Franco Manca Scales Back with 16 Restaurant Closures Amid Market Pressures
Franco Manca, the popular sourdough pizza chain that began in Brixton Market in 2008, is set to close 16 of its outlets through a company voluntary agreement (CVA), an insolvency process that could affect approximately 225 jobs. This move marks a significant contraction for a brand that once expanded to over 70 sites across the UK, raising questions about the sustainability of the sourdough pizza trend in a challenging economic climate.
The Rise and Challenges of a Pizza Pioneer
When Franco Manca first opened, it quickly gained a cult following for its competitively priced, slow-fermented sourdough pizzas, offering a sophisticated alternative to mainstream fast-food chains like Pizza Hut and Domino's. Food blogger Gerry del Guercio of BiteTwice recalls the early days, noting, "It was all the rage. It was just desperately cool, and everyone wanted to try." The Naples-originated style won over British diners, leading to rapid expansion, with parent group The Fulham Shore identifying more than 125 potential locations as recently as 2021.
However, the chain is now facing headwinds. Marcel Khan, CEO of The Fulham Shore, attributed the closures to "external cost pressures" impacting the hospitality sector, including increases in national insurance contributions, the living wage, and business rates, which have rendered some restaurants unviable. The closures are expected to affect nine sites in London, including the original Brixton branch, as well as locations in Hove and Glasgow.
Market Dynamics: Beyond Peak Pizza
Despite Franco Manca's struggles, demand for pizza in the UK continues to grow, with year-on-year expansion outpacing inflation, according to food service consultant Peter Backman. He emphasizes that sourdough pizza "isn't a passing fad," accounting for about 20% of sales in the pizza sector. However, the trend has become mainstream, losing some of its unique appeal. During the pandemic, sourdough baking surged online via platforms like TikTok and Instagram, leading to increased availability in supermarkets.
Trish Caddy, an associate principal for foodservice research at Mintel, points out that "retail accounts for about half of all pizzas sold," indicating a shift toward supermarket purchases for convenience and cost savings. Mintel data shows that pizza makes up 29% of new sourdough product launches between 2022 and 2025, highlighting intensified competition. Backman notes that sourdough pizzas are often priced higher due to perceived quality, but with consumers grappling with the cost of living crisis, homemade or supermarket options are becoming more attractive.
Quality and Competition Concerns
Gerry del Guercio argues that Franco Manca's contraction stems from overexpansion and declining quality. He recalls margheritas priced at £4.60 initially but now nearing £10, stating, "There's no way the pizza I had last Saturday was anywhere near... the one that I had 15, 16 years ago." He also observes a shift in consumer preferences, with thin and crispy styles gaining ground over the doughier Neapolitan pizza that Franco Manca popularized.
The chain faces stiff competition from rivals like Rudy's and Pizza Pilgrims, which have accelerated their growth plans. Reuben Pullan, a consultant at CGA, notes that these competitors, particularly Rudy's with its strong social media presence, are connecting well with consumers. However, Pullan stresses that Franco Manca's cutback is not due to product quality but broader market pressures, saying, "We are seeing all operators feeling the squeeze."
Future Prospects and Operational Adjustments
Experts believe the closures may be a strategic move to streamline operations. Peter Backman explains, "It's more to do with operational costs rather than a falling demand." He adds that if managed effectively, the CVA could allow Franco Manca to shed underperforming stores and focus on profitability, providing "a freedom that they haven't had for a few years."
Looking ahead, Backman remains optimistic about the chain's prospects: "I think Franco Manca has got a lot going for it. It's got a good name, it's got a product that's still in demand, and I would imagine that they'll carry on." The sourdough pizza craze may be evolving, but with careful adjustments, Franco Manca could navigate the shifting landscape and retain its place in the UK's dining scene.
