Papa John’s Price Increase Is Not ‘Because Of Obamacare,’ CEO Pledges To Pass Costs On To Consumers

COMMENTARY | Papa John’s price increase has become a political dispute in recent days, as the company’s CEO has threatened Americans who live in localities with apparently sucky pizza with a several-cents per pie increase… blaming the president and his controversial Obamacare act for their pricing policies.
At the heart of the Papa John’s price increase debate is an issue everyone where I live (New York) takes very seriously: really, really really really bad pizza. And Papa John’s pizza, whether the price increases or not, is some of the worst in the nation.
But I get it, I do, about the Papa John’s price increase — not everyone has DiFara or Grimaldi’s in their backyard to get a truly decent pie or slice, and you’re dependent on whatever pineapple-laden monstrosity Papa John’s is shilling for your pizza fix.
So Papa John’s CEO has discussed the impending price increase, as we reported earlier. John Schnatter — whose name, I should point out, does not sound Italian at all — has threatened pizza-loving Americans (we are using the term pizza here quite loosely) ahead of the election that the costs of expanded access to healthcare will work out to be roughly ten to eleven cents per pizza, saying:
“Our best estimate is that the Obamacare will cost 11 to 14 cents per pizza, or 15 to 20 cents per order from a corporate basis. We’re not supportive of Obamacare, like most businesses in our industry. But our business model and unit economics are about as ideal as you can get for a food company to absorb Obamacare.”
Did we mention Schnatter supports and fundraises for Mitt Romney? Just throwing that out there. And what you should know, via Mediate, is that Schnatter has also said:
“If Obamacare is in fact not repealed, we will find tactics to shallow out any Obamacare costs and core strategies to pass that cost onto consumers in order to protect our shareholders best interests.”
Well, if I ate that suck-tastic excuse for pizza, I’d certainly feel like I wanna give that guy my money. Anyway, here’s where the Papa John’s price increase contention falls apart — unless every pizza joint across the great United States of America, from sea to shining sea, is jacking up prices, this is not because of Obamacare.
Think about it. When has a big national chain every not used any convenient excuse to wring more money out of you and blame something like weather or the government?
You can continue patronizing Papa John’s after the price increase, or you can go to your local pizza joint and enjoy a likely-to-be-better pizza, politics free. Heck, even Domino’s and Pizza Hut is letting you decide who you want to vote for without holding their wares over your head as a political bargaining chip.
Do you think the politics in fast-food like the Papa John’s price increase is getting out of hand?








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Aug 8, 2012
The President still blames GWB for the very high unemployment that has gone on longer than after WW2.
1. http://weaselzippers.us/2012/08/08/obama-blames-state-and-local-governments-congress-for-14-1-black-unemployment/
2. http://www.youtube.com/watch?v=CCN5-ovvFL0
Aug 8, 2012
I only go to Papa John's when it's free via Tampa Bay Rays sponsorship offers… I'd never pay for pizza that taste like garbage.
Aug 8, 2012
Is this article about Papa Johns or a way for you to attack Romney? Should I boycott George Clooney movies due to his Obama fundraising? You are the worst Journalist I have ever come across. What self respecting Journalist uses "shitty" in an article? Your bias is evident by your desire to attack anything Romney related. People can buy their pizza where they choose, not everyones tastes are the same. Grimaldis isn't even good in my opinion. In short, you suck as a journalist and by your article as a person as well.
Aug 8, 2012
You're a moron.
Aug 8, 2012
I used to order from Papa John's pizza until I read this article. I live in an area without much delivery competition. Since I read this I REFUSE to ever order another pizza from this sucky chain. You will never taste like a good pizza pie should taste and the only reason I ordered it was because it was a cheap eat. Truth is you get what you pay for. I do not want my money going to support $hitt Romney and his rich rule the world agenda. OBAMA 2012
Aug 8, 2012
At 320 calories a slice, I'll pass.
Aug 8, 2012
Well Mr. Schnatter – you may just make me quit buying from Papa John's. It's getting tough: the Godfather's founder (Cain) is an idiot, and the Domino's guy is a mega-anti-abortion activist.
Aug 8, 2012
ridiculous!
Aug 8, 2012
So..its too much for you to be a good corporate citizen and provide health care to your employees? How many of your "Shareholders" live without insurance?
Aug 8, 2012
Wow, this race is getting out of control, Papa Johns all I can say is "Big Mistake, BIG MISTAKE".
Aug 8, 2012
You need to find a new job if you're going to bitch over eleven cents. Nobody bitches about the 25 cent increase we've seen on compressed air at gas stations. Those went from 75 cents to a Dollar! OMG Holy S#*t! I guess if it doesn't have to do with politics then it doesn't make you anymore famous then huh? Wait…did I say famous? I meant to say broke ass bitch that works from home in his PJ's and writes about stuff that doesn't mean $hat! Get a real job idiot.
