Global Frozen Pizza Market By Crust Type (Thin Crust, Thick Crust, Stuffed, Others), By Type (Non-Veg, Veg), By Toppings (Meat, Vegetables, Cheese, Others), By Size (Large, Regular, Extra-large), By Distribution Channel (Supermarkets/Hypermarkets, Convenience Stores, Specialty Stores, Online Retail, Others), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2023-2033

Market Overview

The global Frozen Pizza market size is expected to be worth around USD 35 billion by 2033, from USD 17.0 billion in 2023, growing at a CAGR of 7.4% during the forecast period from 2023 to 2033.

The market is driven by the changing lifestyles and food preferences of millennials. These frozen products are convenient and have a longer shelf life. This will drive the frozen pizza market growth in the estimated period.

Over the past two decades, pizza has become a popular and iconic dish around the globe. It’s crispy and chewy, with a marinara, cheese, and meat topping. All ages and cultures have loved this. Despite the immense popularity of the dish, the recipe is still quite complicated.

As compared to conventional pizza, frozen pizza can be stored for a longer time. Frozen pizza is also known as half-baked pizza, and it is prepared with yeasted flatbread dough and Vegetable topping.

Key Takeaways

• Market Growth and Projections: The Frozen Pizza market is set to witness substantial growth, reaching an estimated worth of USD 34.7 billion by 2033 from USD 17.0 billion in 2023, indicating a robust CAGR of 7.4%.
• Crust Preferences: Thin Crust pizzas dominated in 2023, capturing over 44.4% of the market share due to their crispy texture. Thick Crust pizzas, offering a heartier base, followed closely behind catering to those seeking a more substantial pizza experience.
• Type and Toppings: Veg Pizzas held the lead with 61.9% market share in 2023, loaded with various vegetable toppings. Non-veg pizzas, featuring meat toppings, appealed to consumers preferring meat-based options.
• Toppings Variety: Meat toppings appealed significantly to meat lovers. Vegetable toppings secured a notable portion, catering to vegetarian preferences. Cheese remained a classic favorite, representing a substantial segment.
• Pizza Sizes: Large-sized pizzas were popular among families or gatherings, capturing a significant market share. Regular and Extra-large pizzas also had their segments, catering to various serving needs.
• Distribution Channels: Supermarkets/Hypermarkets dominated distribution, offering a wide range of pizza varieties under one roof. Online Retail, a growing segment, contributed to market expansion due to its convenience.
• Regional Analysis: North America led the market in 2023, with the US and Canada being significant consumers due to longer shelf lives and popularity. Asia Pacific showed the fastest CAGR at 4.8%, with rising pizza popularity in developing countries.
• Key Players: The market is fragmented with both international and domestic players. Major companies like Nestle S.A., Hansen Foods Inc., and Oetker GmbH offer various options, including gluten-free pizzas.

By Crust Type

In 2023, Thin Crust pizzas dominated the market, holding over 44.4% of the share. These pizzas with their crispy, thin base were the most preferred choice among consumers.

Thick Crust pizzas, known for their doughy and hearty base, followed closely behind, catering to those seeking a more substantial pizza experience.

Stuffed Crust pizzas, offering a surprise filling within the crust, represented another segment, attracting customers looking for a unique twist in their pizza.

Other variations in the market, including gluten-free options, specialty crusts, or unconventional bases, accounted for the remaining market share, catering to diverse tastes and preferences among consumers.

By Type

In 2023, Veg Pizzas took the lead in the market, securing over 61.9% of the share. These pizzas, loaded with various vegetable toppings, were the top choice among consumers.

Non-veg pizzas, featuring a variety of meat toppings like pepperoni, sausage, or chicken, held the remaining market share, catering to those preferring meat-based options for their pizzas.

By Toppings

Meat toppings held a significant market share, appealing to those craving pizzas with pepperoni, sausage, chicken, or other meaty options.

