COMPANY PROFILE

DOMINO’S PIZZA

Domino's Pizza is an international fast food pizza

delivery corporation. It was founded by Tom Monaghan. There are

currently about 8,500 corporate and franchised stores in 55 countries,

including all 50 US states. It was the second-largest pizza chain

behind Pizza Hut in the United States. In 1967, the first Domino's

Pizza franchise store opened in Ypsilanti. Domino’s continued to

grow and in 1978 opened its 200th store.

On May 13, 1983, Domino's opened its first international store,

in Winnipeg, Canada. That same year, Domino's opened its 1,000th

store overall, and by 1995 Domino's had 1,000 international locations.

In 1998, after 38 years of ownership, Domino's Pizza founder Tom

Monaghan announced his retirement and sold 93 percent of the

company to Bain Capital, Inc. for about $1 billion and ceased

being involved in day-to-day operations of the company. A year later,

the company named David A. Brandon Chairman and Chief

Executive Officer. Involved in day-to-day operations of the company.

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A year later, the company named David A. Brandon Chairman and

Chief Executive Officer.

In a simultaneous celebration in 2006, Domino's opened its 5,000th

U.S. store in Huntley, Illinois and its 3,000th international store in

Panama City, making 8,000 total stores for the system. Also that the

Domino's Pizza store in Tallaght, Dublin, Ireland, became the first in 

Domino's history to hit a turnover of $3 million (€2.35 million) per

year. As of September 2006, it has 8,238 stores which totaled US$1.4

billion in gross income. In 2007, Domino's introduced its Veterans

and Delivering the Dream franchising programs and also rolled out its

online and mobile ordering sites. In 2001 the company's stores in New

York City and Washington D.C. provided more than 12,000 pizzas to

relief workers following the September 11 attacks on the World Trade

Center and The Pentagon. Through a matching funds program, the

corporation donated $350,000 to the American Red Cross' disaster

relief effort.

Leading industry publication Pizza Today magazine named

Domino’s Pizza "Chain of the Year" in 2003.

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KEY INFORMATION

Type - Public (NYSE: DPZ)

Founded - Ypsilanti, Michigan, U.S. (1960)

Headquarters - Ann Arbor, Michigan, U.S.

Founder - Tom Monaghan

Chairman & CEO - David Brandon.

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Industry - Restaurants

Products Pizza - · sandwiches  ·pasta  · chicken

wings ·desserts

Employees - 145,000

Website-http://www.dominos.com/

DOMINO’S PIZZA TIMELINE

1960 Tom Monaghan and his brother James purchase "Dominick’s," a pizza store in Ypsilanti, Michigan. Monaghan borrowed $500 to buy the store.

1961James trades his half of the business to Tom for a Volkswagen Beetle.

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1965Tom Monaghan is sole owner of company, and renames the business "Domino's Pizza, Inc."

1967 The first Domino's Pizza franchise store opens in Ypsilanti, Michigan.

1968 Company headquarters and commissary are destroyed by fire. First Domino's store outside of Michigan opens in Burlington, Vermont.

1975 Amstar Corp., maker of Domino Sugar, institutes a trademark infringement lawsuit against Domino's Pizza. In 1980, Federal court rules Domino's Pizza did not infringe on the Domino Sugar trademark.

1983 Domino's first international store opens in Winnipeg, Canada. The 1000th Domino's store opens. The first Domino's store opens on the Australian continent, in Queens land, Australia. 1990 Domino's Pizza signs its 1,000th franchise.

1992Domino's rolls out Breadsticks, the company's first national non-pizza menu item.

1995Domino's Pizza International opens its 1,000th store.First store opens on African continent, in Cairo, Egypt.

1996Domino's launches its Web site (www.dominos.com).

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1998Domino's launches another industry innovation, Domino's Heat Wave, a hot bag using patented technology that keeps pizza oven-hot to the customer's door.

2000Domino's Pizza International opens its 2,000th store outside the United States.Domino's Pizza celebrates 40 years of innovation and delivering pizza to homes around the world. 

2006 Domino’s Pizza introduces Brownie Squares — warm, delicious, bite-sized brownies delivered with a fudge dipping sauce.

2007

Domino’s rolls out online and mobile ordering.

