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DOMINO‟S PIZZA
Prepared by:Surya Kant Jain -120
Raminder Kaur- 113
Naveena Biswas- 75
Sagarika Satapathy-130
Group:-2
About Domino's
 Type: Public company (NYSE)
 Industry: Restaurants
 Area served: Worldwide
 Founders: Ypsilani, Michigan United state (June 10, 1960)
 Headquarter: Ann arbor, Michigan, United states
 Key people: Tom Monaghan, Founder, J.Patrick Doyle, CEO
Cont…
 Products : Pizza, Breadsticks, Pasta, Chicken wings, Desserts.
 Revenue: $265 Million USD (2013)
 Employees:145000
 2nd largest Pizza chain in US.
 Domino’s outlet in India opened in 1996

 9000 corporate and franchised stores across 60 nations and 602 stores
in INDIA.
Logo
 From inception, Domino’s logo contained three dots which was
Tom Monaghan’s original vision.
 Their sights were firmly set on.
a) Building a dynasty of three locations.
b) Monopolizing pizza delivery.
c) Develop a triangulation delivery strategy
in a small concentrated area.
" Exceptional people on a mission
to be the best pizza delivery company
in the world "
Mission
Khushiyon
ki home delivery
Logistics @ Domino‟s

Logistics @ Domino‟s

Wheat Proccessed @
Jalandhar
RETAIL
OUTLET

SUPPLIERS
(Toppings &
Seasonings)

DOUGH

COMMISSARY

REFRIGERATED
TRUCK
DOMINOS
SUPPLY CHAIN
Procurement of raw materials

 Raw materials like wheat, baby corn, tomatoes and spices are
got, out of which wheat was bought in from jalandhar and
then sent to the commissaries in refrigerated trucks.
 4 commissaries (Regional Centralized Facilities)
a)

Delhi

b) Bangalore

c) Kolkata
d) Mumbai
Ordering ways
 Telephone
 Order online

 Mobile & Tablet App
7P’S OF DOMINO’S
Products
Pizzas
Pastas

Breadsticks
Cheese Dips
Beverages (tie-up with Coca
Cola)

Chocó Lava Cake
Chicken Wings
Price
Promotion
PLACE
Dominos has distributes in 4 regions

EASTERN
REGION
WESTERN
REGION

NORTERH
REGION

SOUTERN
REGION
PHYSICAL EVIDENCE
 Logo
 Simple Parking space

 Good Infrastructure
 Use of Modern Technology Equipments.
 Clean and Friendly Services.
PROCESS
 Self service system.
 Hungry Hotline Facility.
 Domino's believes strongly in the strategy of 'Think Local and Act
Regional'.
 Domino's constantly strives to develop products that suit the tastes of
its customers.
 Domino's Pizza India also boasts about its`` commitment to serve its
customers on time by implementing the "30 MINUTES OR FREE"
service commitment.
PEOPLE
 Appropriately trained for delivering the service.

 Personality development and grooming sessions.
 Recruiting young, enthusiastic and dedicated employees.
 Providing them with various facilities such as medical
help, consultation, traveling facilities, perks and bonuses.
 Team members are recognized and rewarded based on ability and
merit for their contributions
INTERNAL MARKETING EXTERNAL MARKETING


Home delivery specialist.

 Young and enthusiastic team.
 Domino's vision.
 Bonus scheme incorporating profit.
 What's up Dominos session

 Dominos bring out the 'WOW' effect.
 Domino's serve its customers on time.
 Every order is hand-made.

INTERACTIVE MARKETING
 E home delivery.
 Domino's heat wave.
 Delivers more than just hot pizzas
 Dominos promises their customers safe and
friendly services free of cost.
SWOT ANALYSIS
BCG Matrix

BCG Matrix can help understand a frequently made strategy
mistake: having a one-size-fits-all-approach to strategy,
Porter’s 5 forces
BARGAINING POWER OF CUSTOMERS





Switching costs are low.

THREAT OF NEW ENTERANTS



volume and not differentiated.

Speedy and reliable channels are essential among all firms.



The products that they need are high

The saturation in the industry is huge.

Cost disadvantages are significant.

Lot of substitutes.