Vegetable toppings secured a notable portion, offering pizzas loaded with veggies like bell peppers, mushrooms, onions, and olives, catering to vegetarian preferences.

Cheese, a classic favorite, represented a substantial segment, featuring pizzas abundant in various cheese types like mozzarella, cheddar, or parmesan.

Other toppings, including specialty options like pineapple, barbecue sauce, or unique combinations, rounded up the remaining market share, offering diverse choices for pizza enthusiasts looking for something different.

By Size

Large-sized pizzas held a significant portion, appealing to families or gatherings, offering a substantial pizza for multiple servings.

Regular-sized pizzas secured a notable market share, catering to individuals or small groups with a standard-sized pizza suitable for a few servings.

Extra-large pizzas represented a smaller yet significant segment, targeting larger groups or those seeking more generous portions, providing ample servings for bigger gatherings or events.

Distribution Channel Analysis

Supermarkets/Hypermarkets dominate, holding a significant share, offering a wide range of pizza varieties, catering to diverse consumer preferences under one roof.

Convenience Stores secure a notable portion, providing quick access to frozen pizzas for on-the-go consumers or those seeking immediate purchases.

Specialty Stores represent a smaller yet significant segment, catering to niche markets with specific or gourmet pizza options, appealing to discerning tastes.

Online Retail, a growing segment, offers convenience and variety, allowing consumers to browse and purchase pizzas from the comfort of their homes, contributing to the market’s expansion.

Other distribution channels, including food service outlets or discount stores, cover the remaining market share, offering additional avenues for purchasing frozen pizzas, and catering to different consumer habits and preferences.

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By Crust Type

• Thin Crust
• Thick Crust
• Stuffed
• Others

By Type

• Non-Veg
• Veg

By Toppings

• Meat
• Vegetables
• Cheese
• Others

By Size

• Large
• Regular
• Extra-large

By Distribution Channel

• Supermarkets/Hypermarkets
• Convenience Stores
• Specialty Stores
• Online Retail
• Others

Drivers

Rising Digitalization and Online Delivery Services Driving the Global Pizza Market Growth

Digitalization has seen large invest in user-friendly websites and mobile applications. These platforms offer customers a seamless ordering experience. They can easily browse menus, select toppings, and place orders from the comfort of their homes or on the go. The convenience of being able to order pizza with just a few clicks or taps has significantly boosted sales for pizza businesses.

Third-party food delivery platforms have emerged as major players in the pizza industry. These apps act as intermediaries, connecting consumers with a vast array of restaurants, including pizza places. For pizzerias, partnering with these platforms extends their reach to a broader customer base, tapping into the growing trend of ordering food online.

The COVID-19 pandemic accelerated the adoption of contactless ordering and payment methods. Customers increasingly prefer touchless transactions. Pizzerias responded by offering options for online payment and contactless delivery. This not only ensured safety during the pandemic but also aligned with changing consumer preferences for minimal physical contact.

Pizzerias thrive on positive reviews and high ratings, which can significantly impact their reputation and trustworthiness. These platforms serve as a valuable source of feedback for both customers and businesses.

Expansion of Franchises Worldwide Driving the Global Pizza Market Growth

Franchise expansion generates employment opportunities within local communities. Each new franchise location typically hires staff for various roles, from cooks to delivery drivers. This job creation not only contributes to economic growth but also stimulates local economies. As more franchises open, more job opportunities are created, which, in turn, bolsters the market’s growth.

Franchising provides aspiring entrepreneurs and investors with a turnkey business opportunity under an established brand. This lowers the barriers to entry into the restaurant industry and encourages individuals to invest in pizza franchises. As more entrepreneurs join the network, the number of franchise locations increases, thereby driving market growth.

• In the United States alone, there are approximately 77,000 pizza restaurants. The significant number of pizza establishments in the U.S. underscores the strong demand for pizza, which plays a pivotal role in the growth of the global pizza industry.
• The number of independent pizzerias increased from 41,573 to 41,879. The growth of independent pizzerias showcases the entrepreneurial opportunities within the pizza market, contributing to its expansion as local entrepreneurs embrace the pizza business.

