The UK pizza delivery market stands out in the fast-food landscape due to its intense competition, driven largely by consumer price sensitivity and a perception of lower product differentiation. Unlike other segments, pizza players are treading carefully with pricing, a strategy reflected in recent data from Meaningful Vision.
In Q1 2025, QSR pizza prices saw a modest increase of just 2%, significantly lower than the 5% average across the broader QSR category. This restrained price growth for pizza is in contrast to, for example, burger chains, which have been more aggressive in price adjustments, particularly due to fluctuating protein costs. Interestingly, pizza pricing remains largely uniform regardless of topping, further highlighting the industry’s price-sensitive nature.
Delving deeper into pizza delivery menus, price increases vary by item. While pizzas themselves saw a 3% rise, sides, snacks, and drinks only increased by 2%. Smaller pizzas experienced the highest price growth, while larger pizzas saw the least, suggesting strategic pricing to maintain perceived value on family-sized orders.
However, focusing solely on base prices misses the dynamic reality of the pizza market. A medium pizza from major delivery brands like Domino’s or Pizza Hut costs nearly 40% less (£15.50 vs £22) than at casual dining chains. This gap underscores the fundamental reliance on promotions. Meal deals are king, with their share in pizza delivery menus growing from 16% to 20% this year, outpacing other fast-food segments. Crucially, despite inflationary pressures, the average price of pizza meal deals has actually declined by 2%, while in other fast-food meal deals prices grew by 8%.
This deep dive into pricing trends confirms that pizza delivery brands are in a constant battle to offer perceived value. In an environment where every percentage point matters, strategic pricing and a robust promotional calendar are not just advantageous but essential for survival and growth.
Read more on the trends and challenges in the Pizza segment of the Foodservice Industry in our article Why Pizza Chains Face the Toughest Competition in Fast-Food.