BARGAINING
POWER OF SUPPLIERS

THREAT
Of SUBSITUTE PRODUCT

 Switching costs are nearly zero. Thus finding  To many substitute exist in the industry.
a second options is easy.
 Customers bargaining power is likely to be
 The threat of substitutes is very high.
low

COMPETITIVE RIVALRY
WITHIN AN INDUSTRY
 High rivalry among firms.
 Huge number of companies offering the
same product.
Four Cs vs. Four Ps
of Marketing Mix
Most companies concentrate on
Domino’s Pizza has leveraged
the four Cs or Consumer’s Viewpoint the four Ps that are the cornerstone
of many marketing strategies
in every new product and promotion.
Marketing Strategies
 Market follower strategy (initially)
 Product, one of the four Ps of the marketing mix, is an area
where the market leader continues to influence Domino’s.

“Competition forces change the Market Followers”
 First change to the product offering after three decades
 In 1989, introduced a deep-dish pizza.
 New Product to the menu- An answer to a competing
products
 After that Continuous Marketing focus on PRODUCT
UPGRADES
STRATEGIC ANALYSIS
(STP)
SEGMENTATION
 Geographic

 Region – dominos outlets in different countries is a way of
segmenting their market
 according to region and finding out potential markets.
 City – they also segment the cities as class i, class ii, metros, small
towns.
 Demographic
 age – under 13years, 13 to 21 years21 to 35 years, 35 to 50 years, 50+
years.
 family income – lower middle class, middle class, upper middle
class, high class
TARGETING
Dominos pizza shave target the families who like to go out for dinner
once in a week.

They also target teenagers of school.
Spending habits of college freshmen also indicates a high percentage
of money being spent on non-essential items.

Pizza Hut has made delivery services for those customers who like to
have pizzas in their home with their families or friends.
POSITIONING
India’s Pizza Delivery expert and market leader in the organized pizza
home delivery segment announced the launch of their new brand
positioning campaign

“Yeh Hai Rishton Ka Time”.
After spending four years with the emotional proposition of Happiness
Home

„Khushiyon ki Home Delivery‟.
Domino’s Pizza endeavours to deepen the engagement with
consumers, through its new brand positioning that focuses on
relationships and bonding.
Market Share in India
Domino’s

Others

50%

50%

Overall organized Pizza Market

Domino’s

Others

35%

65%

Home delivery segment
The customer-value hierarchy
Need & Brand Relationship
 Need family:- Satisfying Hunger

 Product family:- Food
 Products class:- Italian

 Product type:- Pizza, Pasta and Beverages
 Item:- Cheese Burst Pizza
Product Mix
Product Width
Veg Food

Veg pizza 1
• Margarita
• Cheese tomato

Product line
length

Veg pizza 1
>double cheese margherita
>fresh veggie
>country special
>farm house

Veg pizza 2
>peppy paneer
>mexican green wave
>deluxe veggie
>gourmet

Feast Pizza
>Veg Extravaganza

Non Veg Food

Side order

Beverages

Simply non veg
• Cheese and
barbeque
chicken

Pasta

Coke

Non Veg 1
• Barbeque
chicken
• Spicy chicken

Garlic bread

Fanta

Choco lava cake

Pepsi

Non veg 2
• Chicken
mexicana
• Keema do
pyaaza
• Chicken golden
delight

Cheese dip

Feast Pizza
• Meatzaa
• Non veg
extravaganza
• Cheese and
pepperoni

Chicken wings
Chicken kickers
Product Life Cycle
Introduction Stage
High Cost of delivery System
• Whole new infrastructure had to be set up as the model was new to India
• Supply chain had to be created

Slow sales volumes to start
• Eating exotic food home delivered against the trend
• Heavy advertising and promotion

Almost no competition
• Pizza hut was the only competitors offering similar product

Demand had to be created
• Customers have to be prompted to try the product with campaigns like “Hungry
Kya?”

