Free Essay

Domino’s “Special” Delivery:

In: Business and Management

Submitted By jumaamosi
Words 4527
Pages 19
Franko Ali, Stephanie Eckart,
Yevgeniya Litvinenko, Kathrine Marazita

DOMINO’S “SPECIAL” DELIVERY:
Going Viral Through Social Media

Pizza is one of the most well known American dining staples, and is considered easy and inexpensive for the average consumer. Domino’s Pizza is one of the most recognized and largest pizza outlets out of thousands of pizza brands around today. In a market segment that is highly competitive with numerous options of different brand options, each company works tirelessly to maintain brand image and corporate standards.
DEFINING THE PROBLEM The Domino’s Pizza Company faced its largest problem in its 49-year history in April 2009. The Vice President of Corporate Communications, Tim McIntyre was alerted to an issue regarding two Domino’s store employees, who would be later identified as Kristy Hammond and Michael Setzer, were behaving inappropriately. These employees posted videos online of themselves depicting unsanitary, disrespectful and inappropriate behavior on the job. These two employees didn’t think anything of their behavior until they got caught, then offered a lousy and unprofessional apology. Once the uploaded videos surfaced, Domino’s corporate executives were forced to act quickly. In order to do this they needed to ensure that no more videos would be posted, identify the employees and repair any possible damage to the reputation. McIntyre knew the videos could easily have had a larger impact on the Domino’s brand. All major companies face small problems everyday that are easily alleviated and/or fixed. These smaller scale issues teach and show company management how to react and settle said issues in the future. Business and public relations tools are required to be used and in precision detail. When a large scale incident or issue is presented, a given brand (like Domino’s) is put to the test to use the tools that the executives are equipped with. These larger issues have the priority to be nipped in the bud to extinguish any possible harm to the brand. Domino’s faced a number of problems with varying degrees of severity that required attention. Firstly, the ceasing of the inappropriate behavior and then lessening any possibility of damage to the Domino’s reputation and possible loss of customers was the immediate issue to deal with on McIntyre and Domino’s management priorities. McIntyre was most concerned about losing the trust of Domino’s valued consumers. With nearly 125,000 employees and having store presence in 60 countries, damage to the Domino’s brand effects not only the people directly involved but also the other stakeholders, such as franchisees and their employees across the country, as well as the local community’s reputation around the store in question. In the United States, where the videos were created, the economy was facing downward slope, fast-food markets, like takeout pizza, were not afford to be seen in a bad light in fear of losing the loyalty of shrinking number of consumer who could still afford to perches pizza. With much of the American population struggling to pay their bills, those families or individuals who can afford to order pizza, which is a highly competitive market in lower cost products, would not most likely order from a company who is portrayed in a negative light showcasing unsanitary behavior. Because of the external environment, McIntyre’s fear of losing customers loyalty was a justified reason to act immediately. Loyalty and trust of customers are vital aspects for any business to be highly successful and continue grow, especially in a current fast paced society. Having something as vile and gruesome as the videos taken in the Domino’s restaurant that were posted online, could be enough for customers to take their loyalty and trust elsewhere. These important factors of a brand: reputation, trust, loyalty, and image are all very important factors to the Domino’s business, and any business, that can be affected by the possible damages the posed videos could have caused. The underlying issue that the Domino’s executives inadvertently left out was the lack of management attention and awareness at the store level, a valid point to bring up during the evolution of this inappropriate video incident. Where was the store manager while these videos were taken, on multiple occasions? The fact that multiple videos were produced without a manager or supervisor being the wiser is startling considering the employees most likely portrayed inappropriate behavior before recording themselves. It is questionable how the store management got off so easily, as they were the ones to hire the employees in question. The amateur video makers, Hammond and Setzer’s actions could have potentially impacted both Domino’s profitability and the Domino’s image greatly, as no customer in their right mind would want to purchase pizza that they knew was subjected to unsanitary practices. Two employees could have caused irreversible harm to the Domino’s brand, by associating the multi-million dollar company with lack of sanitary practices and irresponsible behavior. Another problem that Domino’s has is the fact that they, as a company, wasn’t in touch with the image online. With society always changing and social media becoming more and more important in people’s daily lives it should be a priority to be aware and in as much control as possible of brand presence and reputation on the internet. A simple Google search of Domino’s would have alerted the company that inappropriate behavior was going on since five out of twelve search items were regarding Hammond and Setzer’s videos. These videos were then re-posted on various other websites including theconsumerist.com, perezhilton.com, dlisted.com, and the website who alerted McIntyre asgoodasyou.org. These videos were a problem that could have spiraled out of control, if they were not dealt with quickly. While it did spiral, McIntyre made it his priority and did his best to ensure that the issue was dealt with in a timely manner. Once the You Tube videos surfaced, less than approximately 15 minutes total, in multiple uploaded videos the Domino’s brand was vulnerable to many possibilities which, if not taken care of correctly, could have greatly affected the brand reputation and ultimately the brands profitability. McIntyre and his team were pushed to react both logically and efficiently to alleviate the situations and lessen any damages the Domino’s pizza organization faced resulting from You Tube videos depicting Domino’s in a bad light.