Restraints

Fluctuations in Ingredients Costs Restrain the Market Growth

Cheese, particularly mozzarella, is a fundamental ingredient in pizza. It’s often the costliest ingredient, and its prices can be subject to fluctuations due to factors like changes in dairy production, global demand, and natural disasters affecting dairy farms. When cheese prices rise, it directly impacts the cost of making pizzas, squeezing profit margins for pizzerias.

This, in turn, can lead to the need for price adjustments, potentially driving away cost-sensitive customers. The price of wheat and other grains used in pizza dough can also vary due to factors such as weather conditions, crop yields, and global commodity markets. Pizzerias depend on a steady and affordable supply of flour and other dough ingredients. When these costs increase, it adds to the overall production expenses.

Tomatoes, in the form of sauces and toppings, are essential for making pizza. The cost of tomatoes and tomato-based products can be influenced by factors such as weather-related crop failures, transportation costs, and import tariffs. Any increase in these costs can lead to higher expenses for pizzerias. Beyond the core ingredients, pizzerias also rely on various toppings and ingredients like meats, vegetables, and herbs.

The availability and prices of these toppings can be affected by factors such as seasonal variations, supply chain disruptions, and agricultural factors. Fluctuations in the cost of toppings can force pizzerias to adjust their menu offerings and pricing. Rising ingredient costs not only affect the cost of goods sold but also drive up operational expenses. Pizzerias need to invest in inventory management systems, negotiate with suppliers, or adapt their menu offerings to mitigate the impact of fluctuating ingredient prices.

Opportunity

Increasing Demand for Convenience Foods Expected to Create Lucrative Growth Opportunities in the Pizza Market

The modern lifestyle is characterized by increased work demands, longer commutes, and a desire for convenience. As a result, people are seeking food options that require minimal time and effort to prepare. Ready-to-eat meals, pre-cut vegetables, and microwaveable dishes cater to this need, making them highly appealing to busy individuals and families.

The ongoing trend of urbanization has led to smaller living spaces and an emphasis on convenience. Urban dwellers, especially in high-cost cities, often have compact kitchens or no cooking facilities at all. This makes convenience foods, such as frozen pizzas, pre-packaged salads, and takeout meals, essential for their daily sustenance.

In a fast-paced world, time efficiency is crucial. Consumers are looking for ways to streamline their daily routines, and this extends to meal preparation. Convenience foods, such as pre-marinated meats, pre-chopped vegetables, and one-pot meal kits, help individuals save time while enjoying home-cooked flavors. Whether due to work commitments or a preference for a mobile lifestyle, many people consume meals on the go.

Portable convenience foods, such as wraps, energy bars, and protein shakes, have become staples for those who eat while commuting, traveling, or simply juggling a busy day. The advent of food delivery services and apps has revolutionized the way people access ready-made meals. Consumers can now order restaurant-quality food from the comfort of their homes, from pizzas and burgers to gourmet cuisine. This convenience-driven market caters to those who desire high-quality meals without the effort of dining out.

Trends

Preference for Gluten-Free Pizza is on Rise

As health awareness continues to grow, more consumers are seeking alternatives to traditional wheat-based products. Gluten-free pizza caters to individuals who want to reduce their gluten intake or have specific dietary restrictions. Celiac disease is an autoimmune disorder triggered by the consumption of gluten.

With increased awareness of this condition, there is a greater need for gluten-free food options, including pizza, to accommodate individuals with celiac disease. The food industry has responded to this demand by offering a wider variety of gluten-free products, including pizza crusts made from alternative flours like rice, almond, tapioca, or cauliflower.

This expansion has allowed consumers more choices in both restaurants and grocery stores. With the rise of vegetarian, vegan, and other specialty diets, offering gluten-free options aligns with the broader trend of providing diverse menu choices to accommodate different dietary needs and preferences.

