Franchise News Release: Columbus, OH - (Jan-28-2003)


Donatos Pizzeria's First Restaurant Outside the United States Exceeds Expectations


Donatos Pizzeria's first international Restaurant in Munich, Germany, has exceeded projections just two months after its opening with initial sales results at the Munich Donatos Pizzeria showing customer counts far beyond expectations and repeat business holding strong. The Munich Donatos Pizzeria, opened as a full-service concept, is patterned after the successful and industry award-winning U.S. pizzeria model in which patrons dine on high-quality pizzas and oven-baked subs. This pizzeria model has taken Donatos Pizzeria from a family business to one with nearly 200 restaurants in the United States.

For the past two years, Donatos, along with its parent company, McDonald's, have researched and planned for a European expansion of its pizzeria concept. With pizza sales in Germany reaching $5 billion each year and a growth rate of 6 percent in each of the last five years, a German location promised to be a viable choice for the first Donatos Pizzeria. In addition, pizza quality in Munich is inconsistent and there are very few chain restaurants in operation. Coincidentally, McDonald's opened its first outlet in the Bavarian capital more than 30 years ago.

Donatos' Executive Chairman and Founder, Jim Grote, says the Munich opening is symbolic of how its relationship with its parent company is helping Donatos Pizzeria expand globally. "Through our relationship with McDonald's and its knowledge of markets outside the U.S., we are able to bring great pizza to the people of Munich," says Grote. "Additionally, I think that we are able to bring fun and rewarding jobs to the city as well as a unique and successful philosophy that's founded on treating others like you want to be treated."

According to Donatos' Germany Chief Executive Officer Hermann Riedl, the company is very excited about plans for both Munich and Germany as a whole. "At this point, we see that the people of Munich are responding very positively to the Donatos Pizzeria concept," says Riedl. "They've shown their support for the high quality, Edge-to-Edge® pizza, some even waiting outside in the rain for hours to get a seat in our restaurant. Therefore, we are very optimistic about the future of Donatos Pizzeria in Germany."

In addition to his CEO responsibilities, Riedl is a qualified cordon bleu chef with experience in both gourmet and fast-food restaurants. "Based on my experience, the Donatos Pizzeria philosophy and product are far and away the best that Germany has seen or eaten in this segment. I have no doubt that Donatos Pizzeria will be a hit in Germany for a long time to come."

According to both Grote and Riedl, there are several key differences between Donatos' pizza and its German competition. First, Donatos Pizzeria pizzas are made with both dough and pizza sauce from an original recipe by the Grote family. Then, each pizza is topped with ingredients from Edge-to-Edge® as well as naturally aged provolone and mozzarella cheeses, allowing for a perfect bite, every time. Additionally, with processes, procedures and equipment unique to the industry, the quality and consistency of Donatos Pizzeria pizzas are constant so customers have the same great experience each and every time they come to Donatos.

In addition to serving great pizza and subs, Donatos Pizzeria in Munich makes it easy for its customers to enjoy their meal through three dining options (dine-in, delivery and take-away) as well as a fourth option for convenience (drive-up window). Unique to Donatos in Germany is the use of special vehicles to reach patrons living in heavily congested areas. E-bikes, a combination of bike and scooter with an electric motor, specially developed for Donatos, will allow for fast and efficient delivery (weather permitting), an option not offered by other pizza restaurants in Germany.

"Pizza is by far the most popular meal in Germany," says Riedl. "Once people try Donatos Pizzeria, they've demonstrated that they will come back, again and again, to get the same high-quality pizza every time."

Donatos Pizzeria, founded in 1963 by Jim Grote and headquartered in Columbus, Ohio, has approximately 200 stores and 5,000 employees in seven states and in Munich, Germany. Donatos' menu includes a selection of award-winning pizzas, oven baked subs, salads and appetizers.




 

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