Aug 8, 2012
Between Papa John's, Chik-fil-A, Godfather's Pizza, and Domino's, maybe it really is time to stop ordering out 5-6 times a week and actually learn to cook food ourselves. It's brutally easy and, in the long run, cheaper. It also gives consumers an opportunity to support local farms (I buy a lot of ingredients at farmer's markets from people who come from Lancaster County, PA). It will also reduce the fatassyness of our citizens, which will ultimately reduce the cost of Obamacare.
Aug 8, 2012
I knew I liked Pizza Hut for a reason.
Aug 8, 2012
This isn't about the 11 cents moron.
And air has gone from 25 cents to a dollar in the last 12 years or so.
Aug 8, 2012
Glad you do Trevor! The founders of Pizza Hut are big donors to the GOP. Eat up my small minded friend!!
http://www.thedailybeast.com/articles/2011/09/25/herman-cain-other-pizza-moguls-give-far-more-money-to-gop-than-to-dems.html
Aug 8, 2012
I stopped buying from papa johns years ago, after they refused to deliver to my new old home in a revitalized area of town..
Aug 8, 2012
finally someone with a brain wrote a good article about why this papa johns thing is BS.
Aug 8, 2012
There must be a second article then. This article is less about PJS and more about promoting a political agenda. The author doesn't need a brain for that.
Aug 8, 2012
But it is okay to fund all these wars all over the world, INSTEAD of focusing on Americans' needs, whatever it is. I pity America if Romney gets elected as I do KNOW for a fact that we WILL have more wars, get more moola in those rich people's pockets, and on and on.
It is NO wonder Dubya Bush is NOT campaigning for Romney because then it will help further educate people about HIS Republican failures while he was president. Have people really forgotten HOW we got into this Great Recession when we were losing hundreds and hundreds thousands job PER MONTH. Yes, per month. And people BLAME Obama? You all need to look at this very dysfunctional Congress, who by the way is on a 5 weeks vacation, who is not even "worried" about this financial cliff looming just around the corner…..
Aug 8, 2012
davefm5
Why exactly am I "small minded"? For not knowing every pizza chain that gives to the GOP?
Fuck you're an idiot.
Aug 8, 2012
No one forgot, Bush isn't running for office.Obama was given full reign for two years with a democratically controlled congress with free reign to pass legislation and get us out of the "great recession" as you call it. He promised he would, and it didn't happen. So, bush is gone what the excuse?
Aug 8, 2012
davefm5
Oh… and P.s. Moron… The founders of Pizza Hut no longer own Pizza Hut.
Aug 8, 2012
I wouldn't eat it if it was free. That would just make it free cancer.
Aug 8, 2012
Ugh, Lancaster food, NOW I'M HUNGRY.
Aug 8, 2012
ummmm duh? that would be the whole point. is that papa johns is using its political agenda to raise its prices. it has absolutely nothing to do with the healthcare reform which they are blaming it on.
Aug 8, 2012
oh no!
Aug 8, 2012
Trevor Gowe PS I know dickhead! That's why they are founders and not current owners or CEOS. PS, you're just pissed because you did not know that. Maybe you should research Pizza Huts PAC contributions before flapping your gums fool. They are current and not just founders.
Aug 8, 2012
Ah, the things an recovering cosmetic sniffer can complain about! Nobody forces anyone to buy Papa John's pizza. The consumer will ultimately decide whether this company will live or die on its own. If the 11 cent difference is going to offend a potential customer, or break their budget: save money, EAT AT HOME! Speaking of who contributes to whom, remember, Jeff Immelt, the guy Obama tapped to head his jobs council? HE runs GE! GE sent its medical imaging manufacturing to China, costing many Americans their jobs. GE is also one of the top 10 contributor to Obama and other democrat campaigns. GE pays no corporate income tax! The head of the largest tax law department in America, the.one at GE, lead the US treasury Tax department during Clinton Administration.
Aug 8, 2012
No it isn't. it's an excuse to attack Romney. People raise their prices all the time. They are simply telling people why the prices will be higher.
Aug 8, 2012
So the guy was honest that he was going to pass the additional costs onto the consumer. Get over it. EVERY business tries to pass additional costs onto the consumer. If something costs more to make, they try to raise prices to maintain their profit margin. Business 101.
Aug 8, 2012
wow, way to show 'em dumb ass. way to put your foot down for socialism by not stuffing your pie hole.
Aug 8, 2012
How is it BS? If costs increase then prices must go higher. Papa Johns cant just print money like the Federal Government to pay its bills.
Aug 8, 2012
Yes, try and save face in light of your ignorance. Pizza Hut (current not founders) have a PAC which donates a lot to the GOP. So Moron, again eat up.
Aug 8, 2012
Maybe they had the safety of their employees in mind.
Aug 8, 2012
are you guys idiots? This is the last reply im making on this if you cant understand then sorry for you. This isnt an attack on romney this article is shedding truth on a freaking lie. papa johns is raising prices to give more fundraising to romney under the disguise of blaming healthcare. I dont give a shit about either politician. The point is what papa johns is doing and claiming its doing are 2 different things. Its a freaking scam and thier pizza sucks anyway. Maybe john should take the money hes funneling to romney and actually get healthcare for the people who make his company what it is…his employees/
Aug 8, 2012
Go eat some more chick-fil-a retard
Aug 8, 2012
@Matt, so you ate garbage, buddy!