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MARKETING

Marketing –This department makes sure that it stay ahead of the game by

understanding What customers want and publicising its brand

through innovative advertising, direct mail, e-commerce and PR.

Marketing is also closely involved in the development and launch of

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new products and technology that makes Domino’s stand out from the

competition!

Food Service –Responsible for manufacturing Domino’s hallmark fresh dough at our

company-owned facilities and for sourcing the fine, fresh ingredients

used in stores, Food Service is a very important department with

responsibility for making sure ingredients meet strict food safety

criteria.

This department also sources, invents and/or manufactures all of

the equipment used in our stores.

IT - As the first pizza delivery company in the world to offer customers

both online and

interactive ordering facilities, it’s no surprise that IT is a very

important part of corporate and store level operations.

Domino’s IT team makes sure that all technology and e-

commerce services are the best to support business and that they

work efficiently. It surprises many people to learn how Domino’s

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applies IT to virtually every aspect of running business at store and

corporate level.

Business Strategy

To achieve further growth through the continued implementation of

business strategy, which includes the following key elements:

Continue to execute on our mission statement. Its mission statement is “Exceptional franchisees and team members

on a mission to be the best pizza delivery company in the world.” it

implement this mission statement by following a business strategy

that-

• Puts franchisees and Company-owned stores at the foundation all

thinking and decisions;

• Emphasizes ability to select, develop and retain exceptional team

members and franchisees;

• Provides a strong infrastructure to support stores

• Builds excellent store operations to create loyal customers.

Grow leading position in an attractive industry. U.S. pizza delivery and carry-out are the largest components of the

U.S. QSR pizza category. They are

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also highly fragmented. Pizza delivery, through which a majority of

our retail sales are generated, had sales of $10.9 billion in the twelve

months ended

November 2008. As the leader in U.S. pizza delivery, believe that

convenient store locations, simple operating model, widely-

recognized brand and efficient supply chain system are competitive

advantages that position to capitalize on future growth.

• Leverage strong brand awareness. Believe that the strength of Domino’s Pizza brand makes one of the

first choices of consumers seeking a convenient, quality and

affordable meal. They intend to continue to promote brand name and

enhance reputation as the leader in pizza delivery.

In 2007 it launched the campaign, “You Got 30 Minute,” which built

on the Company’s 30-minute delivery heritage.

In 2007 and 2008, each domestic stores contributed 4% of their retail

sales to advertising fund for national advertising in addition to

contributions for market-level advertising.

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Intend to leverage strong brand by continuing to introduce

innovative, consumer-tested and profitable new product varieties

(such as Domino’s Brooklyn

Style Pizza and Domino’s Oven Baked Sandwiches), complementary

side items.

• Expand and optimize domestic store base. Plan to continue

expanding base of domestic stores to take advantage of the attractive

growth opportunities in U.S. pizza delivery. They believe that scale

allows to expand store base with limited marketing, distribution and

other incremental infrastructure costs. Additionally, franchise-

oriented business model allows to expand store base with limited

capital expenditures and working capital requirements. While they

plan to expand traditional domestic store base primarily through

opening new franchise stores, they will also continually evaluate mix

of Company-owned and franchise stores and strategically acquire

franchise stores and refranchise Company-owned stores.

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• Continue to grow international business. They believe that pizza

has global appeal and that there is strong and growing international

demand for delivered pizza. They have successfully built a broad

international platform, almost exclusively through master franchise

model, as evidenced by their 3,726 international stores in more than

60 countries. They have significant long-term growth opportunities in

international markets where they have established a leading presence.

In their current top ten international markets, believe that store base in

total for these ten markets is approximately half of the total long-term

potential store base in those markets. Store-level economics of

business model, the growing international demand for delivered pizza

and the strong global recognition of the Domino’s Pizza brand.

International stores have produced positive quarterly same store sales

growth for 60 consecutive quarters.

Segment overview

It operates in three business segments:

• Domestic stores.

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Domestic stores segment consists of domestic franchise operations,

which oversee network of 4,558 franchise stores located in the

contiguous United States, and domestic Company-owned store

operations, which operate network of 489 Company-owned stores

located in United States;

• Domestic supply chain.

Domestic supply chain segment operates 17 regional dough

manufacturing and food supply chain centers, one supply chain center

providing equipment and supplies to certain of domestic and

international stores and one vegetable processing supply chain center.