Makes no money at this stage
Product Life Cycle: Growth Stage
Costs reduced due to economies of scale
• Same store sales growth increased 37% in 2010

Sales volume increases significantly
• 56% growth in year 2010

Profitability begins to rise
• 72 new stores added in FY year 2010-11 totaling 378

Public awareness increases
• Total number of cities covered increased from 69 to 90
• Entry in tier 2 and tier 3 cities
• New marketing campaign with “Khusiyon ki Home Delivery” to reflect changing
environment

Increased Competition with new entrants
• Latest entry of Pap John Pizza
• Pizza Hut increasing its delivery network and opening only "take-away" stores

Increased competition leads to price decreases
• Rs 35 Pizza introduced to attract new customers
• Value pricing
Packaging
We offer Domino'S Pizza Boxes, Pizza is not merely a loaf of bread but has radically changed the
eating habits across the world.
Similarly Pizza Boxes are not simply card board or paper boxes! Pizza Boxes offer carry-home
convenience for today fast-paced urban consumers and greatly enhance your company bottom
line by adding incremental volume to the business.
Labeling

Khushiyon Ki Home Delivery
Guarantee

30 Minutes
Delivery
Guarantee
Product differentiation
 Form:- Small, Medium & Large.
 Feature:- Veg And Non-Veg.
 Customization:- possible with customers ordering their own toppings
for the pizza

 Performance Features:-Superior
 Durability:- 4 hours

 Reliability:- hygienic and reliable
 Style:- round in shape
Service Differentiation
 Ordering ease:-Telephone, Online, Mobile & Tablet App.

 Delivery:- Within 30 minutes.
 Installation:- Domino’s Apps.

 Customer Training:- Given on grooming and communication.
 Maintenance:-The restaurants are clean.

 Returns:- Satisfied stomach.
Product mix pricing
 Product line pricing:- Rs.39, 150, 255, 355, 620.
 Captive-product pricing:- If pizza base is not there then coating is
not possible and vice versa .
 By-product pricing:- Electricity, Without bike & petrol it can’t be
home delivered to the customer .

 Product-bundling pricing:1) Pure bundling:- Two pack of pizza.
2) Mixed bundling:-pizza,coke&chocolawa.
Conclusion
Since Domino’s conception in 1960, they have proved to be a successful
company. The decline in the economy posed a threat for them along with people becoming more
health conscious, forcing Domino’s to lean towards healthier options. But Domino’s has shown
they are remaining competitive by expanding internationally.
Their international sales have been a large asset to their profitability. Like any business, they have
challenges of becoming internationalized in ways such as different preferences and menu items.
With Domino’s working
hard to expand more into India and other countries, it is becoming much harder for other
companies to follow in their footsteps.
Domino’s is trying to stay in front of their competitors, Pizza Hut, McDonalds & Papa John’s.
Domino’s continues to look promising in the future with
the pizza industry becoming more popular. And with the strong brand image that Domino’s has
built over the years, the company is pushing to remain strong in the pizza industry.
Domino's

