ANALYSYING THE SERVICES OF DOMINO’S

By

Ayushi Jaiswal – 18BSP1549

Kaustubh Shrivastava- 18BSP1665
Palash Navlani -18BSP1793
Priyanshi Agarwal – 18BSP1851
Radhika Giroti – 18BSP1857
Sahil Chhabra – 18BSP3614
Rajat Singh Rajawat – 18BSP1879

A report submission in partial fulfilment of

the requirement of PGPM Program

of
IBS Gurgaon
DISTRIBUTION LIST:
Prof Vineet Jha
Date of submission: 10th September 2019

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 ACKNOWLEDGEMENT

Great experiences aren’t attained in isolation, so we would like to acknowledge and thank all
the people involved for making the entire experience of live project so enriching.

We would like to thank Prof Vineet Jha for assigning us this project and giving us a chance
to learn the distribution network of a consumer durable firm.

She has been an ideal mentor and without his guidance the journey wouldn’t have been smooth.

We are immensely indebted to the restaurants for their time and efforts to guide us. They were
extremely cooperative and helped us with a a lot of information.

We are thankful to everybody who helped us directly or indirectly by contributing their

valuable time, energy and knowledge to execute the project. Their support can’t be overlooked.

Ayushi Jaiswal
Kaustubh Shrivastava
Palash Navlani
Priyanshi Agarwal
Radhika Giroti
Sahil Chhabra
Rajat Singh Rajawat

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 Contents
ACKNOWLEDGEMENT ...................................................................................................................... 1
INTRODUCTION .................................................................................................................................. 3
ABOUT DOMINO’S PIZZA INDIA ..................................................................................................... 4
MARKETING MIX OF DOMINO’S PIZZA ........................................................................................ 5
SERVICE BLUEPRINT OF DOMINO’S .............................................................................................. 9
DIMENSIONS OF SERVICE QUALITY ........................................................................................... 10
SWOT ANALYSIS OF DOMINO’S ................................................................................................... 10
SOURCES OF DATA .......................................................................................................................... 12
OBSERVATIONS ................................................................................................................................ 14
CONCLUSION ..................................................................................................................................... 20
RECOMMENDATION STRATEGY WITH RESPECT TO 7P’S ...................................................... 21

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 INTRODUCTION

Industry Overview
The fast food industry is on a high as Indians continue to have a feast. Fuelled by what can be
termed as a perfect ingredient for any industry – large disposable incomes – the food sector has
been witnessing a marked change in consumption patterns, especially in terms of food. An
increasing number of international fast food chains rushing to India is because all of them see
tremendous potential in for this type of business. The large upwardly mobile population in the
urban areas tend to eat out more often or business or for leisure.

The various players operating in India are the well-established Indian chains like Nirula’s. In
addition to these, apparently some of the best known international food chains are looking at
India. Among them are Sbarro, The Burger King, KFC, Dunkin Donuts, and Subway, etc. are
some of them to name. At present all these players are fighting for a small pie, as fast food is
really not a big habit with Indians, but they see a big potential.

The players are fighting on products, pricing, positioning and trying to convert their first trials
into regular purchase by providing delightful service quality. The focus is on product quality
and standardization on taste. Consistency is the key, as its standardization in fast food as the
consumer is short on time and wants to satisfy his taste buds with a consistent taste experience.

