Dominos Pizza Case Analysis

In Partial Fulfillment of the Requirements of the Subject,

MARKETING MANAGEMENT

Submitted and Prepared by:

Ramadhan, Muhamad Rahmat

Submitted to:
Prof. Carmen Hicap
Overview
One of the leading pizza chains across the world, Dominos is the top contender
for the strongest Italian fast food chains. The brand has a close competitor in
Pizza hut. However, it has long overtaken Pizza hut to become the most sold
pizza brand in the market. But compared to indirect competitors like
McDonalds and KFC, Dominos still has a long way to go. Beside that, In
recent years 2009, Domino has come under consumer fire, the company
posted a 16.3 percent decrease in domestic revenue from year-end 2005
through year-end 2009. Domino got complains by consumer about low quality
pizza, but coupled with the fact that consumers continue to become more and
more educated healthy food that became Dominos concern.

Central Problems:
How Dominos Pizza keep relations with customers

Objectives:
Keep introducing and educating about product Domino to old and new
customers
Provide standard Training Program and conformed changes in large areas
efficiently

Areas of Considerations

Threats:
Competition both in Domestic and International marketplace with a sort of
company
Commodity (Products & Service)
Growing health conscious population
Food Safety
The Fast food industry has reached its maturity stage.

Opportunities:
Pizza remains a very popular product and represent American culture that
could be lifestyle in the other country
The pizza segment of the food represent 11.7% of all restaurants and accounts
for more than 10% of all food service sales.

Strengths:
New Products and re-formulated pizza taste to be introduce
Three business segments of Domino that supporting to create convenience for
customers
Domino selects locations that enable to carry out and delivery to
accommodate customers to dine in or take out.
Domino consistency and locgitical operations that keep overhead costs down
and provide a less expensive pizza
 Arranging store coolers according product usage dates and to service stores by
anwering questions, assisting with set up, taking phone messages and even
mopping up fllors
Dominos brand value is ranked # 2 behind Pizza Hut

Weaknesses:
Quality control too becomes challenging. Due to this, some of the Dominos
outlets got closed affecting the image of the brand.
Dominos has more delivery outlets then eating joints which is a problem
especially in places like malls and other locations where clearly customers
want a sitting place

Alternative Courses of Action

1. Innovate / Invent new product to be offer to the market.
2. Provide training to Franchises and Staffs (Product Knowledge, Good Customer
Service and awareness on job responsibilities)
3. Assess the place and target market if its ideal place to put up Domino whether for
dine in or delivery.

Final Decision
I recommend for ACA #2, because the central problem is keep relation with
customers, which affect how Domino keep relation with customers and bring new
customers by introducing new product and re-formulated pizza recipe.
There will be a big impact to our customer because of new product. I am sure they
will patronize again the restaurant. For the reason that we offer them a new product
and it will increase our sales and revenue as well as the franchisees profits. Next, we
can provide training to the staff and Franchisees to be aware about the operations,
product knowledge and how to market our brand. With this, McDonalds will expand
globally in the market.

Detailed Action Plan

Provide training to Franchises and Staffs (Product Knowledge, Good Customer
Service and awareness on job responsibilities)
- Domino should given training to Franchises and Staffs about each new
product or new pizza recipe that launched in order that, each franchises and
staffs could give understanding to customer.
- Make the explicit procedure for used by all franchises and staffs about
delivery service to be quicker than expected service delights the
consumers