Marketing in Action Case Real Choices at Domino\'s Pizza is big business. Americ
ID: 331081 • Letter: M
Question
Marketing in Action Case Real Choices at Domino's Pizza is big business. Americans spend over $40 billion on specialty "delivery expert" car, the DXP. The DXPs are refash- pizza every year. With more than 59,000 U.S. stores that sell ioned Chevrolet Sparks that come equipped with a working and deliver pizza, customers have lots of options from which to choose. Dominos wants more and more of them to make 80 pizzas per trip as well as a large number of drinks, side Domino's their only pizza delivery store "warming oven" in the rear of the car. The cars can hold items, and other delivery products. According to Dominos In 1960, with a $500 down payment and $900 bor- rowed, Michigan-based brothers Tom and James Monaghan, purchased a small pizza store called DomiNick's. Soon after the Domino's logo, and the side panel displays the reflective that, James sold his half of the business to Tom, who in 1965 graphic of the Domino's brand. Other details include hubcaps renamed the company Domino's Pizza, Inc. For the next two the Domino's logo and the recognizable illuminated decades, the company continued to grow and in 1983 opened Domino's car topper ts 1,000th Domino's store and its first international store in Winnipeg, Manitoba, Canada. In 2010 Domino's Pizza's celebrated its 50th anniversary and opened its 9,000th store guy in a white lab coat talks about the features of the car worldwide. Today it has almost 12,000 stores including those and another promotes a $5.99 pizza deal with 0 percent in 80 international markets with global sales in 2014 of $89 APR for an unlimited time. The message that Dominos billion. This success has led to the company to consistently Shopes consumers get is that everything Dominos offers- being ranked in the Top 10 in Entrepreneur magazine's annual listing of great franchise opportunities the DXP comes equipped with a puddle light projecting the Domino's logo on the ground. The front fascia displays The humorous DXP ads mimic auto advertising. In one, he little delivery car races across the desert, in another, a rom emoji orders to a delivery vehicle-improves the pizza rdering process. Of course, there's no guarantee that the Recently, growth of the retail pizza industry has slowed because of intensified competition from other types of restau rants and an increased level of consumer demand for healthier maybe only option food choices. In this market, where there is little room for XP ads can have a positive impact on sales, that they an convince consumers to make Domino's their first and growth, Domino's must give current customer reasons to stay loyal and persuade potential customers to give them a try You Make the Call Domino's spends the majority of its $100 million-plus 13-34. What is the dec advertising budget on traditional television ads. The message of the recent "AnyWare" campaign is that you can use any device to place your Domino's TV, or smartwatch. The individual commercials highlight dif- ferent celebrities showing how easy it is to order food using their favorite devices. Eva Longoria orders a pizza using her TV remote, Sarah Hyland, an actress on Modern Family, texts her order with a pizza emoji, and The Avengers actor Clark GreggBased on ar Schuman, Demin's Again Ues Tehrebgy Busion Billinty'Compunwod Fetnuary 29,2016,it/)www.comput orders by tapping on his smartwatch ision facing Domino's? 13-35. What factors are important in understanding this deci sion situation order whether via text, tweet,3-36. What are the alternatives? 13-37. What decision(s) do you recommend? 913-38. What are some ways to implement your recommen- dation? Following the AnyWare campaign, Domino's latest ad-3 vertising campaign is not even about pizza-it's about thecage.co n stranyar-arsing..car compary-za325cune 2 2016 8Explanation / Answer
1) Two mobile advertising platform used by Dominos.
Ans- Domino's mainly do not depend upon the mobile advertising as they believe in social research model, still in mobile segment they have used
a) Domino's app & started to send mobile push notification. They also started to sponser other mobile app,
b) Dominos created games for users.
2) How successful have these two platforms for Dominos?
Ans- a) App alone provide 40% of sale,
b) Mobile Games create sales and market opportunity, people investing time on smartphone and playing games has created new sales opportunity.
3) Two recommendations to improve the success level.
Ans- a) include SWOT analysis before making any action.
b) to increase stores and franchise in India and China.
Domino's have a strong brand equity, which is an overall advantage over other industry. It is important for every business to understand their weakness , opportunities, threats, and strengths. So it is very important for Dominos to understand and implement SWOT analysis.
Dominos have their own stores in over 60 countries and wide network of owned franchise. Their advertising strategies have contributed a lot towards brand image and customer loyalty.
Their supply chain is more strong and effective, it ensures effective supply to all of its stores. Now the company should introduce new product in its existing menu. Domino's should focus on customer loyalty by providing quality at affordable price.
The company should also concentrate on increasing it stores from 2% to 18-22 % overall in India & China market. This will help company to expand. The company should also focus on cultural changes and demand to meet changing lifestyles.