How Dollar Pizza Stays Afloat
March 7, 2016
Dollar pizza. Two of the best words to a hungry belly on a budget, or more concisely put, an NYU student. But for most, the transactional exchange revolves around ease and convenience rather than concerns of quality and production. There are over 1,000 pizzerias in Manhattan, all with varying levels of taste, flavor, and style. So how does one chose?
CAS sophomore Marisa Alexander cites location and price as her two main criteria when on a quest for her next pie.
“It’s a nice break from New York prices,” she said. This sentiment is unsurprising and felt by many savvy New Yorkers, who understand high prices to be an inevitable aspect
to city life.
But what about the other side of the counter? We talked to a local dollar pizza joint to inquire about how they stay afloat amidst relentless competition. 2 Bros, perhaps the most widely acclaimed dollar pizza chain in the city, has grasped hold of this budget business model, securing a near monopoly in the area. Another notable option is the often overshadowed, Percy’s Pizza on Bleecker and McDougal, right in the heart of Greenwich Village. Unlike the greasy, chaotic ambiance that usually comes with places of this nature, Percy’s takes on a unique and cozy vibe. But what’s their “secret sauce” to maintaining high quality at miniscule prices?
It’s Thursday afternoon and Percy’s Pizza manager Umit Karaman can be seen busily sliding pizzas into their wide-bricked ovens, cleaning the kitchen and preparing the store for the rush hours to come. Because of the store’s low prices, he takes on far more responsibility than the average manager to ensure the overall operations run smoothly.
“To control cost, we can’t hire too many people,” Karaman admitted, but he gladly takes on the extra work, knowing that it is part of what makes the experience special for so many people.
Karaman said that his work days can often add up to 19 hours, spent supervising and working to keep the business top-notch. But even with countless long and draining days, he has never considered raising the one-dollar price.
“We make it all ourselves here, and we know it’s not worth just $1,” Karaman said. “But we want it to be accessible for everyone.”
Perhaps what makes Percy’s unique is the care and forethought put into the customer experience as a whole. Karaman’s mission is to provide low-cost pizza while creating a peaceful and inclusive environment so that anyone can come and enjoy a little sliver of their favorite food.
“I don’t do anything special, I just run an honest business and make good pizza,” Karaman said. “How much money you have in your pocket? That’s all you need.”
A version of this article appeared in the Mar. 7 print edition. Email Riley Goodell at [email protected].
John • Feb 2, 2018 at 12:50 pm
So how does the place stay afloat? I’m guessing it’s something along the lines of high enough volume on low marginal profit margin to cover fixed costs, but can it be explained a little more quantitatively?