ANALYZING THE DATA On April 13, 2009, Domino’s Pizza had a wake-up call on how their business was being run, and the sudden realization of what could happen if their company had lost control. At 4:30pm, Vice President of Corporate Communications at Domino’s Pizza, Tim McIntyre, received an email alerting him of videos posted onto a popular video-sharing site, YouTube, containing foal footage of Domino’s Pizza employees. These employees were contaminating food to be delivered to Domino’s Pizza customers. They were doing such by taking pizza ingredients and contaminating them by placing these items in orifices of the body. Received from GoodAsYou.org, a GLBT advocacy blog site that was in turn alerted by the constant use of the term “gay,” forwarded these messages and video links to McIntyre in hopes to put an end to it. However, GoodAsYou.org posted these videos onto their site, and other blog sites grabbed the material and did the same. Within hours, these videos had gone viral, and McIntyre, who also handles all internal public relations, had to act quickly before Domino’s Pizza’s reputation went sour. Tim McIntyre needed to get a handle on things fast, and had to analyze his this situations to the best of his abilities to take correct actions. To make matters worse, there was no doubt that these amateur videos were happening in a Domino’s Pizza store. The female director of these videos, Kristi Hammond, and male actor, Michael Setzer, were in full Domino’s Pizza uniforms, during normal work hours, and mention how their Domino’s supervisor was in the back reading a newspaper as usual. As well, Domino’s Pizza boxes and counter space was seen several times throughout these videos. Within 24 hours of these video being posted and going viral, the videos had received 250,000 YouTube views. Considering Domino’s Pizza, based on consumer spending, is the world’s leading pizza delivery service, with over 5,000 stores in the United Sates and 3,700 internationally, this was not good. In 2008, over 400 million pizzas were delivered worldwide. This would significantly drop if Domino’s Pizza did not take public action and ensure its existing (and possible new comers) customers that their pizza is fresh and free of contamination. Defining the root of the problem takes some digging into what actually happened. On the surface, shifting the blame to employees seems like the most likely response, which is what Domino’s Pizza had done. These employees do have a sick sense of humor and should not have been allowed to have the opportunity at working at such an establishment. Because of their behavior, it is not Domino’s fault for such actions. While Tim McIntyre was not in fact at this location at the time, he could not have stopped these specific employees from doing such disrespectful behavior, and the organization in turn should not be bashed because of it. In evading responsibility this way, Domino’s Pizza wants its customers to understand that they, as a whole company, represent citizenship with a higher quality product than other pizza delivery companies. The goal for the public relations team in this situation is to keep attitudes positive and behavior consistent. To do so is to prove that the situation has been handled, publicly, restoring their image. However, digging deeper into this problem uncovers other aspects of the cause of these viral videos. This Domino’s Pizza, located in Conover, North Carolina is a franchisee of the Domino’s Pizza establishment. Being such, this Domino’s is given strict regulation of how to run their business, but is given leniency on pricing and hiring employees. This is where the problem begins. Because of this leniency, franchisees may not be held to par of Domino’s Pizza cooperation. Given leniency means a free pass to do what ever they would like. In digging deeper in this case, in seems that Domino’s Pizza cooperation should take a bigger stance in how their franchisees are working. Management was let off easy in this situation. In fact, management (at least not publicly) was not targeted at all. As mentioned in the video, their manager was “sitting in the back reading a newspaper as usual.” As well, the two employees mentioned multiple times of how bored they were and how lazy of employees they had become for working at Domino’s Pizza. Although the Domino’s Pizza cooperation does not directly deal with these employees, it is still their responsibility to train their franchisees to look for appropriate employees and teach appropriate behavior. Why was this store manger locked away in his office for the extended length of time it took to record five videos? Why did the employees have so much free time on their hands? Where were the other employees working, and had not mentioned this behavior to their supervisor? Taking into account that these two employees have a morbid sense of humor, the hiring manager should have sensed this type of behavior. To hold a favorable reputation, Domino’s needs to ensure that it’s workplace holds ethical employees and managers. Domino’s Pizza headquarters needs to actually be a part of every franchisee to ensure the security necessary of running a popular food service. Management needs to be reevaluated. The supervisor at this Domino’s Pizza location clearly did not have control of his/her staff and of what was going on in the store. In deeper analysis, it is how management is run being the major issue. In solving this problem, management needs to be rewritten.
SOLVING THE PROBLEM “My first reaction when I saw it was anger. I was angry because I love this place, I love this brand, I love the franchisees that I work with. And I took it personally… we [the immediate response team] channeled anger into action”, responded Tim McIntyre, who began working for Domino’s Pizza immediately after graduating from college and twenty-five years later becoming a vice president of corporate communications at Domino’s Pizza. Tim McIntyre’s team did took action by first scanning though the corporate past experience, looking for similar situations to find out any strategies to deal with issue, but with the new age of Web 2.0 and Social Media technology growth, McIntyre realized that no protocols nor plants were in place, thus, it was up to them to seize the situation internally and externally that emerged from the YouTube posting. Domino’s VP of corporate communications and his team, which handled all of the company’s public reasons, took action as soon as the email was received from the webmaster of Good As You, they knew that losing the most valuable asset of customers trust from YouTube prank will damaged not only their food industry ethics but also Domino’s brand image. Starting internally McIntyre took actions by notifying the CEO, the President of the company, employees in operations, his supervisor and corporate counsel of the prank video and arising corporate issue. He