The Indicator from Planet Money: The Economics of Everyday Things – Pizza (Box) Time!

Released on November 17, 2024

Introduction

In this insightful episode of "The Indicator from Planet Money," host Adrian Ma introduces a special feature from the Freakonomics Radio Network titled "The Economics of Everyday Things." The episode delves into the unassuming yet vital world of pizza boxes, exploring their history, design, economic impact, and environmental considerations. Through interviews and expert insights, the podcast reveals the complex economics behind a commonplace item that delivers billions of pizzas annually across the United States.

Scott Wiener's Pizza Box Obsession

The episode centers around Scott Wiener, a Guinness World Record holder for the largest collection of pizza boxes, boasting over 1,800 units from every continent, including an intriguing box from Antarctica. His passion began in 2008 during a trip to Israel, where he noticed a uniquely designed pizza box that diverged from the flimsy white boxes he was accustomed to in suburban New Jersey.

Notable Quote:

"Anything that's taken for granted, you know, there's more depth to it. And with pizza boxes, once you scratch that surface, you realize, oh, there's so much more going on here."
— Scott Wiener (02:40)

The Evolution of the Pizza Box

Pizza boxes have undergone significant transformations since the inception of pizza in Naples, Italy. Originally transported in copper containers called stufas, pizza delivery shifted to paper bags post-World War II. However, the surge in pizza's popularity as a party food in mid-20th century America necessitated a more robust packaging solution.

Notable Quote:

"As pizza got more popular and it became more of a party food, really around the middle of the 20th century, that's when we switched to the box."
— Scott Wiener (03:25)

Domino's Corrugated Box Innovation

The pivotal moment in pizza box history arrived in the 1960s when Tom Monahan, founder of Domino's Pizza, sought a solution to the shortcomings of flimsy boxes during high-volume deliveries. Partnering with a Detroit-based manufacturer, Domino's introduced the corrugated cardboard pizza box. This design featured an outer liner, an inner liner, and a fluted piece of paper sandwiched in between, enhancing heat retention and structural integrity.

Notable Quote:

"His whole idea was, I need something that could stack really neatly, that's gonna hold onto the heat, and it's not gonna cost so much."
— Scott Wiener (04:18)

The Dominance of Packaging Companies

Today, the pizza box market is dominated by large packaging conglomerates like Westrock, headquartered in Sandy Springs, Georgia. Westrock controls the entire supply chain, from forestry and paper production to corrugated converting and final delivery of boxes to pizzerias nationwide.

Notable Quote:

"There's about 3 billion pizza boxes a year that the US market consumes."
— Patrick Kivitz, Westrock Corrugated Division (05:33)

Design and Functionality of Pizza Boxes

Effectiveness in pizza box design focuses on maintaining pizza temperature, moisture resistance, and ease of assembly. Engineers at Westrock continually refine box designs to optimize ventilation, reduce condensation, and ensure boxes are easy to fold and stack, minimizing labor costs for pizza chains.

Notable Quote:

*"The pizz

a companies want the pizza to arrive at their consumers houses at the right temperature. So heat, reservations, moisture resistance, ventilation, making sure that there's not too much condensation on the inside of the lid, the height of the box, the integrity of the box, are important."*

— Patrick Kivitz (07:02)

Innovations and Improvements

Numerous attempts have been made to enhance the conventional pizza box. Innovations include boxes that transform into storage containers or tables, incorporate built-in utensils, and even adopt round shapes. One standout design from Mumbai introduces advanced ventilation channels within the corrugated structure, allowing steam to escape and reducing humidity without compromising the box's integrity.

Notable Quote:

"With 25 different vent holes, it's really brilliant. It's beautiful."
— Scott Wiener (10:48)

Despite these advancements, widespread adoption remains challenging due to the minimal cost implications for large-scale pizza operations.

Notable Quote:

"As soon as costs go up by 2 cents, nobody will use it. They don't make economic sense."
— Scott Wiener (11:35)

Recycling and Environmental Impact

The lifecycle of pizza boxes extends beyond their initial use. Contrary to common belief, most cardboard pizza boxes are recyclable up to seven times. However, contamination from food residues often discourages recycling efforts. The market value for old corrugated cardboard (OCC) has fluctuated, impacting the economics of recycling and encouraging manufacturers like Westrock to repurpose materials efficiently.

Notable Quote:

"Historically, the messaging was that a pizza box is too greasy and dirty to recycle, so you need to throw it away."
— Eric Nelson (12:50)

Personal Reflections

Scott Wiener shares a personal irony in his passion for collecting pizza boxes while maintaining that no pizza tastes as good when eaten directly out of the box. His extensive collection symbolizes a deeper appreciation for the often-overlooked aspects of everyday items.

Notable Quote:

"I have 1,800 of them in a storage unit that I pay for. I'm obsessed with them, but I do not eat pizza out of pizza boxes."
— Scott Wiener (14:04)

Conclusion

"The Economics of Everyday Things: Pizza (Box) Time!" offers a comprehensive exploration of the humble pizza box, highlighting its significant role in the pizza industry, the intricate design and manufacturing processes, ongoing innovations, and environmental considerations. Through Scott Wiener's unique perspective and expert interviews, the episode underscores how a seemingly simple item embodies complex economic and logistical challenges.

Produced by: Sarah Lilly
Assisted by: Lyric Bowditch
Mixed by: Jeremy Johnston and Greg Rippin

For more engaging stories about the economics of ordinary things, tune into "The Indicator from Planet Money" weekday afternoons.