GLASS PANEL SO CUSTOMERS CAN
SEE THE PIZZAS BEING MADE WHY
ARE THESE PHYSICAL CHANGES
REALLY IMPORTANT.
>> IF YOU KNOW WE LIKE I SAID
WE MAKE EVERYTHING FRESH WHEN
OUR CUSTOMERS TO SEE THAT WE
DON'T HAVE ANYTHING TO HIDE
THERE'S NO ARTIFICIAL COLORS
NORTH OFFICIAL INGREDIENTS IN
ANY OF OUR FOOD SO.
WE WANT PEOPLE TO SEE THAT WHEN
THEY ORDER A PIZZA WHERE OUR
FOLKS ARE RIGHT THERE USING
FRESH INGREDIENTS TO MAKE THEIR
FOOD RIGHT IN FRONT OF IN TERMS
OF NO MENU BOARDS. EVERYONE HAS
A MENU BOARD IN THEIR POCKET
AND FORMER THEIR PHONE LIKE I
SAID 80% OF OUR BUSINESS AS
ORDER DIGITALLY WHETHER ITS
LEAD BASED OR MOST YOU KNOW OUR
FASTEST GROWING CHANNEL BEING
APP BASE. EVERYONE KIND OF
KNOWS WHAT THEY WANT TO ORDER
WHEN THEY COME IN AND IF THEY
DON'T THAT THAT THE MENU RIGHT
DOWN THE PHONE.
>> I'M ALSO WONDERING HOW
PAPA JOHN AND SAYS BEING
AFFECTED BY SOME OF THIS
ECONOMIC CLIMATE WE'RE
EXPERIENCING
RIGHT NOW IT CAN BE CHALLENGING
WE HAVE INFLATION AROUND A LOT
OF FOOD ITEMS SPECIFICALLY
THERE'S A
LABOR SHORTAGE. HOW ARE YOU
COPING WITH SOME OF THOSE
CHANGES THAT WE'RE EXPERIENCING
BUT ALSO KEEPING YOUR PRICES
STABLE FOR CUSTOMERS WHO GO TO
PAPA JOHN'S FOR REASONABLE
PRICES.
>> THROUGHOUT THE PANDEMIC
WE'VE ASPIRED TO BE THE
EMPLOYER OF CHOICE IN
OUR INDUSTRY. WE'VE ADDED A LOT
OF BENEFITS FOR EMPLOYEES,
INCLUDING FREE COLLEGE TUITION,
VIRTUAL HEALTH CARE FOREVER.
NOBODY A RETENTION AND ROUGHER
BONUSES TO TO BRING
NEW EMPLOYEES WE'VE HIRED OVER
30,000 PEOPLE IN THE LAST 2
YEARS SO WE'RE ALWAYS LOOKING
FOR WAYS THAT WE CAN DO THINGS
THAT MAKE PEOPLE WANT TO BE A
PART OF OUR BRAND THIS
BRAND IDENTITY AND
REVITALIZATION IS PART OF THAT
IT REALLY IS SIGNALING THAT
PAPA JOHN'S IS AS
A COMPANY. THE CARES OUR FUTURE
CARES ABOUT HOW WE COME
TOGETHER AS TEAM
TEAMMATES ACROSS OVER 3500
RESTAURANTS DOMESTICALLY AND
2200 INTERNATIONALLY AND SO
WE'RE ALWAYS GOING TO TRY AND
MAKE SURE THAT WE'RE TAKING
CARE OF OUR EMPLOYEES FIRST AND
FOREMOST I THINK THAT HELPS US
AS AS
LABOR BECOMES MORE CHALLENGING
TO
COME BY IN TERMS OF THE SUPPLY
CHAIN IN TERMS OF INFLATION ON
THE INGREDIENTS. YOU KNOW WE'VE
WE'VE DONE A LOT WE'VE GROWN A
LOT OF
THE LAST COUPLE YEARS AND WE'RE
VERTICALLY INTEGRATED SUPPLY
CHAIN SO WE WORK WITH OUR
SUPPLIERS TO MAKE SURE WE HAVE
WHAT WE NEED AND THEN WE'VE
BECOME A LOT MORE PRODUCTIVE
WHICH IS YOU KNOW SPREAD OUT
OUR FIXED COSTS WHICH IS IS
ALLOWED US TO CUT OUR COSTS TO
OUR RESTAURANTS WHICH THEN
ALLOWS US TO KEEP OUR PRICES
DOWN.