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 ABOUT DOMINO’S PIZZA INDIA

Jubilant FoodWorks Limited (the Company) is a Jubilant Bhartia Group Company. The
Company was incorporated in 1995 and initiated operations in 1996. The Company got listed
on the Indian bourses in February 2010. Mr. Shyam S. Bhartia, Mr. Hari S. Bhartia and Jubilant
Consumer Pvt. Ltd. (formerly Jubilant Fresh Pvt. Ltd.) are the Promoters of the Company. The
Company & its subsidiary operates Domino's Pizza brand with the exclusive rights for India,
Nepal, Bangladesh and Sri Lanka. The Company is market leader in the pizza segment with a
network of 1,167 Domino’s Pizza restaurants across 269 cities in India (as on Sep 30, 2018).
The Company is the market leader in the organized pizza market in the pizza home delivery
segment in India, The Company has strengthened its portfolio by entering into an agreement
with Dunkin' Donuts Franchising LLC, for developing the Dunkin' Donuts brand and operating
restaurants in India,
Over the period since 1996, Domino's Pizza India has remained focused on delivering great
tasting Pizzas and sides, superior quality, exceptional guest care and value for money offerings.
We have endeavoured to establish a reputation for being a home delivery specialist capable of
delivering pizzas within 30 minutes or else FREE to a community of loyal consumers from all
our restaurants around the country.
Domino's vision is focused on " Exceptional people on a mission to be the best pizza delivery
company in the world!" We are committed to bringing fun, happiness and convenience to lives
of our consumers by delivering delicious pizzas to their doorstep and our efforts are aimed at
fulfilling this commitment towards a large and ever-growing guest base.
Domino's believes that when a box of pizza is opened, family and friends come together to
share the pizza. Hence, our brand positioning: ‘Yeh Hai Rishton Ka Time'
That's why, all our efforts, whether it is a new innovative and delicious product, offering
consumers value for money deals, great service, countrywide presence or the promise to deliver
in 30 minutes or free are all directed towards making relationships stronger, warmer and more
fun by giving consumers an opportunity to get together, catch up, reunite and spend more time
together. Consumers can order their pizzas by calling the single Happiness Hotline number
18602100000 OR order online at Pizza Online.

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 MARKETING MIX OF DOMINO’S PIZZA

Domino’s Pizza is one of the most popular pizza chains and is a delivery company for
different varieties of pizza. In today’s world, Domino’s has been equivalent to quality,
freshness and good service. This fast food company has continued to grow by leaps and
bounds. The company’s innovative ideas, the commitment to provide quality products and its
dedication to the customer base have helped it to maintain its position at the top.

Tom Monaghan and his brother James launched Domino’s in the year 1960. The next year
Tom bought his brother’s share with a trade of Volkswagen Beetle. The company was then
renamed Domino’s Pizza. Domino’s opened its first outlet in India in the city of New Delhi.
Later it opened other outlets in almost all the cities of India and at present, it has more than
500 outlets in India.

The chief competitors of this coolest dug-out are Pizza Hut, KFC, McDonald and Subways.

Product in the Marketing mix of Domino’s pizza

Domino’s is widely known for its quality and fresh pizza. The boxes for the food products are
specially designed to keep everything fresh and hot. The products offered are of both vegetarian
and non-vegetarian variety. In order to seize the market Domino’s has worked on a unique
concept of localizing the flavours.

Domino’s pizza comes in three different sizes – small, medium and large. In the varieties,
Country Special Pizza, Mexican Green Wave Pizza, Zesty Chicken pizza, Seventh Heaven
Pizza, Chicken and Prawn Pizza, Grand Supreme Pizza, Chicken and Camembert Pizza are
some of the popular pizzas.

Besides pizzas, Domino’s also deals in some other food items. Calzone pockets, Garlic Bread
Sticks, Stuffed Garlic Bread Sticks, Taco Indiana, Pasta Italiano (white sauce), Chicken Wings,
Choco Lava Cake, Spicy Baked Chicken and Butterscotch Mousse Cake are also available
here. Beverages like pepsi and lipton ice tea have been introduced in the menu.

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Domino’s also gives a choice in the matter of crust like the Fresh Pan Pizza and Cheese burst
pizza. It has also started offering options including whole-wheat crust and any other company
has yet not utilized this option. The buyer also has a choice on the toppings. Extra cheese on a
pizza and Dips like Roasted Pepper Dip and Cheesy Jalapeno Dip are available on demand.

Price in the marketing mix of Domino’s pizza

Domino’s main target is the lower middle class and middle class income group. Best of quality
with reasonable pricing is its motto. Domino’s has come up with a uniform and consistent
pricing policy. This keeps the base price in check and helps the company to attract customers.
If you look at the competition, then Domino’s has been evenly prized with Pizza hut. But the
prices are high as compared to KFC and McDonalds and hence the price conscious customers
will prefer the indirect competitor – McDonalds and KFC above Domino’s.

