FAQs Jump to section
Thank you for your interest in joining PizzaForno as a licensee. As pioneers in the automated pizza vending industry, we are committed to revolutionizing the way pizza is served across North America. Founded just five years ago, our journey has been driven by a passion for innovation and a relentless pursuit of introducing this technology across North America.
Over the years, we've encountered various challenges, but through persistent testing and research, we've successfully addressed these issues, laying a strong foundation for our growth phase. Today, we are excited to offer our new licensees a robust support system backed by extensive resources and research and development.
By partnering with PizzaForno, you are investing in more than just a pizza vending machine; you are joining a groundbreaking first-to-market initiative that is set to redefine the pizza industry.
We acknowledge there's still much to do, and as we continue to expand, your role as a licensee is crucial. Together, we aim to lead the market, making PizzaForno a household name for high-quality, 24/7 pizza across North America.
Questions: Jump to section
What's the ROI on investment? Jump to section
The return on investment (ROI) for a PizzaForno unit depends on several factors. These include the cost of the site—whether you own the property or need to lease space, the electricity costs in your area, which average around $100 per month, and the volume of pizzas sold. Additionally, the purchase price of the machine is lower for multi-unit owners, providing further financial benefits. However, the most critical factor in determining profitability is the location of your unit. Prime locations can consistently sell between 30 to 100 pizzas per day, significantly influencing the ROI. After our initial call, we will provide you with an ROI modeling document. This tool will help you project the potential return on investment for your specific market.
Do you help us find locations? Jump to section
Over the past five years, we have explored and evaluated numerous market segments and locations across North America, gaining valuable insights into which areas yield the best performance. We offer a comprehensive location guide that provides detailed information on which locations to target for optimal results. While we are here to support and guide you in identifying prime locations for your PizzaForno machines, the responsibility of securing the locations ultimately falls to the licensee.
Why are some locations closed or moved? Jump to section
Most of our locations have not closed; they have simply been relocated to more advantageous areas. The flexibility of our concept allows for the machines to be easily moved if their performance doesn’t meet our expected standards. In the early days, we conducted extensive research and development to understand what works best. Now, with this knowledge, we can more accurately predict which locations will perform well and adjust accordingly to optimize success.
How have we improved pizza quality in response to past negative reviews? Jump to section
In response to customer feedback and the variability in pizza quality observed in the early stages of our operation, we have made significant changes to enhance and standardize our product. Initially, pizza production was managed by individual licensees, leading to inconsistent quality across locations. Recognizing the need for uniform excellence, we centralized pizza production in an FDA-approved facility located just outside of Chicago. This strategic shift allowed us to ensure consistent quality at every location.
To further elevate our pizza quality, last year we improved our recipe by increasing the crust weight from 180 grams to 220 grams, enhancing both the volume and the mouthwatering chew that our customers appreciate. We also increased the cheese amount by 50% and upgraded to higher-quality toppings. These enhancements have substantially improved the quality of our pizzas.
The production process itself underscores our commitment to quality. Pizzas are handcrafted in our facility, with all proteins precooked and the crust parbaked to 90% before assembly. After assembly, the pizzas undergo an Individual Quick Freezing (IQF) process that locks in nutrients, ensuring freshness and quality. Each pizza is then individually wrapped, packaged in bulk, and shipped directly to our licensees, ready for vending.
Thanks to these changes, we have observed a dramatic improvement in our reviews, reflecting the enhanced consistency and quality of our pizzas. As a continuously evolving company, we remain dedicated to refining and perfecting our product with each iteration, always prioritizing customer satisfaction and feedback.
Will I be making the pizza? Jump to section
No, as a licensee, you will not need to make the pizzas yourself. Each of our proprietary pizza varieties is expertly crafted at a USA FDA-certified facility outside of Chicago, ensuring high-quality production and adherence to safety standards. Your role will primarily involve receiving shipments and stocking the machines, allowing you to focus on managing and growing your business.
What are the licensing fees (royalty fees)? Jump to section
Originally, our business model included marketing and licensing fees of 5% each, totaling 10%. Initially, we anticipated that digital content marketing would drive significant results. However, we quickly learned that local marketing efforts by the licensees proved much more effective. This understanding led us to adjust our fee structure to better reflect the realities of our business operations. Consequently, we reduced the marketing fee to 1% and the licensing fee to 2%. Our fee structure is transparent, with no hidden charges, ensuring that the process remains straightforward and clear for all our licensees.
How is the machine maintained? Jump to section
The maintenance of the machine is the responsibility of the licensee. Since the pizzas are cooked internally, the inside of the machine remains remarkably clean, minimizing the need for frequent upkeep. The primary responsibility for the licensee is to ensure the machine is regularly stocked with pizzas; it can hold up to 70 pizzas at a time, so the frequency of restocking will depend on sales volume. Aside from occasionally wiping down the machine, it requires minimal maintenance due to its fully automated design.
What support does PizzaForno provide? Jump to section
Our commitment to supporting our licensees begins from the moment of onboarding and extends throughout daily operations. Once a location is secured, our operations team assists with installation, setup, and provides comprehensive training. The team also maintains 24/7 remote access to your machine to provide immediate support when needed. With a 99% uptime rate, our machines are highly reliable. In the rare instance that a part is required, we leverage a network of over 1,000 technicians from our equipment supply brand to ensure prompt service.
Additionally, our licensees benefit from our 24/7 customer service, available at no extra cost. We operate a hotline and a support ticket system that your customers can access around the clock, minimizing your operational responsibilities and allowing you to focus on marketing your unit.
Our machines are equipped with a cashless payment system that supports various payment methods, and our software accurately tracks all transactions. We handle the integration of the payment system and terminals, ensuring that accounting is straightforward. You will receive a detailed financial report at the end of each month. Our efficient monthly profit distribution system ensures that you receive your share of the profits, after all costs and licensing fees are deducted, simplifying the financial management of your operation.
What is the onboarding process? Jump to section
The onboarding process for new PizzaForno licensees is designed to ensure a smooth transition into our network. Here's a step-by-step breakdown:
1. Meet Qualifications: The process begins with a review of your application to ensure you meet PizzaForno's licensing qualifications.
2. Deposit Submission: Once qualified, you will submit the required deposit to officially commence your licensing journey.
3. Machine Construction: Following the deposit, we start the construction and preparation of your machine(s). This phase typically takes about 8 - 12 weeks.
4. Location Selection: Concurrently, you will be responsible for finding and securing a suitable location(s) for the PizzaForno machine(s).
5. Installation and Setup: Our team provides comprehensive support during the installation and setup of the machines at your chosen location(s), ensuring everything is operationally ready.
6. Training: Our operations team offers thorough training on how to operate, stock, and maintain the machine. Additionally, our marketing team provides training, guidance, and marketing assets to help you effectively promote your location(s) within your local area.
This structured approach ensures that you are well-equipped to successfully launch and manage your PizzaForno operations.
Health regulations and permitting, how do we comply? Jump to section
PizzaForno machines are classified as vending machines, which simplifies the health regulation and permitting process. The pizzas remain enclosed within the machine at all times, enhancing compliance ease. Additionally, we offer the services of a third-party provider who can handle all permitting requirements for a fee of $2,000 per location.
Both our team and the machines themselves have undergone a rigorous process to obtain NAMA certification and UL approval. These certifications ensure that our licensees are equipped to serve fresh, high-quality pizzas that meet stringent health and safety standards, providing peace of mind and reliability in operations.