>> ROB YOU MENTIONED
INTERNATIONAL
LOCATIONS SO I ASK ARE THERE
ANY PLANS IN TERMS OF EXPANSION
INTERNATIONALLY.
>> ABSOLUTELY WE'RE EXPANDING
EVERY DAY WE'RE OPENING A NEW
MORE THAN ONE NEW RESTAURANT.
EVERY RIGHT
NOW SO. WE ARE IN OUR IN OVER
50 COUNTRIES INTERNATIONALLY.
WE WANT TO BE IN OVER A 100
COUNTRIES INTERNATIONALLY WE'RE
WORKING WITH FRANCHISEE
PARTNERS TO BRING OUR BRAND THE
COUNTRIES
LIKE AUSTRALIA AND BRAZIL AND
FRANCE AND JAPAN, OUR BIGGEST
MARKETS OUTSIDE OF THE
U.S. ARE UK CHINA DELAY IS A
BIG MARKET FOR SO WE HAVE WHAT
WE HAVE A LOT OF PENETRATION.
INTERNATIONALLY BUT WE SEE A
LOT OF UPSIDE. SOME OF THAT
WHITE SPECKS.
>> I'M ROB BEFORE WE LET YOU GO
WE MENTIONED A BIT EARLIER A
LOT OF THE GROWTH AND STELLAR
EARNINGS THAT YOU'VE BEEN
SEEING OVER PREVIOUS QUARTERS.
STRONG
3RD QUARTER EARNINGS FOR YOU
BEATING ON BOTH THE TOP AND
BOTTOM LINES. THIS MOST RECENT
QUARTER, YOUR 9TH CONSECUTIVE
QUARTER OF
GLOBAL GROSS. HOW DO YOU PLAN
FOR THE COMPANY TO MAINTAIN A
LOT OF THAT THAT YOU'VE SEEN
INDOOR THROUGH THE PANDEMIC THE
WORDS TODAY AND BEYOND.
>> WHEN I JOINED THE COMPANY
BACK IN
2009.
>> TEAM ONE OF THE FIRST THINGS
WE FOCUSED ON WAS THIS GETTING
CLEAR ON WHAT OUR
STRATEGIC PRIORITIES. WHAT
WE'RE GOING TO FOCUS ON IT WAS
GOING TO MAKE US THE KIND OF
COMPANY THAT WE ASPIRE TO BE
AND THROUGHOUT THE PANDEMIC
THOSE OF
NEVER CHANGE. THEY JUST
ACCELERATE ITS REALLY ABOUT US
BUILDING A CULTURE OF LEADERS
WE BELIEVE IN DIVERSITY
INCLUSION
AND WINNING ABOUT MAKING SURE
WE THE TECHNOLOGY
INFRASTRUCTURE TO BE SUCCESSFUL
IN THE FUTURE. BRING OUR BRAND
A LIFE AND HIGHLIGHTING THE
BETTER
INGREDIENTS STORY AND IMPROVING
OUR UNIT ECONOMICS FOR OUR
FRANCHISEES BECAUSE IF THEY'RE
NOT WINNING CAN'T WIN AND THEN
EXPANDING DOMESTICALLY AND
GLOBALLY. NONE OF THOSE
STRATEGIES CHANGED WE'RE JUST
MORE FOCUSED ON THE MEND AND
ACTUALLY GETTING BETTER AT
DELIVERING AGAINST ALL OF THEM
EVERY DAY.