Affordability is the key to the tremendous success of this reputed company. To maintain the
price level many new and innovative schemes are launched on regular basis. It always gives its
customers value for one’s money. Special discounts are offered at regular intervals. For
Wednesdays, a special scheme was launched where one free pizza was offered with one
buy. Many free food items on purchase of selected and exclusive products are some of the
methods to lower the prices and attract the customers. Pizzas are available in three sizes large,
medium and regular so that one can buy whichever is affordable to them.

Place in the marketing mix of Domino’s pizza

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Domino’s pizza has always maintained a direct channel with its customer base. The customers
either call or send a message by telephone for the pizza delivery. Consumers can also place
their order online through the official website of Domino’s. In both the cases, the packaged
food product is delivered and subsequently received by the buyer at the mentioned address. If
the order does not reach the buyer in allotted thirty minutes, then the buyer does not have to
pay for it. The order is delivered free of charge. The delivery boys are the real heroes of this
organization. The detail of every route is decided beforehand and after an order is placed, this
route is followed so that minimum time is taken.

One of the most common methods of eating a pizza is to dine-in the Domino’s outlet. Domino’s
has many outlets in very good locations. Most of the shopping malls and main streets have a
section for Domino’s pizza. Domino’s is currently located in 73 countries and has more than
10000 stores.

Promotions in the marketing mix of Domino’s pizza

Domino’s idea of maintaining direct contact with its consumer base is one of the leading factors
that have taken the company to unachievable heights. Its policy of door-to-door deliveries is
amazing. Nearly every individual knows that Domino’s will deliver the pizza in thirty minutes
flat. Domino’s sales depend on telemarketing and the efficiency of their trained delivery boys.

Besides evaluating their own strength and weaknesses, Domino’s has also been observant of
their competitors. McDonalds KFC, Subway, Pizza Hut and Burger King are some of the
important competitors of Domino’s. The one field where the other companies have been simply
unable to give competition is in delivering the pizzas on time.

To promote its food products, Domino’s is always introducing new schemes and offers in order
to maintain its grip on its customers. The home delivery is always free of charge. Sometimes
the company offers a 50% discount on the second pizza. At other times, the company introduces
schemes like one small pizza free on one large pizza. Sometimes lucky coupons are also
awarded to loyal buyers. The most regular and common scheme is of giving a coke free on
every purchase. Thus, the advertising team is actively involved in the marketing and
promotional strategy to boost up the sales.

The visual media of television has been utilized to the maximum capacity. Many beautiful ads
for domino’s pizza with reputed actors have been aired and they all have been very popular
with the masses. Most ads of Domino’s are targeted to be product introduction or ads or
the brand’s reminder ads so that people look at the ad and order a Domino’s Pizza. Domino’s
has surely changed the concept of eating amongst the Indian Household. Ads for Domino’s
pizza can also be seen in newspapers and magazines.

People in the marketing mix of Domino’s pizza

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Domino’s Pizza has people working under its sales team that play a vital role in its marketing
efforts. These people have been trained in persuasive techniques, but also to show respect to
the business customers taking into consideration their preferences .Domino’s Pizza has people
working in its customer service department. These are contacted by customers in case of any
issues within the product, and these people guide customers through the process of getting the
issues resolved. These people are trained to respect the customers and try their best to get their
issues resolved. Domino’s Pizza has people working with suppliers to obtain raw materials.
These people play a vital role in maintaining or improving the quality of the final product
produced .Domino’s Pizza has people working at retail stores who help the customer on site,
by answering any questions or helping them decide the product that best suits their needs.

Process in the marketing mix of Domino’s pizza

Domino’s Pizza to make sure that its products are always available at retail stores has systems
installed where retailers can notify when their inventory levels are low. Domino’s Pizza
provides them with more products while ordering its productions to replenish its stock. This
ensures that products are always available to customers when needed .Domino’s Pizza has an
online delivery process, where orders are received in the computer system and based on these
orders, the relevant product from the inventory is shipped to the delivery service provider.
Domino’s Pizza is actively involved in researching market opportunities in order to understand
customer needs. It also develops understanding regarding customer needs through feedback
collected at store, its helpline or social media pages.