assured the company that the efforts were being made to locate the franchisee and the employees that were at fault. Following that that day, McIntyre received good news from the two Consumerist readers, that they managed to track the store location and alert the managers by sending the store information to the Domino’s corporate headquarters. After finding the store, VP of communication was working with the store’s owner to terminate the employees and seek legal counsel to see if action could be taken against the employees due to damage to the brand. He asked that offender wrote a statement explaining employees’ actions and apologizing to the company. And so they did react. An email from Kristi Hammond was sent to Domino’s the next morning, apologizing for their actions that coursed negative promotion, that the prank “was very very immature and [she is] sorry for the embarrassment that [they] cause [Domino’s Pizza]” and assuring the company that “no [contaminated] food was send out to any customers”. Even though, Kristi’s apology was lacking sensitive regret it was up to the manager to acknowledged wrong doing, accept the responsibilities and provide assurance that the offense won’t happen again. Timing is critical for management to act upon when the brand externally is under the pressure by the Social Media on the Internet, which causes any information to spread in the matter of time, also called viral effect; therefore, there main goal is to prevent negative connotation on the brand from spreading further and assure their consumers that Domino’s brand is still loyal to the them and their trust is important to their brand. Thus, McIntyre’s team quickly acted in the external environment by sharing updates and messages about the crisis on their corporate website, the message was addressed to “our Valued Costomers” with steps that management took, attached to a sincere apology. They also made direct contact with both The Consumerist and Good As You, the webmasters who made Domino’s the company of the existing YouTube video and identified the employees. He sent a public thank you note to The Consumerist for finding the stores location in Conover, North Carolina and sharing with them of the Kristi Hammond’s email, notifying them that Domino’s will follow up on Kristi’s claim on “no [contaminated] food was sent out to any customers”, and that the store’s owner would terminate the employment of the two offenders. This update to The Consumerist is great communication strategy of immediate Corrective Actions, which uses a Restoration technique that targets one of the channels of viral flow, reassuring the public and immediately restoring the trust by checking if any contaminated food was sent out and firing the two employees, which he received a positive response. A similar email was also sent to Good As You, saying that franchisee fired the two employees, that they would sent a written statement of their actions, and also, Domino’s was seeking a legal advises on brand damages. However, McIntire also wrote that he wished “it hadn’t been posted so prominently on [Good As You] web site… it does hurt the company and the thousands of people we employ in this country whether it’s intended or no.” This response Evades the Responsibility, which shows how Domino’s where shifting the blame on Good As You website and accusing them for posting to the public but not promptly first notifying the company; which Good As You responded: “Hey Tim: Don’t shoot the messenger, buddy!” The next step that McIntyre’s team took was to send out their message to the insulted public, using the same communication channel on the Internet. McIntyre commented to the National Press Club, “We did this in the same forum these people used to do this to us. The credit we’re getting and the comments we’re seeing is that we didn’t hide and we haven’t been ‘corporate’ but responding like real people”. Posting apology video on YouTube with Domino’s President Patrick Dole, who was “sincerely sorry” for “immature acts” of two employees and assuring the viewers that the store was immediately “shutdown and sanitizes”, their “auditors across the state [were making] sure [the stores are] clean”, repeating the statement from the email that was sent to the headquarters from the employee that “no [contaminated] food was send out to any customers”, and the final outcome that the employees were fired. He also recognized and evaded the responsibility by shifting the blame on the franchisee’s hiring decisions, but taking in to the account to evaluate the companies hiring processes. The YouTube apology and a Twitter account, which was created for open-ended opinions to listen the media and better respond in the apology video, did the trick to seize the problem and take the control of negative image from spreading further, which Radui6 Tracking reported and showed dramatic decrease (from 8,166 to 4,365 in one day) on the online buzz. The reaction from the Domino’s executives and public relations team was undoubtedly commendable. They checked internally for the past strategies to see if they ever had the same problem, however discovering that no issues like these were ever raised they had to act immediately by informing the public that consumers trust was important with an apologizing video on the same communication channel. In evaluating the management’s quick actions during the situation, Tim McIntyre acted appropriately in internal meter to get the control of the arising issue. He notified the upper management, identified the store and the offenders, where and by whom the video that was taken, the employees quickly were terminated and asked from them for an apology. Their YouTube response was lacking in acknowledging the wrong doing, because it was not the corporate responsibility but franchises’ strategies. Thus, Domino’s management should re-examine Franchisees’ governance or the overall hiring strategies. Despite this fact, there are alternative reactionary methods that could have been undertaken. In order to better understand the decisions made, one must examine other possibilities. In this age of technology and information, crises such as this one are able to grab the attention of the public in extremely short periods of time, and now more than ever is examining multi-faceted public relations responses a vital piece of the management puzzle. It is also essential to remember that public relations is only one aspect of addressing such issues, and in order to be effective, it must be coupled with a synchronized business response plan. An alternative response that may at first seem poorly assessed and irresponsible would be for the Domino’s corporate team to do nothing. In the world of fast-paced, short-attention span driven media, stories