• International.

International segment oversees network of 3,726 international

franchise stores in more than 60 countries. International segment also

distributes food to a limited number of markets from six dough

manufacturing and supply chain centers in Alaska, Hawaii and

Canada (four).

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Marketing operations

Domestic stores contribute between 4% to 5% of their retail sales to

fund national marketing and advertising campaigns advertising

programs. It also contribute to market-level media campaigns. These

national and market-level funds are administered by Domino’s

National Advertising Fund Inc., or DNAF, not-for-profit advertising

subsidiary.

The funds remitted to DNAF are used primarily to purchase

television advertising.

DNAF also provides cost-effective print materials to domestic stores

for use in local marketing that reinforce national branding strategy. In

addition to the national and market-level advertising contributions,

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domestic stores spend additional amounts on local store marketing,

including targeted database mailings, saturation print mailings and

community involvement through school and civic organizations.

Additionally, we may from time-to-time partner with other

organizations in an effort to promote the Domino’s Pizzabrand.By

communicating a common brand message at the national, local

market and store levels, we create and reinforce appowerful,

consistent marketing message toconsumers. This is evidenced by

successful previous marketing campaign with the slogan “Get the

Door. It’s Domino’s.” and current marketing campaign with the

slogan “You Got 30 Minutes.™” Over the past five years, it estimates

that domestic stores have invested approximately $1.4 billion on

national, local and co-operative advertising.

Third-party suppliers

The active relationships of 15 years or more with more than half of

major suppliers. Suppliers are required to meet strict quality standards

to ensure food safety. They review and evaluate suppliers’ quality

assurance programs through, among other actions, on-site visits, third

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party audits and product evaluations to ensure compliance with

standards. They believe that the length and quality of relationships

with suppliers provides them with priority service and quality

products at competitive prices.

They currently purchase pizza cheese from a single supplier.

In 2007, the Company entered into a new arrangement with this

supplier. Under this arrangement, the supplier agreed to provide an

uninterrupted supply of cheese and the Company agreed to a five year

pricing period during which it agreed to purchase all of its primary

pizza cheese for the Company’s United States stores from this

supplier or, alternatively, pay to the supplier an amount reflecting any

benefit previously received by the Company under the new pricing

terms.

Trademarks

It has many registered trademarks and service marks and believe that

the Domino’s mark and Domino’s Pizza names and logos have

significant value and are important to business. Its policy is to pursue

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registration of trademarks and to vigorously oppose the infringement

of any of its trademarks. It license the use of registered marks to

franchisees through franchise agreements.

Risk Factors

Risks relating to business and industry

1. The pizza category is highly competitive, and such competition

could adversely affect operating results.

2. If it fail to successfully implement growth strategy, which includes

opening new domestic and international stores, then ability to increase

revenues and operating profits could be adversely affected.

3. The food service market is affected by consumer preferences and

perceptions. Changes in these preferences and perceptions may lessen

the demand for products, which would reduce sales and harm

business.

4. Increases in food, labor and other costs could adversely affect

profitability and operating results.

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5. Not having long-term contracts with certain suppliers, and as a

result they could seek to significantly increase prices or fail to deliver.

6. Shortages or interruptions in the supply or delivery of fresh food

products could adversely affect operating results.

7. Any prolonged disruption in the operations of any of dough

manufacturing and supply chain centers could harm business.

8. Loss of key personnel or inability to attract and retain new qualified

personnel could hurt business and inhibit ability to operate and grow

successfully.

9. International operations subject us to additional risk. Such risks and

costs may differ in each country in which we do business, and may

cause profitability to decline due to increased costs.

10. Fluctuations in the value of the U.S. dollar in relation to other

currencies may lead to lower revenues and earnings.

11.Earnings and business growth strategy depends on the success of

franchisees, and may be harmed by actions taken by franchisees that

are outside of control.

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INNOVATIONS

AUSTRALIAN AND NEW ZEALAND ONLINE SUCCESS

Ordering a pizza, pasta or dessert from improved menu has never

been so easy.

With a click of a button, customers can select from menu, add drinks

and sides,

pay with cash or credit and watch as their order is made right before

their eyes.

With signifi cant focus on the technology side of the Domino’s

business, have seen some impressive results over the past 12 months.