Physical Evidence in the marketing mix of Domino’s pizza

Domino’s Pizza sells its products in a distinct colour packaging that easily identifiable on retail
shelves. These are placed on special shelves provided by the company, which also have a
distinct colour and design. This makes it easier for customers to locate such shelves in busy
retail stores.

Domino’s Pizza has an online website that is user-friendly and allows customers to view its
products in high quality images taken from various angles. The physical evidence for domino’s
is also the outlet as well as the pamphlets.

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SERVICE BLUEPRINT OF DOMINO’S

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 DIMENSIONS OF SERVICE QUALITY

RELIABILITY - The ability to perform the promised service. Service is accomplished —

On time — In the same manner — Without errors — Every time. Back office — Billing
accuracy, book keeping

ASSURANCE - Knowledge and courtesy of employees at dominos. Ability to convey trust

and confidence — Competence to perform the service — Politeness and respect for the
customer — Effective communication — Customer’s best interests at heart

TANGIBLES - The appearance of physical facility, equipment, personnel, and

communication materials. —Tidiness of physical surrounding —Noise —Attractive logo and
interior design

EMPATHY - Caring, individualized attention —Approachability —Sensitivity —Effort to

understand the customers’ needs.

RESPONSIVENESS - Sales people in dominos always show willingness to help customers

and to provide prompt service ―Ability to recover service failure quickly ―Dealing with
grievances ―Readiness to respond

SWOT ANALYSIS OF DOMINO’S

SWOT analysis of Domino’s analyses the brand/company with its strengths, weaknesses,
opportunities & threats. In Domino’s SWOT Analysis, the strengths and weaknesses are the
internal factors whereas opportunities and threats are the external factors.

SWOT Analysis is a proven management framework which enables a brand like Domino’s to
benchmark its business & performance as compared to the competitors and industry. Domino’s
is one of the leading brands in the food & beverages sector.

Strengths in the SWOT analysis of Domino’s

1. Brand Recall: High brand recall due to its regular advertising with taglines such as ‘30
minutes nahi to free’. Such aggressive marketing has created awareness & a promise
for the brand in the market.

2. Fantastic channel network: With its 9000 franchise & company owned outlets
Domino’s has extensive network spread over more than 60 countries.

3. Quick service & deep menu: Quicker than expected service delights the consumers
and helps the company to differentiate itself from others. In India Domino’s is trying to
attract the middle class and lower middle class people who are interested to spend their
money on pizza but in low price. Those people are eager to go for an outing in any
festival and want cheap and best family restaurant. Domino’s would be most preferable.
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 4. Low cost alternative: They do not need high class Ambiance or amusement in the shop
so the establishment cost is low for the dealers and the price of pizza is very reasonable
for the customers.

5. Healthier alternatives: To combat health awareness among consumers, Domino’s is

trying to change their dough by having healthier fats, which is done by incorporating
more whole wheat into their crusts. The pizza toppings are also becoming healthier, and
some pizzerias are introducing salads into their menus.

6. Efficient supply chain: Due to its efficient supply chain Domino’s has made it possible
for quicker service so that customers don’t have to wait for long. The preference of
Domino’s is because the customer can have home delivery within 30 minutes. Making
a small breakfast at home itself takes 15 minutes.

Weaknesses in the SWOT analysis of Domino’s

1. Operations: Large number of franchised outlets results in difficulty in handling

operations. Quality control too becomes challenging. Due to this, some of the Domino’s
outlets got closed affecting the image of the brand.
2. Decreasing sales in mature markets: Due to rise in health conscious population there
is decrease in revenue affecting the business as a whole.
3. Low staff retention: High attrition due to the absence of proper training &
development is a major challenge for Domino’s. Plus the manpower employed is also
unskilled so they quickly change jobs when they cannot adjust to the hectic
environment.
4. Lesser number of eateries: Domino’s 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.