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Domino's

  • 1. A Presentation on DOMINO‟S PIZZA Prepared by:Surya Kant Jain -120 Raminder Kaur- 113 Naveena Biswas- 75 Sagarika Satapathy-130 Group:-2
  • 2. About Domino's  Type: Public company (NYSE)  Industry: Restaurants  Area served: Worldwide  Founders: Ypsilani, Michigan United state (June 10, 1960)  Headquarter: Ann arbor, Michigan, United states  Key people: Tom Monaghan, Founder, J.Patrick Doyle, CEO
  • 3. Cont…  Products : Pizza, Breadsticks, Pasta, Chicken wings, Desserts.  Revenue: $265 Million USD (2013)  Employees:145000  2nd largest Pizza chain in US.  Domino’s outlet in India opened in 1996  9000 corporate and franchised stores across 60 nations and 602 stores in INDIA.
  • 4. Logo  From inception, Domino’s logo contained three dots which was Tom Monaghan’s original vision.  Their sights were firmly set on. a) Building a dynasty of three locations. b) Monopolizing pizza delivery. c) Develop a triangulation delivery strategy in a small concentrated area.
  • 5. " Exceptional people on a mission to be the best pizza delivery company in the world "
  • 7. Logistics @ Domino‟s Logistics @ Domino‟s Wheat Proccessed @ Jalandhar RETAIL OUTLET SUPPLIERS (Toppings & Seasonings) DOUGH COMMISSARY REFRIGERATED TRUCK
  • 8. DOMINOS SUPPLY CHAIN Procurement of raw materials  Raw materials like wheat, baby corn, tomatoes and spices are got, out of which wheat was bought in from jalandhar and then sent to the commissaries in refrigerated trucks.  4 commissaries (Regional Centralized Facilities) a) Delhi b) Bangalore c) Kolkata d) Mumbai
  • 9. Ordering ways  Telephone  Order online  Mobile & Tablet App
  • 11. Products Pizzas Pastas Breadsticks Cheese Dips Beverages (tie-up with Coca Cola) Chocó Lava Cake Chicken Wings
  • 12. Price
  • 14. PLACE Dominos has distributes in 4 regions EASTERN REGION WESTERN REGION NORTERH REGION SOUTERN REGION
  • 15. PHYSICAL EVIDENCE  Logo  Simple Parking space  Good Infrastructure  Use of Modern Technology Equipments.  Clean and Friendly Services.
  • 16. PROCESS  Self service system.  Hungry Hotline Facility.  Domino's believes strongly in the strategy of 'Think Local and Act Regional'.  Domino's constantly strives to develop products that suit the tastes of its customers.  Domino's Pizza India also boasts about its`` commitment to serve its customers on time by implementing the "30 MINUTES OR FREE" service commitment.
  • 17. PEOPLE  Appropriately trained for delivering the service.  Personality development and grooming sessions.  Recruiting young, enthusiastic and dedicated employees.  Providing them with various facilities such as medical help, consultation, traveling facilities, perks and bonuses.  Team members are recognized and rewarded based on ability and merit for their contributions
  • 18. INTERNAL MARKETING EXTERNAL MARKETING  Home delivery specialist.  Young and enthusiastic team.  Domino's vision.  Bonus scheme incorporating profit.  What's up Dominos session  Dominos bring out the 'WOW' effect.  Domino's serve its customers on time.  Every order is hand-made. INTERACTIVE MARKETING  E home delivery.  Domino's heat wave.  Delivers more than just hot pizzas  Dominos promises their customers safe and friendly services free of cost.
  • 20. BCG Matrix BCG Matrix can help understand a frequently made strategy mistake: having a one-size-fits-all-approach to strategy,
  • 21. Porter’s 5 forces BARGAINING POWER OF CUSTOMERS     Switching costs are low. THREAT OF NEW ENTERANTS   volume and not differentiated. Speedy and reliable channels are essential among all firms.  The products that they need are high The saturation in the industry is huge. Cost disadvantages are significant. Lot of substitutes. BARGAINING POWER OF SUPPLIERS THREAT Of SUBSITUTE PRODUCT  Switching costs are nearly zero. Thus finding  To many substitute exist in the industry. a second options is easy.  Customers bargaining power is likely to be  The threat of substitutes is very high. low COMPETITIVE RIVALRY WITHIN AN INDUSTRY  High rivalry among firms.  Huge number of companies offering the same product.
  • 22. Four Cs vs. Four Ps of Marketing Mix Most companies concentrate on Domino’s Pizza has leveraged the four Cs or Consumer’s Viewpoint the four Ps that are the cornerstone of many marketing strategies in every new product and promotion.
  • 23. Marketing Strategies  Market follower strategy (initially)  Product, one of the four Ps of the marketing mix, is an area where the market leader continues to influence Domino’s. “Competition forces change the Market Followers”  First change to the product offering after three decades  In 1989, introduced a deep-dish pizza.  New Product to the menu- An answer to a competing products  After that Continuous Marketing focus on PRODUCT UPGRADES
  • 25. SEGMENTATION  Geographic  Region – dominos outlets in different countries is a way of segmenting their market  according to region and finding out potential markets.  City – they also segment the cities as class i, class ii, metros, small towns.  Demographic  age – under 13years, 13 to 21 years21 to 35 years, 35 to 50 years, 50+ years.  family income – lower middle class, middle class, upper middle class, high class