Australia is now averaging more than 23% of orders placed online.

ECLUB DATABASE

Brand loyalty has also grown significantly with eClub member

database. Each month tens of thousands of people join to receive

special Domino’s offers and communication direct to their email box.

With a database reaching into the hundreds of thousands, weekly

Electronic Direct Mail (EDM) pieces have given us the opportunity to

target offers to a store’s local area, resulting in greater loyalty. The

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growth in our eClub database has also enabled Domino’s to drive the

creative look and feel of EDMs including personalised CEO letters

and themed pieces around new menu items and signifi cant calendar

events.

ONLINE ADVERTISING

Greater integration across all media channels for the new menu launch

in February 2009 helped increase Domino’s presence in online

advertising which resulted in great profi ling opportunities for online

ordering capabilities. All Domino’s banner advertising, including the

successful Choc Lava Cake banner, includes a click through function

enabling customers to place an order immediately after seeing an

online banner.

WEBSITE CREATIVE SUCCESS

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The Domino’s websites in Australia and New Zealand have

undergone vast improvements in the way promotional products are

communicated to customers.

The most visually-tantalising of these promotions are the ‘over the

page’ animations for Choc Lava Cake and Sticky Date Pudding with

sauce running down the page when people enter the sites. Creative

ideas such as this have helped drive relevant product sales and ticket

averages for online ordering.

iPHONE

Over the next few months Domino’s will

launch a dedicated iPhone application for

online ordering. As our customers and the

broader Australian market adopt new technologies, Domino’s is

committed to ensuring we remain at the forefront with new

innovations. The iPhone application will provide customers with

greater freedom to order their favourite Domino’s meal wherever they

are. This Australian-first for the pizza industry will help drive online

business and cement the position as the leading innovator.

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E-Commerce

In 1999, Domino’s Pizza became the first pizza delivery company in

the world to offer nation-wide internet and interactive television

ordering. Delivered pizza can be ordered via website

(www.dominos.co.uk) or via any of the UK’s major interactive TV

services.

National Hotline

In 2004, Domino’s launched a National Hotline, enabling customers

to order pizza from their nearest store, without having to remember

individual store numbers.

By dialling 087 12 12 12 12 from a landline, or a previously

registered mobile, customers are connected to their nearest store. If

their number is not registered, Domino’s Pizza technology will

triangulate the customer’s co-ordinates and ask whether they would

like to order from their nearest store or request the post code for the

store they would like the delivery made to.

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CARBON FOOTPRINT MEASUREMENT AND MANAGEMENT

Domino’s is developing a systematic approach for the measurement

of its carbon footprint in Australia. With the impending “carbon

constrained economy”, such an approach is crucial in order to meet

the challenges that lay ahead for every Australian company.

Domino’s is nonetheless determined to meet those challenges because

as a responsible corporate citizen it is the right thing to reduce its

impact on the environment. Domino’s realised that to develop a

verifiable approach for the measurement of its carbon footprint it

would need expert assistance. Following a review process, Domino’s

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selected CarbonSystems Australia to be its sustainability partner to

advise and assist Domino’s generally with sustainability matters.

Once its carbon footprint is established then Domino’s will have a

verifi able baseline against which to manage its carbon emissions and

monitor the reduction of those emissions.

It is no easy task to assess the carbon footprint of many stores across

Australia.

Domino’s will be implementing CarbonSystems’ Energy and Carbon

Intelligence System (ECIS) which will support us in three critical

areas:

• data collection and management - both the retrieval and collation of

historical data to establish baseline reporting, and the implementation

of an automated system to ensure that ongoing data collection is

timely, complete and accurate;

• the establishment of a performance management framework to

track energy and carbon reduction initiatives; and

• the ability to disseminate information to Domino’s stakeholders in

a quick,automated manner. The ECIS will initially cover corporate

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stores but Domino’s will be working with its franchisees to introduce

their stores into the ECIS as well.

30 Minute Guarantee:

At one point, Domino's Pizza had a guarantee that a customer would

receive their pizza within 30 minutes of ordering, or they would

receive the pizza free and Domino's still guarantees delivery within 30

minutes, failing which the customer is given his order free of cost.