find it difficult to remain relevant to the news consumer for more than a few days or weeks at most. This begs the question that perhaps the flow of the media would blow over this incident, and damage would be minimal in the long run. Were this approach taken however, Domino’s would soon learn (even more so than they did in reality) that the power of social media and viral videos are something that can seldom be ignored. The effects of these potentially exponentially growing new media stories would make the response of simple denial a poor choice for the public relations team of the company. There were too many factors that speak to the authenticity of the videos to prevent the public eye from catching interest. For the same reason, alternative methods of denial would be a poor decision as well, from clarification to effectively questioning the source of the videos as real. The idea of denying the crisis overall is not necessarily a good one, but it would certainly be an alternative solution. There are many other responses to consider, but undoubtedly the best approach is a combination of many different communication strategies. The overall goal of the public relations approach was to repair the brand image, and assure that any market share lost would be regained in a timely fashion. Domino’s could definitely placed more attention on reducing the offensiveness of the situation. One such approach could be through compensation to the local area loyal costumers, in the form of coupons, special deals etc. Another reactionary measure could be to minimize the ordeal, particularly when it had reached the national and international levels. This could be undertaken through the constant reassurance that this was an isolated incident, in a small town in North Carolina. The corporate officials could have placed more emphasis on the afore-mentioned strategy of evading responsibility for the incident. Blame could be shifted onto the franchise owner and local area, minimizing the effect and potentially allowing the company to save some face on a larger scale. The challenges presented by these additional strategies would be minimal. In terms of web strategy, costs are increased, at least in terms of staffing and oversight. Social media structured planning and search engine optimization expertise is something that the company should have invested more focus into, as the curious and scrutinizing public eye was affixed on Domino’s next move. This investment would definitely be worth consideration due to the company’s lack of experience in the matter, and the scale of which the problem had reached. Not a month prior, consulting firms had been hired in order to boost a new marketing campaign for the company. It’s an unfortunate lapse in management and decision making, that just when the corporation seemed to have been taking steps toward a more contemporary marketplace, they are blind-sided by the negative side of the social web. An additional measure Domino’s could have taken would be to play the bolster certain aspects of the company, which had been questionable in the light of the recent incidents. Showcasing the source of the ingredients and service, in both farms and in employee stories could move the brand into a more positive light and begin to repair the damage caused by the incident. In implementing an advertising campaign focused around such things, the web would be an ideal place for it to be focused. Overall, these strategies coupled with the responses utilized in reality by the Domino’s Corporation would have provided for the best possible reaction to the crisis at hand. A multi-faceted approach is typically the best way to go about communicating with the public, especially when the problem reaches the point that these videos had reached an international level news story. In order to execute these additional strategies with those the company had elected to, a great deal of organization is needed. As previously mentioned, the web is an ideal and absolutely necessary resource to implement the short-term policies. The story began and spread like wildfire through the World Wide Web, and in order to remedy the situation in the best possible manner, the response must be targeted in a similar manner. In terms of implementation, a plan must be laid out, and communication networks established before. Although the strategies covered a broad range, they would need to be executed in one swift and organized fashion. Top down management from the PR director would be important, in overseeing that there are no contradictory statements. This was utilized very well in McIntyre’s direct correspondence with both The Consumerist and Good As You. Implementing the alternative plan would need to be handled in a similar fashion by McIntyre and the communication team. The timeline would have to be a quick one, implementing such measures as uploading a response video with the same title as the viral video, in order to redirect the web traffic are key in the short-term response arena. This same methodology should be implemented in the long term, with actions such as consulting technologically relevant resources (SEO, Social Media) could shift the company from a bad situation to being prepared to enter the marketplace rejuvenated and in the platform of web 2.0.
In addressing where each communication strategy should take place, one must determine what in fact the strategy’s goal is. For the minimization efforts, large-scale press releases, to prying national journalists, as well as those overseas should be implemented. On the other side of the picture, the local market needs a different kind of attention, and strategies such as bolstering should be on the forefront of the problem, in addition to the ever-present and visible apologetic messages. The Domino’s company was an unfortunate victim in this scenario, but it is an absolute testament to the constant vigilance required in maintaining the reputation of a worldwide brand in the age of information. The lesson that Domino’s learned through this ordeal should be examined closely not only by companies in the food service sector, but by each and every corporation. There is no denying the power of the Internet and the potentially damaging effects that viral media can have within a number of days. The modern world of public relations requires an extremely principled and capable structure to react in short amounts of time to situations of this manner, and in Domino’s case, this lesson was learned the hard way. Situations are often unavoidable, but this case study is an excellent resource for any and all companies forging on into the world of new media. Eleanor Roosevelt once said “Learn from the mistakes of others. You can’t live long enough to make them all yourself.”

