Greggs eyes up dinner trade following growth from late pizza sales

Greggs has reported its evening sales are growing faster than overall average sales.

The food-to-go retailer pointed to its dedicated pizza deals which are driving later trade, including an offer of a slice of pizza and a cold drink from £2.85 after 4pm (prior to 4pm the price is £3.50).

Customers are also buying its ‘Pizza Box Deal’, which consists of a new four-slice pizza sharing box from £6.50.

The operator said it sees later trade bolstering its strategic growth, along with delivery which now represents 6.7% of shop sales in the first half of 2024, up from 5.3% in 2023.

The company also reported that the Greggs App has continued to capture customer transactions, with 18.3% of orders scammed via the app as part of its loyalty programme.

Roisin Currie chief executive of Greggs stated: “Over the long term we believe that the evolution of our menu and the extent of our suburban shop estate offers a significant opportunity to grow our share of both the walk-in and delivery evening markets.”

The high-street operator hit 30 net new shop openings in the first half of the year and currently has 2,524 shops trading. It stated it is on track to achieve 140-160 net new shop openings n 2024.

Total sales for the first half of the year ended 29 June were up 13.8%, with like-for-like sales up 7.4%. Meanwhile underlying profit before tax increased 16.3% to £74.1m.

“Greggs has made good progress in the first half of the year, further broadening our range of on-the-go food and drink whilst making the brand more accessible to more customers,” added Currie. “We remain optimistic about the many opportunities available to Greggs and are encouraged by the continued strong execution of our strategic plan, evidenced by our success in driving volume growth whilst also building capacity for the future.

“Our success is founded on the exceptional value that Greggs offers to customers looking for food and drink on-the-go and the fast and friendly service delivered by our colleagues. Our cost outlook for 2024 remains unchanged and we continue to trade in line with our plan. Whilst uncertainties remain, the board’s expectations for the full year outcome are unchanged.The board remains confident in the long-term growth strategy, and we are investing to support that growth.”