Geopolitical Impact Analysis

Geopolitical Tensions Significantly Disrupted the Growth of the Pizza Market Owing to Fluctuations in Currency and Supply Chain Activities

Geopolitical tensions can disrupt the supply chain of essential ingredients used in pizza-making, such as wheat (for dough), tomatoes (for sauce), and cheese. Conflicts or trade disputes in key producing regions can affect the availability and cost of these ingredients, impacting pizza prices globally.

Geopolitical events often lead to significant currency fluctuations. For instance, if the currency of a major pizza ingredient exporting country weakens, it may lower the cost of importing those ingredients, benefiting pizza markets in other countries.

Conversely, a stronger currency can make imports more expensive, affecting prices. Geopolitical tensions can influence consumer behavior. For example, in times of uncertainty or economic hardship, individuals might opt for more affordable dining options, potentially boosting the pizza market.

Alternatively, consumer boycotts against products from specific countries due to geopolitical reasons can negatively impact the market. Geopolitical events can lead to new regulations impacting the food industry. For instance, stricter food safety laws in response to international health concerns can increase production costs for pizza manufacturers.

Geopolitical tensions can affect labor markets, influencing wages and labor availability in the food sector, including pizza production and distribution. The global pizza market is influenced by a complex web of geopolitical factors, ranging from supply chain dynamics and trade policies to consumer behavior and cultural exchanges. These factors can either pose challenges or create opportunities for the pizza industry in different parts of the world.

Regional Analysis

North America was the largest frozen pizza market, with a frozen pizza market share exceeding 35.6% in 2023. Canada and the United States are the biggest consumers of frozen pizzas due to their longer shelf lives and popularity.

Alto-Hartley Inc., an American kitchen equipment and installation company, estimates that more than 3000 million pizzas were sold in the United States in 2018. These key trends drive the consumer demand for the product in the regional market.

Asia Pacific will see the fastest CAGR at 4.8% between 2023 and 2032. The frozen pizza market revenue is expected to experience a significant market growth rate due to the rising popularity of pizzas across developing countries such as Bangladesh, the Philippines, India, China, and Saudi Arabia.

Note: Actual Numbers Might Vary In Final Report

Key Regions and Countries

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Spain
  • Rest of Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Rest of Asia-Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• MEA
  • GCC
  • South Africa
  • Israel
  • Rest of MEA

Key Players Analysis

The market is fragmented, with a wide range of international and domestic players. Major players hold substantial market frozen pizza market share shares in North America, Europe, and parts of Asia. Major players in the market offer a variety of gluten-free pizzas due to the rising demand for convenience food products. Consumers also prefer pizzas with vegetable topping as the main, providing a lot of nutrition.

The major companies in the frozen pizza market are Nestle S.A., Hansen Foods Inc., One Planet Pizza, Alto-Hartley, Inc., Oetker GmbH, Freiberger Lebensmittel Gmbh Co, Palermo Villa, Conagra Brands Inc., Kitchen Inc., Bellisio Foods Inc., Newman’s Own Inc., Amy’s Kitchen Inc., Daiya Food Inc., Lebensmittel Gmbh Co, Nestle SA, Hansen Foods, Inc., Hansen Foods LLC(US), McCain Foods Limited and others.

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• Bellisio Foods Inc.
• Hansen Foods Inc.
• Nestle S.A.
• One Planet Pizza
• Daiya Foods Inc.
• McCain Foods Ltd.
• Oetker GmbH
• California Pizza Kitchen Inc.
• Atkins Nutritionals
• Freiberger Lebensmittel GmbH

Recent Development

In September 2022, Dr. Oetker Poland, a dominant multinational FMCG company, announced that they have collaborated with Violife, an innovative vegan cheese company, to launch a plant-based pizza. The indigenous plant-based pizza from Dr. Oetker will contain mildly spicy tomato sauce, mushrooms, green pepper, tomatoes, and the signature cheddar flavor cheese from Violife.

Report Scope