Aug 8, 2012
Happy Birthday Delia!!!!!!
Aug 8, 2012
Happy Birthday Delia!!!!!!
Aug 8, 2012
Wow. Great comeback you fucking idiot. Since you're the dipshit with a chick-fil-a cup on your desk your statement is beyond absurd.
Are you really that fucking stupid Chase that you can't comprehend how this article is NOT about the 11 cents?
Aug 8, 2012
Wow. Great comeback you fucking idiot. Since you're the dipshit with a chick-fil-a cup on your desk your statement is beyond absurd.
Are you really that fucking stupid Chase that you can't comprehend how this article is NOT about the 11 cents?
Aug 8, 2012
Oh and your post is still there you inbred Texas fuckstick. You're apparently just too stupid to use a computer.
Aug 8, 2012
Almost always.
Aug 8, 2012
The point to take away is that the cost of everything you buy from a retailer, is going to have to go up to cover compliance with Obamacare. One pizza, not too much, they make millions of those a day.
Larger purchases they can't whip up in ten minutes, youre talking a huge cost.
Over the expanse of the entire economy, you can forget anybody having more money in their pocket to inspire expansion and hiring. Obama is an economic DUNCE!
Aug 8, 2012
Man I hate these price increases. I guess Ill look for more deals online then such as this one – http://www.papajohnsfreepizza.com.
Aug 8, 2012
Socialism??? Way to show who the real dumbass is….YOU!
Aug 8, 2012
I gotta say too Chasey… those are the shittiest fucking tattoos I've ever seen.
Aug 8, 2012
GREAT article! Honestly, I feel like the hike he is threatening is equal to what you would expect from inflation anyway.
Aug 8, 2012
Not the point… logic 101.
Aug 8, 2012
Not trying to save face dipshit… simply stating the truth… while you on the other hand are lying to save face. Pizza Hut's current owners are stock holders you fucking idiot. And it's parent company PepsiCo supports gay rights and other liberal positions. Try again dumbass.
Aug 8, 2012
Not trying to save face dipshit… simply stating the truth… while you on the other hand are lying to save face. Pizza Hut's current owners are stock holders you fucking idiot. And it's parent company PepsiCo supports gay rights and other liberal positions. Try again dumbass.
Aug 8, 2012
Not trying to save face sport… simply stating the truth… while you on the other hand are lying to save face. Pizza Hut's current owners are stock holders tiger. And it's parent company PepsiCo supports gay rights and other liberal positions. Try again champ.
Aug 8, 2012
your a sheep
Aug 8, 2012
Yeah you are. You were shooting your mouth off without having done the research. Papa Johns is also a "stock holder" company there rainman. Listed on NASDAQ under PZZA. the only liar and moron here is you.
Aug 8, 2012
Im with trevor on this one i think you're the one who is the idiot if you don't see the actual problem along with the point of the article.
Aug 8, 2012
Better prices at Dominoes.
Aug 9, 2012
Exactly Susan, Employers in the US have had it was to easy, look at McD.
Aug 10, 2012
Thanks Sis in Law!
Aug 10, 2012
The status quo of greedy CEOs is being threatened so they take it out on customers? How petty and manipulative can a corporation be? I will take my pizza (from somewhere else) WITHOUT the politics please. Up yours Papa John.
Aug 10, 2012
He's just a crybaby! Every time they make changes they expect everyone to shut the hell up but when others make changes its…"Whaaaaaaaaa!" Besides, I tasted better!
Aug 10, 2012
Businesses aren't in existence to be good corporate citizens but to make enough profit to meet their bottom line. It wont just be Papa John's passing the increase on to the consumer, nor will it only be in the food industry. It's going to be every company with 50 or more employees, both big and small, passing on the higher cost of trying to meet the obligation of furnishing Obamacare to their employees. It's not going to be just another 11 to 15 cents here and there nor will it amount up to just normal inflation, everything you consume be it food or a new car, or even a used vehicle we'll be paying higher costs because of ObamaCare.
Aug 10, 2012
Businesses aren't in existence to be good corporate citizens but to make enough profit to meet their bottom line. It wont just be Papa John's passing the increase on to the consumer, nor will it only be in the food industry. It's going to be every company with 50 or more employees, both big and small, passing on the higher cost of trying to meet the obligation of furnishing Obamacare to their employees. It's not going to be just another 11 to 15 cents here and there nor will it amount up to just normal inflation, everything you consume be it food or a new car, or even a used vehicle we'll be paying higher costs because of ObamaCare.
Aug 11, 2012
davefm5 Please tell me how we are supposed to get out of a recession that took EIGHT years to create in only TWO years!!! Gotta be realistic people!
Aug 12, 2012
this guy is what is wrong with america…. stupid people that dont know they are stupid