Founding and Early Years
Papa John’s Pizza was founded in 1984 by John Schnatter, also known as “Papa John.” The company’s origins are quite humble, starting in a broom closet at the back of his father’s tavern in Jeffersonville, Indiana. To fund his pizza venture, Schnatter sold his beloved 1971 Camaro Z28 and used the $1,600 to purchase second-hand pizza equipment. He began selling pizzas to the tavern’s customers, and his delicious, high-quality pizzas quickly gained popularity.
Expansion and Growth
By 1985, Schnatter opened the first official Papa John’s restaurant next to the tavern. The brand’s commitment to using better ingredients and making better pizza quickly resonated with customers, and the business grew rapidly. In 1986, Papa John’s began franchising, which allowed the brand to expand its footprint significantly.
The 1990s were a period of explosive growth for Papa John’s. The company went public in 1993, raising $12 million through its initial public offering (IPO). This financial boost enabled Papa John’s to expand into new markets, including Atlanta, Orlando, and Charlotte. By 1994, the company had opened its 500th store, and by 1995, Business Week named it the nation’s best-run small business.
Innovations and Milestones
Papa John’s was a pioneer in the pizza industry, becoming the first national pizza chain to offer online ordering to all its U.S. customers in January 2002. This innovation set a new standard for customer convenience in the fast-food industry.
The brand also made strategic partnerships and sponsorships to enhance its visibility and market presence. In 2006, Papa John’s became the exclusive pizza provider for Six Flags amusement parks and the title sponsor of the PapaJohns.com Bowl, a college football bowl game, through 2010.
Challenges and Controversies
Despite its success, Papa John’s faced significant challenges, particularly involving its founder. In 2018, John Schnatter resigned as chairman of the board following controversial comments during a conference call. His departure led to significant changes within the company’s leadership and branding strategy. The company sought to distance itself from Schnatter, who had been the face of the brand for decades.
In the wake of these events, NBA Hall of Famer Shaquille O’Neal joined Papa John’s board of directors and became a spokesman for the brand in 2019, helping to revitalize the company’s image.
Recent Developments
In the 2020s, Papa John’s continued to innovate and expand. The company announced plans to establish a new headquarters in the Atlanta metropolitan area in 2020 while retaining its original headquarters in Jeffersontown, Kentucky. In 2021, the brand underwent a rebranding, simplifying its logo and updating store designs to reflect a more modern image.
Additionally, Papa John’s has expanded its global footprint, with over 5,199 establishments worldwide, including significant growth in markets like Spain and Poland. The company also responded to global events, such as suspending operations in Russia in 2022 due to the Russian invasion of Ukraine.
From its modest beginnings in a broom closet to becoming a global pizza powerhouse, Papa John’s has experienced remarkable growth and transformation. Despite facing challenges and controversies, the brand’s commitment to quality and innovation has helped it maintain a significant presence in the competitive pizza industry.