{"id":183810,"date":"2025-11-12T11:35:14","date_gmt":"2025-11-12T11:35:14","guid":{"rendered":"https:\/\/teknomers.com\/en\/the-company-is-struggling-in-the-market-it-created\/"},"modified":"2025-11-12T11:35:16","modified_gmt":"2025-11-12T11:35:16","slug":"the-company-is-struggling-in-the-market-it-created","status":"publish","type":"post","link":"https:\/\/teknomers.com\/en\/the-company-is-struggling-in-the-market-it-created\/","title":{"rendered":"The Company is Struggling in the Market It Created"},"content":{"rendered":"\n<div>\n<p>The first time I ordered food at home, it was from Telepizza. It may have also been your first choice, as in the nineties, Telepizza was synonymous with the perfect hangout plan for watching football or movies. Back then, they faced no competition. Fast forward to today, and the landscape has dramatically shifted, leading to serious doubts about the company\u2019s viability.<\/p>\n<h2>Debt, Restructuring, and Losses<\/h2>\n<p>According to a <a rel=\"noopener, noreferrer nofollow\" href=\"https:\/\/www.merca2.es\/2025\/09\/09\/telepizza-crisis-desaparicion-2228738\/\" target=\"_blank\">PricewaterhouseCooper audit published in Merca2<\/a>, Telepizza reported a staggering loss of over 48 million euros in 2024, alongside a total debt of 150 million euros. The company had anticipated a turnover of 300 million euros but only achieved 249.9 million\u2014a shortfall of 18%. Additionally, expenses escalated to 18.6 million euros in the same period.<\/p>\n<p>Spain remains the company&#8217;s strongest market, accounting for 60% of its income, yet it also bears the most significant losses, nearing 25 million euros. As PwC pointed out, there are &#8220;material uncertainties regarding the continuity of the business,&#8221; a warning that has been echoed in previous audits.<\/p>\n<h2>Telepizza and the Delivery Boom<\/h2>\n<p>The food delivery landscape has transformed radically over the past few years. Telepizza no longer regulates the market it once established; instead, it is now surrounded by a saturated ecosystem filled with numerous, often superior, options. Between 2019 and 2022, the delivery market in Spain doubled, reaching 5 billion euros, and is expected to grow to 6.6 billion in 2023. While the major delivery operators grapple with instability, Telepizza finds itself overshadowed by the reality of competition from hundreds of thousands of restaurants.<\/p>\n<p>Furthermore, pizza has fallen out of favor. According to <a rel=\"noopener, noreferrer nofollow\" href=\"https:\/\/www.dbk.es\/es\/detalle-nota\/comida-rapida-domicilio-2025\" target=\"_blank\">DBK data<\/a> from 2024, hamburger restaurants captured 61% of the market share, with pizzerias witnessing a 1.8% decline in turnover. Entering the delivery model further complicates matters, as it typically involves ceding a third of income to commission fees\u2014 which is unsustainable for Telepizza in its current predicament.<\/p>\n<h3>The Shift to Digital<\/h3>\n<p>In light of these challenges, Telepizza has turned its focus to promoting orders via its app and website. Recently, they celebrated a minor victory: they became the pizza brand with the highest number of users on their app, reaching 1.8 million monthly users. However, this pales in comparison to their competitors; Burger King and McDonald&#8217;s boast 4.7 million and 4.5 million app users, respectively.<\/p>\n<p>While Telepizza&#8217;s strategy aims to bolster relationships with loyal customers, it risks becoming invisible to potential new customers distracted by numerous competing pizzerias on delivery platforms.<\/p>\n<h2>The Final Chapter of a Long History<\/h2>\n<p>To comprehend Telepizza&#8217;s current plight, one must look back to the company&#8217;s beginnings. After a <a rel=\"noopener, noreferrer nofollow\" href=\"https:\/\/elpais.com\/diario\/1996\/11\/11\/economia\/847666809_850215.html\" target=\"_blank\">spectacular IPO in 1996<\/a>, the company&#8217;s trajectory changed when its founder <a rel=\"noopener, noreferrer nofollow\" href=\"https:\/\/elpais.com\/diario\/1999\/10\/23\/economia\/940629618_850215.html\" target=\"_blank\">sold his stake<\/a> just before the dotcom bubble burst. This marked the shift towards treating Telepizza as a financial asset, which steadily degraded its valuation.<\/p>\n<p>In contrast, its main rival, Domino&#8217;s Pizza, has enjoyed a stable growth trajectory and is financial sound, evident from its market performance. Venture capital has drained Telepizza&#8217;s resources, leaving it without operating margins for years and putting its future at risk. Ultimately, the lesson here is that successful brands prioritize their core business over transient financial maneuvers.<\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/teknomers.com\/category\/general\/\" rel=\"dofollow\">General News &#8211; 2<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The first time I ordered food at home, it was from Telepizza. It may have also been your first choice, as in the nineties, Telepizza was synonymous with the perfect hangout plan for watching football or movies. Back then, they faced no competition. Fast forward to today, and the landscape has dramatically shifted, leading to [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":183811,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36399],"tags":[541,2103,1857,3294],"class_list":["post-183810","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology","tag-company","tag-created","tag-market","tag-struggling"],"_links":{"self":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/183810","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/comments?post=183810"}],"version-history":[{"count":0,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/183810\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/media\/183811"}],"wp:attachment":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/media?parent=183810"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/categories?post=183810"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/tags?post=183810"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}