REFERENCES
Peeples, A. & Vaughn C. (2010). Domino’s “Special” Delivery: Going Viral Through Social Media (A). University of Notre Dame, Mendoza School of Business. Notre Dame, IN. Retrieved from: https://ilearn.sfsu.edu/file.php/13736/Dominos_Special_Delivery_A.pdf
Peeples, A. & Vaughn C. (2010). Domino’s “Special” Delivery: Going Viral Through Social Media (B). University of Notre Dame, Mendoza School of Business. Notre Dame, IN. Retrieved from: https://ilearn.sfsu.edu/file.php/13736/Dominos_Special_Delivery_B.pdf
Swifttallon.(2009). Domino's President Responds To Prank Video. You Tube. Retrieved April 1, 2011. From: http://www.youtube.com/watch?v=dem6eA7-A2I Dominos Case Study Group. (2011). Public Relations Class notes (MKTG 432). San Francisco State University.

Similar Documents

Premium Essay

International Marketing Case Study

...DECEMBER 2014 INTERNATIONAL MARKETING STRATEGY – PRE-ISSUED CASE STUDY & GUIDELINES Important notes for candidates regarding the pre-prepared case study The case study is designed to assess knowledge and understanding of the International Marketing Strategy syllabus in the context of the relevant case study. The examiners will be marking candidates’ scripts on the basis of the questions set. Candidates are advised to pay particular attention to the mark allocation on the examination paper and to plan their time accordingly. Candidates should acquaint themselves thoroughly with the case study and be prepared to follow closely the instructions given to them on the examination day. Candidates are advised not to waste valuable time collecting unnecessary data. The cases are based upon real-life situations and all the information about the chosen organisation is contained within the case study. As the case represents a real-life situation, anomalies may be found in the information you have before you. Therefore, please state any assumptions you make that are reasonable when answering the questions. Remember, you are going to be tested on your overall understanding of the case issues and your ability to answer the questions that are set in the examination. In order to prepare for the examination, candidates will need to carry out a detailed analysis of the case material ahead of the examination. Candidates will have sufficient time during the examination to answer all the questions...

Words: 2501 - Pages: 11

Premium Essay

Mm522 Marketing Management Plan

...Domino’s Pizza 1 Running head: DOMINO’S PIZZA Domino’s Pizza Marketing Plan the Past Years Andrea R Watson DeVry University Keller Graduate School of Management Marketing Management 522, Section F Domino’s Pizza 2 DOMINO’S PIZZA MARKETING PLAN THE PAST YEARS Domino’s Pizza Marketing Plan the Past Years 1.0 Executive Summary Domino’s Pizza strong financial performance during 2005 has given the company a significant amount of flexibility and freedom given the increased revenues and earnings in defining its strategies for the future. For continued growth, however, Domino’s has to reduce customer churn, drive up same-store sales, continually reinforce and strengthen their brand, capitalize on socio-cultural shifts occurring in the United States and elsewhere, and finally continually redefine its in store dining strategies relative to the growing rise of online sales. Lesser competitors have higher in store and same store sales than Domino’s, and also have broader mix of lunch and dinner alternatives. In addition, according to Roper (2005) 58% of American households are willing to try a new dinner alternative relative to cooking or ordering out. Compounding this is the fact that 73% or 3 out of every four households by 4:30pm are clueless as to what will be served for dinner. These two insightful figures provide a glimpse into how volatile the quick service restaurants (QSR) marketplace is. Clearly the use of up sell, cross sell ad incentives to drive......

Words: 5889 - Pages: 24

Premium Essay

Dominos Pizza

...SUBMITTED TO PROF. AJAY PANDIT 1 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. 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......

Words: 3404 - Pages: 14

Premium Essay

Testing

...Monaghan launches the first Domino’s Pizza store in 1960 in Michigan, USA, although is it called DomiNick’s until 1965. His brother James sells his share in the venture after a year in return for a Volkswagen Beetle. 1967 The first franchise opens and by 1983 there are 1,000 stores, including the first outside the USA. 1985 The first UK store opens in Luton. 1991 The first Irish store opens in Dublin. 1993 Brothers, Gerry and Colin Halpern, buy the master franchise for Domino’s in the UK and Ireland, which by this time has 77 outlets. Prior to this, Domino’s was controlled from the USA. 1995 Store number 100 opens in Purley, London. 1996 First Scottish store opens in Glasgow. 1997 First Welsh store opens in Cardiff. 1998 New headquarters for the UK and Ireland built in the UK in Kingston, Milton Keynes. Domino’s starts its sponsorship of The Simpsons. 1999 Domino’s becomes the first home delivery company to float on the Alternative Investment Market. Online ordering and interactive TV ordering go national. 2000 Domino’s introduces the revolutionary patented HeatwaveTM hot bags to keep the pizzas hot and crisp during delivery. 2003 Store number 300 opens in Aldershot. 2004 Domino’s wins the British Franchise Association, Franchisor of the Year award. Domino’s opens its first store in the City of London on Queen Street. Domino’s launches the Double DecadanceTM. 2005 Domino’s Pizza UK & Ireland celebrates 20 years. Store number 400 opens in Sheffield. Domino’s launches the......

