Dominos Pizza
Rodrigo Cunha
Bryan Barrera
Rishaal Kamta
Burham Awan
Business Policy
Professor Yen
2/4/2016
Dominos Project
Domino’s Pizza
Domino’s Pizza experienced a decrease in revenue of 16.3% from year-end 2005 through the year-end 2009. It is true that the economic recession was partly at blame. However, the enterprise suffered from a negative reputation in the marketplace.
Domino’s Pizza delivered pizzas that did not quite meet the demands of consumer taste. Their costumers would use social media to protest the ill delivery of pizzas and terrible taste. In addition, consumers were now more educated about their eating habits and had a growing concern with diets that led to obesity. Moreover, these facts combined with competition including companies such as Pizza Hut and Papa John’s, posed a hostile environment for Domino’s Pizza.
In order to overcome these pitfalls, Domino’s pizza not only introduced a new recipe but also launched one of the riskiest advertising campaigns to this day. The recipe was a reinvention of their pizza with new ingredients that improved flavor. The advertising campaign "oh yes we did" guaranteed customer satisfaction otherwise they would return their money and deliver another pizza free. Another aspect of this marvelous campaign was the use of real life costumers who participated in the making of the pizza in televised commercials.
Here is a comparison between pre-2009 strategies with its new approach. And, some qualities that were engaged to implement the revised strategies.
Pre-2009
Dominos was focused on producing pizza for as cheap as possible.
Cost leader
8.35% of pizzas sold in U.S
Second behind Pizza Hut 13.7%
Bad rep for poor quality pizza
Worst tasting pizza in its industry
Market share fell 2% from 2005-2009
Post 2009
“Oh Ye We Did Campaign”
Dominos renewed focus on “ Better ingredients, Better Pizza” and a broader menu.
Focused on improving taste of its pizza
Added garlic and butter to crust
Added new side dishes and desserts
Bryan Barrera
Rishaal Kamta
Burham Awan
Business Policy
Professor Yen
2/4/2016
Dominos Project
Domino’s Pizza
Domino’s Pizza experienced a decrease in revenue of 16.3% from year-end 2005 through the year-end 2009. It is true that the economic recession was partly at blame. However, the enterprise suffered from a negative reputation in the marketplace.
Domino’s Pizza delivered pizzas that did not quite meet the demands of consumer taste. Their costumers would use social media to protest the ill delivery of pizzas and terrible taste. In addition, consumers were now more educated about their eating habits and had a growing concern with diets that led to obesity. Moreover, these facts combined with competition including companies such as Pizza Hut and Papa John’s, posed a hostile environment for Domino’s Pizza.
In order to overcome these pitfalls, Domino’s pizza not only introduced a new recipe but also launched one of the riskiest advertising campaigns to this day. The recipe was a reinvention of their pizza with new ingredients that improved flavor. The advertising campaign "oh yes we did" guaranteed customer satisfaction otherwise they would return their money and deliver another pizza free. Another aspect of this marvelous campaign was the use of real life costumers who participated in the making of the pizza in televised commercials.
Here is a comparison between pre-2009 strategies with its new approach. And, some qualities that were engaged to implement the revised strategies.
Pre-2009
Dominos was focused on producing pizza for as cheap as possible.
Cost leader
8.35% of pizzas sold in U.S
Second behind Pizza Hut 13.7%
Bad rep for poor quality pizza
Worst tasting pizza in its industry
Market share fell 2% from 2005-2009
Post 2009
“Oh Ye We Did Campaign”
Dominos renewed focus on “ Better ingredients, Better Pizza” and a broader menu.
Focused on improving taste of its pizza
Added garlic and butter to crust
Added new side dishes and desserts