They does not take order if the customer is calling from distance

place where it is impossible to deliver pizza within 30 minutes

If suppose a customer is ordering a pizza cost for Rs. 500 & if they

are unable to deliver the pizza within time , suppose they are late for

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another 6 to 10 minutes , then they give discount of Rs 300 & provide

the pizza for Rs 200

They believe in the service called TSG (Total Satisfaction

Guarantee)

Free Home delivery of home cooked food in South Delhi. They

offer both Non-Veg and Vegetarian home-cooked food for small Get-

Together. The Costs are very

Reasonable and the foods are Hygienic and Low fat.

Innovating the Pizza Delivery Business

Throughout the history, in addition to pioneering the concept of

efficient delivery of made-to-order pizzas, they have been part of

innovations that have made significant impact on the pizza and

delivery industries. Here’s a look at some of the innovative thinking:

Domino's HeatWave Hot BagDomino's HeatWave; hot bags were introduced in 1998. Each hot bag contains a patented heating mechanism warmed via electro-magnetic energy. This technology keeps the pizza oven-hot during a normal delivery. The outer material of the bag is made with water-repellent nylon rather than the vinyl material previously used. Inside the bag is 3M Thinsulate insulation, which eliminates unwanted moisture, keeping the pizzas both hot and crisp.

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A better boxDomino's was the innovator behind the sturdy, corrugated pizza box, which keeps moisture from weakening the box, while preventing cheese from sticking to the top during delivery.

Car-top sign - in 3-D!Today, it's hard to miss pizza delivery cars -- thanks to Domino's Pizza. Pizza and side order boxes account for most of the packaging used by Domino’s Pizza,

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Packaging

Pizza and side order boxes account for most of the packaging used by

Domino’s Pizza, although some small items such as dips and desserts

are packaged in other materials. This fact sheet focuses on Domino’s

Pizza box packaging

Design

Nearly 38 million pizza boxes are used by Domino’s Pizza in a

year, each one bearing the unique Domino’s red, blue and white logo.

The most important design elements are those that help keep the pizza

oven-hot and fresh. A layer of corrugated paper encapsulated by

board forms the main body of the box packaging and provides

insulation. Each box is also punctuated with small ventilation holes to

allow steam to escape, preventing the pizza from becoming “soggy” .

Recycling & The Environment

Minimum of 80% of the corrugated board used for Domino’s Pizza’s

box packaging is made from recycled paper. The remaining 20% is

made from virgin pulp to increase the board’s strength and this is

specially sourced from sustainable forests. Domino’s Pizza box

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packaging is completely recyclable. There are many recycling points

to be found locally and Domino’s encourages customers to take used

box packaging to these points for recycling. Alternatively, the

Environment department at your local council may provide details of

your nearest recycling collection point. Domino’s Pizza stores create

hardly any litter. Having said that, team members are trained to keep

their stores immaculately clean inside and out.

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Safety

All cardboard used in Domino’s Pizza’s box packaging is accredited

as being ‘food-friendly’ by the Food and Drug Administration in the

USA. and only water-based inks are used to create the distinctive

Domino’s Pizza designs that appear on the boxes. All Domino's

Pizza boxes are manufactured to British standards

BS5750/ISO9000 certificate no: Q06314 and comply with all

relevant EU legislation.

4 P’s of Marketing:

Marketing includes the planning and the implementation of the

marketing mix. The marketing mix which is also called the 4 P’s of

marketing represents almost all the steps that are involved in the

marketing process. 4 P’s of marketing represent product, price, place

and promotion.

Product:

 The very brand name “Domino’s” adds value to the products

available in the store.  The quality and the hygiene of the pizzas and

the other add-ons are taken care of by the company or the franchisees

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by way of training to the employees. Domino’s also takes pride on the

innovation of many new products and ideas. Some of these are as

follows

Double Decadence:

 Domino’s launched the first Double Decker pizza in the UK.

Domino’s Double Decadence is created when two thin and crispy

dough bases are sandwiched together with a layer of creamy cheese

and herb sauce. The pizza is then topped with vine ripened tomato

sauce, mozzarella cheese and the customers; choice of toppings.

 Virtual Store:

            To make take home pizza ordering more convenient for the

customers, Domino’s has designed an online service which features

the customers’ favorites and also the customers can order for pizzas

by text message via mobile phones and orders can be placed online.