Words: 4075 - Pages: 17

Premium Essay

Dominos

...Domino’s Pizza Analysis of Marketing Strategy Prepared By: Muhammet GÜVEN 1002090089 Hanım Eylül ŞAHİN 1002090110 Esra ASLAN 1002100128 Kübra AYDIN 1002100028 Istanbul University May, 2014 ------------------------------------------------- An in depth look into the theory and outcome of Domino’s bold mea culpa advertising strategy and its potentially radical effects on transparency in the food and service industry. Table of Contents EXECUTIVE SUMMARY 2 History 2 Industry 2 SWOT Analysis 2 Competition 3 Recommendations 3 HISTORY of DOMINO’S 3 Mission and Vision 5 DOMINO’S’ LOGO 6 PRODUCTS OFFERED IN DOMINO’S PIZZA 7 Menu 7 ENVIROMENTAL ANALYSIS OF DOMINO’S PIZZA 9 Remote Environment 9 Internal Environment Analysis 10 PIZZA’S MARKET SHARE 11 MARKETING STRATEGIES OF DOMINO’S PIZZA 11 SWOT Analysis 14 Strengths 14 Weakness 15 Opportunities 15 Threats 16 MARKETING MIX 16 CONCLUSION 18 APPENDIX 19 To: Doc.Dr.Zehra BOZBAY Subject: Domino’s Pizza Date: May 2014 EXECUTIVE SUMMARY History Starting in 1960, Domino’s Pizza, Inc. (Domino’s) was formed by two brothers from Michigan. The two started the business after purchasing a store named DomiNick’s. They converted the name to Domino’s five years later. In 1983, Domino’s went international. Today, Domino’s employs about 10,500 people between their 8,700 stores worldwide. The company has been traded on the NYSE as DPZ since 2004. Industry The pizza......

Words: 4328 - Pages: 18

Premium Essay

Domi

... * Strategies taken by Domino’s * Service Blueprint of Domino’s * 7P’s of Domino’s * Flower of Services of Domino’s * Service marketing triangle of Domino’s * Methodology of conducting Primary survey * Analysis of the Survey * Suggestions & Conclusion * Appendix: Questionnaire ACKNOWLEDGEMENT The satisfaction and euphoria that accompany the successful completion of any task would be incomplete without mentioning the name of the people whose constant guidance and encouragement has crowned all our efforts with success. As the students of the IILM-GSM, we would like to express our sincere thanks to Mrs. Tripti Ghosh, who helped and guided us to structure the project. EXECUTIVE SUMMARY This report is based on services offered by dominos and also to test the quality of service dimensions of Domino’s. India's quick service restaurant market worth $13 billion is growing 25-30 percent a year on the back of changing and busy lifestyle, fast emerging middle class population and surging disposable income, the industry will continue to grow at a pace in coming years. It now accounts for roughly half of all restaurant revenues in the developed countries and continues to expand there and in many other industrial countries in the coming years. But some of the most rapid growth is occurring in the developing world; where it's radically changing the way people eat. Domino's Pizza India Ltd. has......

Words: 5489 - Pages: 22

Premium Essay

Domoino Pizza

...Domino’s Pizza Domino’s pizza is the second-largest pizza chain in the United States, founded in 1960 by Tom and Jones Monaghan. Domino’s open it first international locations in 1983 in Canada and Australia which lead Domino’s pizza become an international pizza delivery corporation. It has more than 9,300 corporate and franchised stores in 65 international markets and all United State. Problem 1. Domino should maintain low-cost or focusing more health conscious approach which leads to higher price. 2. How can the company maintain efficiency in this high competitive environment which most of the firms provide almost the same product as now Domino is number two in the market. Analysis Five Forces Model Bargaining power of suppliers is low due to undifferentiated product from suppliers, low switching cost and easy to switch, and also lots of substitute of supply. Bargaining power of customers is low as the customers do not buy large volumes, no concentration of buyers. Threat of new entrances is high due to high capital requirement to set up the chain, product differentiation expense required and cost disadvantage from similarity in product offering. Threat of substitutes is high due to lots of substitute and low switching cost. Competitive rivalry is high due to there are many company offer the same product and compete in the saturate market. Domino’s Pizza internal and external analysis. Strengths | Weakness | - Currently operate in more than 60......