  • 26. TARGETING Dominos pizza shave target the families who like to go out for dinner once in a week. They also target teenagers of school. Spending habits of college freshmen also indicates a high percentage of money being spent on non-essential items. Pizza Hut has made delivery services for those customers who like to have pizzas in their home with their families or friends.
  • 27. POSITIONING India’s Pizza Delivery expert and market leader in the organized pizza home delivery segment announced the launch of their new brand positioning campaign “Yeh Hai Rishton Ka Time”. After spending four years with the emotional proposition of Happiness Home „Khushiyon ki Home Delivery‟. Domino’s Pizza endeavours to deepen the engagement with consumers, through its new brand positioning that focuses on relationships and bonding.
  • 28. Market Share in India Domino’s Others 50% 50% Overall organized Pizza Market Domino’s Others 35% 65% Home delivery segment
  • 30. Need & Brand Relationship  Need family:- Satisfying Hunger  Product family:- Food  Products class:- Italian  Product type:- Pizza, Pasta and Beverages  Item:- Cheese Burst Pizza
  • 31. Product Mix Product Width Veg Food Veg pizza 1 • Margarita • Cheese tomato Product line length Veg pizza 1 >double cheese margherita >fresh veggie >country special >farm house Veg pizza 2 >peppy paneer >mexican green wave >deluxe veggie >gourmet Feast Pizza >Veg Extravaganza Non Veg Food Side order Beverages Simply non veg • Cheese and barbeque chicken Pasta Coke Non Veg 1 • Barbeque chicken • Spicy chicken Garlic bread Fanta Choco lava cake Pepsi Non veg 2 • Chicken mexicana • Keema do pyaaza • Chicken golden delight Cheese dip Feast Pizza • Meatzaa • Non veg extravaganza • Cheese and pepperoni Chicken wings Chicken kickers
  • 32. Product Life Cycle Introduction Stage High Cost of delivery System • Whole new infrastructure had to be set up as the model was new to India • Supply chain had to be created Slow sales volumes to start • Eating exotic food home delivered against the trend • Heavy advertising and promotion Almost no competition • Pizza hut was the only competitors offering similar product Demand had to be created • Customers have to be prompted to try the product with campaigns like “Hungry Kya?” Makes no money at this stage
  • 33. Product Life Cycle: Growth Stage Costs reduced due to economies of scale • Same store sales growth increased 37% in 2010 Sales volume increases significantly • 56% growth in year 2010 Profitability begins to rise • 72 new stores added in FY year 2010-11 totaling 378 Public awareness increases • Total number of cities covered increased from 69 to 90 • Entry in tier 2 and tier 3 cities • New marketing campaign with “Khusiyon ki Home Delivery” to reflect changing environment Increased Competition with new entrants • Latest entry of Pap John Pizza • Pizza Hut increasing its delivery network and opening only "take-away" stores Increased competition leads to price decreases • Rs 35 Pizza introduced to attract new customers • Value pricing
  • 34. Packaging We offer Domino'S Pizza Boxes, Pizza is not merely a loaf of bread but has radically changed the eating habits across the world. Similarly Pizza Boxes are not simply card board or paper boxes! Pizza Boxes offer carry-home convenience for today fast-paced urban consumers and greatly enhance your company bottom line by adding incremental volume to the business.
  • 37. Product differentiation  Form:- Small, Medium & Large.  Feature:- Veg And Non-Veg.  Customization:- possible with customers ordering their own toppings for the pizza  Performance Features:-Superior  Durability:- 4 hours  Reliability:- hygienic and reliable  Style:- round in shape
  • 38. Service Differentiation  Ordering ease:-Telephone, Online, Mobile & Tablet App.  Delivery:- Within 30 minutes.  Installation:- Domino’s Apps.  Customer Training:- Given on grooming and communication.  Maintenance:-The restaurants are clean.  Returns:- Satisfied stomach.
  • 39. Product mix pricing  Product line pricing:- Rs.39, 150, 255, 355, 620.  Captive-product pricing:- If pizza base is not there then coating is not possible and vice versa .  By-product pricing:- Electricity, Without bike & petrol it can’t be home delivered to the customer .  Product-bundling pricing:1) Pure bundling:- Two pack of pizza. 2) Mixed bundling:-pizza,coke&chocolawa.
  • 40. Conclusion Since Domino’s conception in 1960, they have proved to be a successful company. The decline in the economy posed a threat for them along with people becoming more health conscious, forcing Domino’s to lean towards healthier options. But Domino’s has shown they are remaining competitive by expanding internationally. Their international sales have been a large asset to their profitability. Like any business, they have challenges of becoming internationalized in ways such as different preferences and menu items. With Domino’s working hard to expand more into India and other countries, it is becoming much harder for other companies to follow in their footsteps. Domino’s is trying to stay in front of their competitors, Pizza Hut, McDonalds & Papa John’s. Domino’s continues to look promising in the future with the pizza industry becoming more popular. And with the strong brand image that Domino’s has built over the years, the company is pushing to remain strong in the pizza industry.