When the order online option is selected, the customer is taken to the

order form. And the customers has to enter the postcode of the

delivery address and then other delivery details like the phone number

and e-mail address has to be entered. Then the customer is taken to

another page – the best part of the process – pizza. The customer can

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select the pizza and the size of it and also the customer has the option

to create his/her own pizza and then pay for the food either online

using a debit or a credit card or to opt for paying the amount to the

person who delivers the pizza.

 Domino’s Heat wave Bag:

            Domino’s Heat wave hot bag was introduced in the year 1998.

The Hot bags contain a heating mechanism that is warmed by using

electromagnetic energy. This technology keeps the pizza oven-hot

during the delivery. 

 Price:

            Domino’s follows a pricing policy that is determined based on

the economy of the country. The pricing policy of Domino’s gives a

competitive advantage to the company over its competitors. The price

discounts available to the customers are used as a tool to attract

customers into the store. Domino’s also follows seasonal pricing in

order to attract customers and to keep an edge over its competitors.

The company also has special discounts on bulk purchases.

Place (Distribution Decisions):

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            Domino’s Pizza stores are established in almost 50 countries

and they have got more than 8,000 stores worldwide. The Domino’s

stores are centrally located and in a manner convenient for the people

to walk in and also convenient for the deliverers to do their job. The

distribution channel followed by the company is mostly through

takeaways, telephone ordering, SMS and online ordering. The pizzas

are delivered by way of scooters at their door step. In order to

maintain the quality of the pizzas, they are carried in a heat wave bag

so that they can deliver hot and tasty pizzas to their customers.

 

Promotion:

            Pizza order discount: Domino’s offers its customers a number

of discount and other promotions on purchasing Domino’s pizza.

         A customer walked out of a Florida Domino’s store with a

$10,000 cheque for having bought the Gotham City Pizza and the

promotion was called The Dark Knight Deal.  

         The Dark Knight Deal also allows the customers to win Xbox

360 and other gaming consoles.

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         Domino’s pizza has introduced a new value meal called the

444 deal. This 444 value deal contains three ten-inch pizzas with one

topping for $4 each with a minimum number of three orders.

         Dominos also allows its customers to play games by the time

their food arrives. There are actually two games – asteroids and slide

puzzle to play.

 

Domino's Pizza SWOT Analysis:

Strength

• Leading pizza delivery company in the US with more than 5,000

stores in the US

• Global franchise operations - more than 3,500 in over 50

countries

• Strong brand equity supported by heavy advertising & marketing

campaigns

• Supply chain & distribution network

Weaknesses

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• Slow growing and declining same-store sales

• Weakening bottom line

Opportunities

• Growing presence in emerging markets, particularly in India,

China

• Leverage supply chain & distribution system to introduce new

products

Threats

• Changing consumer habits towards healthier food choices

• Franchise operations affected by currency exchange fluctuations

• Intensive competition from a fragmented number of small

competitors

Idea screening:

1) Recover from the negative perception,

2) Build credibility by following up a promise with concrete action,

3) Get a hot, cheesy promotional slice of earned media for being the

first major fast food chain to adopt this safety measure.

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Segmentation

Demographic segmentation –

In demographic segmentation, we divide the market into groups on

the basis of variables such as age, gender, etc; these demographic

variables are so popular with marketers so that they are often

associated with the consumer’s needs and wants.

Here are the demographic variables have been used to segment

markets.

Age: Below 15 years - 0%

15 - 20 years - 20%

21 - 30 years – 40%

31 - 40 years - 25%

Above 40 years - 15%

The companies target audience is the bachelors, youth and the

professionals who have no

time to prepare food and to grab the food as fast as possible.

Gender –

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They targeted both genders.(mainly male because many males will

not like to preapare food when they are single).

Income – further segment the market based on economic groupings:

Income status

Upper Class 60%

Middle Class 35%

Lower class 5%

Occupation - self employed (superior level peoples), officers executives,

junior officers,

Executives.

Ethnicity – For this reason they come modified their menu and they added new

dishes like peppy paneer and pizzas are available in 3 sizes small,

medium, and large.

