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Prime cost · Pizza

Prime cost benchmarks for pizza

Illustrative — where each sales dollar goes for this format.

Pizza operators typically run a prime cost of 52-60% — labour 25-30%, cost of goods 25-30%. Here is what drives it, and the number worth watching instead.

The bands

Prime cost52-60%COGS + labour ÷ net sales
Labour25-30%Including salaried managers
Cost of goods25-30%Food, beverage, packaging

Low food cost per unit but heavy packaging and delivery commission. Delivery commission placement is the biggest reporting variable.

What to watch instead

Third-party delivery commission — cost of sale or marketing? Different stores choosing differently makes comparison useless.

Why the band is not your target

These ranges are orientation, not management. The benchmark that matters is your own best location, because it already proves what is achievable on your menu, your suppliers and your labour market — and nobody can argue it is unrealistic.

In a twelve-store group measured in August 2026, the group averaged 50.2% prime cost. Underneath that average the best store ran 23.60% and the worst ran 75.84% — same brand, same menu, same suppliers.

Work out what your own spread is worth →

How pizza compares to other formats

Typical prime cost bands by format
FormatPrime costLabourCOGS
Quick service (QSR)55-62%25-30%28-33%
Fast casual58-65%27-32%29-34%
Full service60-68%30-35%28-34%
Pizza52-60%25-30%25-30%
Coffee shop50-58%28-34%20-26%
Bar and pub52-60%24-30%24-30%
Ghost kitchen55-68%20-26%30-38%
Bakery52-62%28-35%22-30%
Sandwich and deli55-63%25-31%28-34%
Juice and smoothie50-60%27-33%22-29%
Food truck50-60%22-28%28-34%
Catering48-60%22-30%26-32%

Before you trust any of these numbers

A prime cost figure is only as good as the hours behind it. If some of your worked hours have no cost attached — because staff clocked in on the POS but were never mapped to a roster record — your labour percentage, and therefore your prime cost, reads lower than reality.

In practice most multi-unit groups sit between 60% and 85% coverage before that is fixed. Check yours free →

Other formats

Quick service (QSR) · Fast casual · Full service · Coffee shop · Bar and pub · Ghost kitchen · Bakery · Sandwich and deli · Juice and smoothie · Food truck · Catering

See your own prime cost, per location

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