Words: 997 - Pages: 4

Premium Essay

Dominos Inc

...The NAICS code for Domino’s Pizza is 722513 (United States Census Bureau, 2012). This code is for Limited-Service Restaurants (United States Census Bureau, 2012). The definition of the code is stated as, “This U.S. industry comprises establishments primarily engaged in providing food services (except snack and nonalcoholic beverage bars) where patrons generally order or select items and pay before eating. Food and drink may be consumed on premises, taken out, or delivered to the customer's location” (United States Census Bureau, 2012). Next, is the SIC Code. This code is only four digits and is another code used by the government and businesses to classify industry areas. The SIC code for Domino’s Pizza is 5812 (United States Census Bureau, 2012). These codes are mostly based on similarities within industries. Vision/Mission Statement According to their website, Domino’s Pizza mission statement is the following: Sell more Pizza, have more fun (Domino's Corporate, 2013). The mission statement consists of two important aspects- Products and/or services offered and the Target Market (Thompson, Peteraf, Gamble, & Strickland, 2012). Both consist of three groups that meet the needs of customers, meet the needs of employees, and meet the needs of investors (Thompson, Peteraf, Gamble, & Strickland, 2012). The Mission Statement is the company’s reason for existence and answers the question, why they exist (Thompson, Peteraf, Gamble, & Strickland, 2012). Domino’s Pizza mission......

Words: 4437 - Pages: 18

Premium Essay

Domino's

... 3-4 3.2. Website Function 4-5 3.3. Advantages of e-Commerce 6-7 3.4. Payment Options 7-8 3.5. Delivery Options 8 4. Internet Security & Legal Concerns 4.1. Property Rights 9 4.2. Contracts 9 4.3. Computer Crime 9-10 4.4. Privacy 10 5. Financial Plan 11 6. Conclusion 12 7. References 13 8. Appendix 14-18 1. INTRODUCTION Domino’s Pizza is an international pizza delivery corporation based in Michigan, United States of America. Domino’s started up in the beginning of the 60’s and as pizza is the most ordered food in Europe, especially in Mexico, therefore in the beginning of the 80’s they opened their first international branch, and this is where Domino’s started to expand. 2. BUSINESS BACKGROUND The World Leader in Pizza Delivery Founded in 1960, Domino's Pizza is the recognized world leader in pizza delivery operating a network of company-owned and franchise-owned stores in the United States and international markets. Domino's Pizza's Vision illustrates a company of exceptional people on a mission to be the best pizza delivery company in the world. (Domino’s website, 2010) Domino’s Pizza is the second largest franchised pizza chain in the U.S.A., and the history of Domino’s Pizza is similar to its rival Pizza hut; two brothers started it with borrowed equity in the sixties. Tom and James Monaghan bought a small...

Words: 2336 - Pages: 10

Premium Essay

Communications

...When you ask an American what is his or her favorite choice for delivery order pizza, the answers can vary across a wide range of pizza restaurants. Pizza Hut, Papa John’s, Donato’s and several others may come to mind, but for the purpose of this paper, I am choosing to focus on Dominos’ Pizza. Domino’s Pizza was at one time regarded to be the absolute worst pizza chain in the United States. The pizza business is a business that is saturated with large chains and local restaurants operated by local owners. Domino’s was consistently ranked at the bottom of customer satisfaction rankings because of lack of vision. According to Beaver, (Palmer, 2009), a lack of vision is associated with organizational decline and failure. A wide variety of complaints were filed on Domino’s, including late delivery, poor quality of product, and a general sense that Domino’s did not genuinely care about what kind of product it was making and selling. The result that ensued at the company was three chief executives in five years at the company. In order to change the product at Domino’s and the way it was marketed, management decided to completely reimage the presentation of how the company marketed the pizza and to actually change the product itself. Domino’s developed a vision of what it wanted its product to be, and it developed a clear and concise mission statement as to how they wanted to change their product and why they wanted to change their product. Finally, the company decided......

Words: 1277 - Pages: 6

Premium Essay

English Research

...3.1 Advertising Methods Domino’s Pizza Domino’s reaches geographically dispersed buyers. Domino’s vision is focused on “Exceptional people on a mission to be the best pizza delivery company in the world!” domino’s is committed to bringing fun and excitement to the lives of our customers by delivering delicious pizzas to their doorstep in 30 minutes or less, and all its strategies are aimed at fulfilling this commitment towards its large and ever-growing customer base. It’s all advertisement are image of core competencies. Their taglines “The Pizza Delivery Experts” and “Hungry kya?” are showing their focusing area in promotion. Pizza Hut To stay competitive, Pizza Hut looked to appeal to a wider base, launching new marketing vehicles and products that adhere to the sensibilities of both younger and older consumers. This past year Pizza Hut has experimented with its brand by replacing “Pizza Hut” on take-out boxes with “The Hut,” and by pushing the quality of its product and natural ingredients and adding more pasta options to the menu as meal-replacement solutions at home. The marketer has also introduced an extensive series of social media and non-traditional media programs. TV Domino’s TV spots appeared to be more tactical and responsive and the market place, with ads discussing the recession and the value it delivers. Pizza Hut, by comparison, promoted more of its quality and menu range. Their TV strategies differed significantly. Pizza Hut bought a broader......