Geographic segmentation

Geographic segmentation is basically using the spatial location to

segment the market.In Geographic segmentation calls for the diff

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geographical units such as states, regions, cities and the south Asia is

a one of the major geographic segmentation variables relevant for

marketers.Here markets are mainly divided into the rural and urban

areas.Domino’s intends to penetrate completely within these markets

by opening up 20-25 outlets per year in these cities. Domino’s has a

young and enthusiastic team of more than 2,100 employees. Today,

Domino’s has emerged as the leader in the fast food segment with

about 65% of market share of pizza delivery in India and have outlets

more than any other corporation in the business

of food, not just the pizza business. All the Company outlets are

corporate outlets invested by the company and also managed by the

company.

Area – semi urban and urban

City – class-A and Class-B cities i.e. metro politician cities

Region -- 56 regions where the pizza demand is more. And around

250 outlets in India.

Psychographic segmentation --

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It is the science using psychology to better understand the consumers,

and they are trying to sui with local food, and they all ready created

the brand name in consumers mind by advertisement and service i.e.

30 min delivery. Dominos in 2005 takes the Arshad Warsi (circuit)

as their brand ambassador.

In Psychographic segmentation, buyers are divided into lifestyle,

personality or values.

Lifestyle – Business class, outdoor oriented.

Personality – Ambitious, open to experience.

Occasions – Regular, special.

Benefits – Quality, service, delivery in 30 minutes or else free.

User status – Regular user

Usage rate – Medium

Loyalty status – Medium loyal

Readiness stage – Intending to buy

Attitude toward product – Enthusiastic

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Some other Special offer in dominos pizzas

The Dominos Pizza franchise constantly keeps on inventing ways

through which it can make a greater impact on the fast food market.

That is how the fast food franchise came up with 'Fun Meal for

Four' offer. Through this method, the pizza franchise is able to

produce more variety in the food delivered to its customers at their

door steps. Through its 'Fun Meal for 4’ pack the Domino’s

Pizza India offers four pizzas at the rate of Rs 180. This means

charge of one pizza will be just Rs 45. This has helped the speciality

food franchise to enhance the strength of its customer base. Yet

another strategy employed by the fast food franchise to spread

their market is to portray their advertisements in an old-fashioned

background. This quasi-environment is sure to make a positive impact

on the semi-urban crowd who are not much familiar with the brand.

The speciality food franchise has set apart Rs 50 crore for its

promotional activities in 2007-08. The fast food franchise is willing

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to work harder in order to improve its growth rate in Indian

market. The speciality food franchise expects to increase its pizza

delivery at a rate of 45 per cent by the end of the coming financial

year.

Competitor

McDonalds

Wendy's

Papa John's

International and California Pizza Kitchen

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WHAT MAKES DOMINO’S PIZZA BETTER THAN IT COMPETITORS

• Varity of Pizza’s

• Good ambience

• Services offered

• Quality of pizza’s

• Location of the Outlet

• Waiting time in the outlet

• Door step services

• Low pricing

NEW PROMOTIONAL ACTIVITYOFFERS BY DOMINOS

• With every order of pizza and coke/Garlic breadsticks get a

domino’s

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pasta for Rs. 39 instead of Rs 69.

• Pasta is available in 2 variants: cheesy white and tangy red veg Rs

69/- non veg Rs 79/-

• Get garlic bread for only Rs 30/- with any of the pizza

mania

combinations.

• Dominos start providing coke/fanta/sprite.

• Dominos started pizzas mania which start from Rs 35 and we get the

toping according to our choice.

• Web coupons available at web site www.dominos.co.in

• Discounting coupons are being provided with every item purchased.

• Suggesting selling at a discounted price

• New schemes at regular interval of time according to the taste of the

INDIAN customer

SUCCES FACTOR OF DOMINO’S PIZZA• Domino's is a powerful global brand.

o "Mega Brand" as defined by Advertising Age

o Significant, ongoing investments in advertising result in broad

consumer awareness

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• Domino’s are the #1 pizza delivery company

o Largest share of pizza delivery channel

o Reinforced by our well-known slogan, "Domino's Pizza: You

Got 30 Minutes™

• They have a large and growing international presence.

o Operate in over 60 countries

• They operate a profitable, value-added supply chain system.

• Domino’s leadership team has a track record of success.

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CONCLUSION

It has successfully established its market because of-

Their best services

Employee's behavior

Localizing the menu

Pricing strategy

Delivery System

Advertising strategy

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