Papa Johns International Inc. - Papa: the story of Papa Johns Pizza

When they hate you, dont hate back.

When they talk bad about you, dont talk bad back.

If I lose it all in a roll of the dice, Ill never mention it,

but I will try again twice. May we all develop

the compassion and capacity to love well.

PAPA:
The Story of Papa Johns Pizza

John H. Schnatter

PAPA:

The Story of Papa Johns Pizza

By John H. Schnatter

Copyright 2016 John H. Schnatter

ISBN 978-1-63393-386-6

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any meanselectronic, mechanical, photocopy, recording, or any other, except for brief quotations in printed reviewswithout the prior written permission of the author.

This book represents my story, my opinions and my beliefs. This book is not endorsed by, nor does it reflect the opinions of Papa Johns International, Inc., or any of its affiliated companies.

Published by

210 60th Street

Virginia Beach, VA 23451

800-435-4811

www.koehlerbooks.com

in association with

ML Publishing, LLC

DEDICATION

For my children: Kristine, Danielle and Beau, and grandson Grayson. I love you. This book is to tell them what we did; but more importantly, it is for every young person out there, to show them what they can do if they dream big and work hard.

And to every member of the Papa Johns teampast, present, and future. Together, weve built something incredible. Thank you.

ACKNOWLEDGMENTS

Papa Johns is a great American success story. A lot of people have helped get us to where we are today. Id like to briefly thank some of the most important.

The biggest thanks goes to my Dad, Robert Louis Schnatter, and my Papaw, Louis Erman Ackerson. Papa Johns wouldnt exist if they hadnt taught me so many life lessons, especially how to run a good business. The same goes for Martin G. Schnatterer, who came to America with just the shirt on his back and a work ethic like none other. I wish the three of you had the chance to read this book.

My mother, Beth Ackerson, also deserves the highest praise. She always demanded the best from her kidspretty good never cut it. Work hard and be honest were my Moms two guiding principles. Now I expect the same thing of my own kids, as well as my company. I have always been afraid of letting my mother down. I hope shes proud of what Ive accomplished.

Beyond my family, there are plenty of others who have influenced my own approach to business. Chris Karamesines and the Fondrisi brothers showed me that pizza-making isnt a jobits an art. In their own different ways, they taught me how to make traditional, superior-quality pizzas and run a business that benefits your community. And our suppliers, who continuously work with us to help deliver on our Better Ingredients promise.

I would name the entire Papa Johns team if I could, but there arent enough trees in the world to make that much paper. The only one Ill mention here is Denise Robinson, who has been with Papa Johns since before we even existed. She and I are the two longest-serving Papa Johns team membersthats how steadfast and loyal she is. I name a few dozen other team members who I love and respect in Chapter Six. Again, I wish I could name everyone, but I cant. Just know that I am grateful for all of youit is an honor to work with such talented and principled men and women.

As far as the book itself goes, it took me years of searching before I found a team that could bring my story to life. Stephen Ford writes the way I talk. Andrew Llewellyn helped me gather my thoughts. Melody Ann Weber made the book itself beautiful. Coach John Calipari frequently offered me insights into the book writing process. Aaron Thompson helped get it across the finish line. And plenty of others gave me feedback, edits, and suggestions that took what youre reading to another level.

Finally, Id like to thank my wife, Annette. Shes the only person in the world who can run a Papa Johns store better than I can. Maybe someday Ill catch up to her. After all, as H.L. Mencken said, a man may be a fool and not know it, but not if hes married.

INTRODUCTION:
BETTER BUSINESS, BETTER WORLD

Before Papa Johns was ever a reality, it was an idea.

The idea was that we could use better ingredients to make a better pizza. This realization came to me as a 15-year-old washing dishes in the back of a local pizzeria. Seven years later, this idea inspired me to knock down a wall in a broom closet in the back of my fathers bar so that I could start making my own traditional, superior-quality pizzas. The idea worked well enough that I built a stand-alone pizzeria only a year later. Then I built a second, a tenth, a hundredth, a thousandth, and kept going. Papa Johns hasnt stopped since. It never will.

My story is one of the American Dream. I didnt know what to expect when I made my first Papa Johns pizza in that broom closet 32 years ago. But I did know that a principled business built on a solid foundation could achieve great things and improve peoples lives. I believed we could create a popular pizzeria that kept my family well-taken care of, my team members well-paid and my community well-fed. I believed we could build a win-win-win relationship that left everyone better off. My goal was always to make a real and lasting difference in my hometown of Jeffersonville, Indiana.

What I didnt realize was that a principled business could do so much morethat it could make the world a better place for millions of people far beyond my hometown.

Thats what weve done over the past three decades. Today, Papa Johns International, Inc. is one of the largest pizza companies in the world. As of December 2016, we operate 5,000 stores in over 40 countries and territories, with nearly 100,000 team members at franchise stores and 21,000 at corporate stores and had global system-wide sales of $3.7 billion, with 260 million pizzas sold every year. Every day, 600,000 people walk through the doors of a Papa Johns store or open their front door to find a Papa Johns pizza waiting for them.

But these numbers are only a reflection of what truly makes a difference in the world around us. Papa Johns has succeeded because we make something that people wantsomething that benefits our team members, our customers, our shareholders, our suppliers, our franchisees and many more. Through innovation, respect for others and personal sacrifice, we have created a company that has brought people together and benefited millions throughout the world.

That is what truly matters. The proper role of business is to create jobs, grow wages and give people opportunities they otherwise would not have had.

Any business can do this, big or small. I have a particular fondness for small businessesPapa Johns started in a broom closet, after all. I believe the little guy is at the heart of our entire economic system. Some small businesses turn into larger businesses because they bring tremendous value into peoples lives. Even the ones that stay small continue to provide jobs and joy in their local communities. No matter what form they take, entrepreneurship and innovation are the catalyst of human progress. And anyoneno matter who they are or where they came fromcan contribute to this process if theyre willing to try.