Words: 1071 - Pages: 5

Premium Essay

Domino Pizza Service

...HOA SEN UNIVERSITY FACULTY OF ECONOMY AND COMMERCE MARKETING MAJOR SYNOPSIS Our purposes in doing this report are to learn about the aspects of Domino’s Pizza delivery service and the ways Domino’s Pizza deal with the provider gaps to meet the customers’ expectations, also creating the perceptions of its service along the way. By using the Internet and other related sources as tools to dig deep into one of the most famous foreign pizza delivery brands in Vietnam, we have collected and totalize a great amount of useful and precise information about both Domino’s Pizza Company itself and the delivery service that it provides. Thanks to that, the result is the broad, both general and detailed view about Domino’s Pizza Company with its market segment, target customers, positioning and the ways it executes its service process through closing the provider gaps to better serve its customers. From that, we have drawn some conclusions and given out some proposals for Domino’s Pizza to further modify its service to match the unique features of Vietnamese customers and market. CONTENT SYNOPSIS i CONTENT ii ACKNOWLEDGEMENTS iii INTRODUCTION 1 COMPANY INTRODUCTION 3 LITERATURE REVIEW 5 MARKETING ENVIRONMENT AND SWOT ANALYSIS 7 I/ Marketing environment: 7 1. Microenvironment: 7 2. Macroenvironment: 8 II/ SWOT analysis: 9 CUSTOMER-DRIVEN MARKETING STRATEGY 11 I/ Market Segment: 11 II/ Target market: 11 III/ Differentiation: 11 IV/ Positioning: 12 ...

Words: 9665 - Pages: 39

Premium Essay

International Bus

..."punctuality" means because in different countries the meaning varies. They should be prepared to act professionally in the face of unexpected tardiness, no matter how unprofessional it may seem. (Jared Wade) In the 1950s, Richard Nixon made a trip to Brazil, and as he was getting off the plane, he greeted a mass of Brazilian officials, journalists and other citizens. On his way down the stairs to the runway he smiled, waved and gave the "A-Okay" sign to show the people his good intentions. Unfortunately for Nixon, this gesture is the Brazilian equivalent of giving the middle finger in America. (Jared Wade) Domino's Pizza, Inc. is an international fast food pizza delivery corporation headquartered just outside Ann Arbor, Michigan, United States. Domino’s was founded by Tom Monaghan. As of 2006, they had 8,000 corporate and franchised stores in more than 54 countries. Domino’s was the second-largest pizza...

Words: 914 - Pages: 4

Free Essay

Disruption

...the market will grow even further and that there's still room for new international players, despite the UAE's comparatively large QSR market for its size. The UAE’s fast casual dining sector is expected to grow from $6.4bn in 2011 to $8.7bn by 2015 with burger chains set to see the biggest increase, 2. 3. Domino’s, meanwhile, recently opened its 200th store in the Middle East with its local master franchisee, 4. Domino’s Pizza is one of the most successful restaurant chains in the world. With 10 highly successful years in the Saudi Arabia and 48 branches Kingdom-wide, it makes perfect sense for Pepsi and Domino’s Pizza to team up. 5. Pizza Hut and KFC enjoy predominant rankings within their categories in the Gulf, even as growth in the UAE’s casual dining market is estimated to be in the high double digits. 8. Strength Strong brand equity supported by heavy advertising and marketing campaigns Supply chain and distribution network it has enabled to keep pace with technology by offering online menus Leader in pizza delivery • _Delivery technology that locks heat into food during travel time. • _Competitive pricing that incorporates special promotional offers on one or more menu items ranging from chicken wings to soft drinks. • _Stores have no need for seating, therefore tend to be smaller with less Weakness Slow growing and declining same store sales Weakening bottom line It ambiance is not up to its competitors Menu not elaborated and......

Words: 384 - Pages: 2

Premium Essay

Imc Pepsi

...-1: In Japan, Domono’s is marketing both a product and a service. Review Domino’s Japanese marketing program in detail. For each item in the program identically how it was standardized internationally or adapted to the Japanese market? Answer: * Market research: Dominos did a proper market analysis with the help of one consultant who concluded that “Japan is not ready for Pizza delivery”. Y. Higa a Japanese businessman and Domino's founder Tom Monaghan made a tie-up and entered into the Japanese market * Location selection (Azabu district) * Promotional programs : * Home delivery concept and Delivery vehicle: But it was difficult since the city was very crowded and to find any address was quite difficult (Improper house numbers).Special 3 wheeler scooters were designed to in overcome this problem. * Distinctive uniform * Attractive menu card * Domino’s Product and operating method Question -2: Explain why this standardization or adaptation was used? Answer: Reasons for standardization: It was internationally standardized in terms of their uniform, menu, operating system & pizza ingredients such as Dough, Cheese and sauce because they wanted to show themselves as an established Multinational player and also to maintain their brand image in the Japanese market. Question-3: Identify and explain all the factors that appear to have contributed to Domino’s success in Japan. In spite of the consultant’s recommendation against the...

Words: 255 - Pages: 2