Opportunities in the SWOT analysis of Domino’s

1. Market Expansion: Expanding to the developing markets will be beneficial as far as

Pizza industry is concerned, as developed markets are maturing. Targeting the
developing economies should be the future strategy of the company.

2. Penetration: Strengthening its outlet network by further penetrating the current market
will help Domino’s to increase its revenues.

3. Health conscious eatables: Introducing health conscious menu with new flavor
additives which is low in fat will result in increasing it revenues in future.

4. Restaurants: By introducing exclusive Domino’s restaurants in cream areas will help

the brand with more brand recognition and will also help in getting the customers who
like to eat outside in plush restaurants.

Threats in the SWOT analysis of Domino’s

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 1. Direct and Indirect Competition: Intensive competition from the local & national
players like “Pizza hut”, US pizza and more. In fact, Indirect competition is more from
the likes of McDonalds and KFC wherein customers prefer burgers over pizza.

2. Changing Consumer Eating habits: With government & NGO’s concentrating more
on health awareness, people are becoming more aware of what to consume & what to
avoid which is affecting the business of Domino’s.

3. Cost: As the cost of vegetables and raw materials rises, the cost of maintaining the
pizza chain also goes up. Plus, competition affects the bottom line of the company.
Thus managing the cash flow becomes difficult.

SOURCES OF DATA

1)Primary Sources:
The primary source for our research study is survey via Google forms which is supported by a
well framed questionnaire

2) Secondary sources:
The secondary sources we have used for our study are:

 Fraction of data from the internet regarding the information about the fast food
industry and Domino’s in particular.

SAMPLING PROCEDURES
We have followed random sampling. In random sampling we collected data from consumers
in Gurgaon to analyze their perception about Domino’s.

METHODS AND INSTRUMENTS OF DATA COLLECTION

For the method of data collection we followed online questionnaire through Google forms
which included the following questions:

QUESTIONNAIRE

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Consumer perception towards Domino’s
* Required

Gender *
 Female
 Male

Age *
 <18
 18-25
 >25

Do you like eating outdoors? *

 Frequently
 Occasionally
 Rarely

Which is your favourite food joint? *

 Pizza Hut
 Local Restaurants
 McDonalds
 Burger King
 Domino’s
 Any other

How often do you visit Domino’s? *

 Monthly
 Weekly
 Rarely
 Never visited

There has been consistency in the taste and quality at Domino’s. *

 Strongly agree
 Disagree
 Neutral
 Agree
 Strongly disagree

The seating and ambience at Domino’s is comfortable. *

 Strongly disagree
 Disagree
 Neutral
 Agree
 Strongly agree
Advertisements done by Domino’s influence you. *
 Strongly disagree
 Disagree
 Neutral
 Agree

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  Strongly agree
Domino’s offer value for money. *
 Strongly disagree
 Disagree
 Neutral
 Agree
 Strongly agree
Promotional schemes have an influence on you. *
 Strongly disagree
 Disagree
 Neutral
 Agree
 Strongly agree

Domino’s should make changes in its offering. *

 Strongly disagree
 Disagree
 Neutral
 Agree
 Strongly agree

Rate Domino’s’ home delivery. *

 1
 2
 3
 4
 5

Rate the staff at Domino’s on being courteous. *

 1
 2
 3
 4
 5
You would recommend Domino’s to others. *
 Strongly disagree
 Disagree
 Neutral
 Agree
 Strongly agree

OBSERVATIONS

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 CONCLUSION

Study revealed that promotional offers and consumer’s positive perception towards Domino’s
are related to each other. Male and female consumers have same perception towards the
promotional offers offered by Domino’s.

Sometimes consumers don’t put a high value on certain items in your inventory. Bundling these
items free or at a much reduced costs increases the chances they’ll buy items with a higher
value. A coupon can make or break consumer’s decision about which brand to purchase.
Consumers spend more when offered coupons. Consumers get attracted for the purchase when
there are interesting offers available. Many consumers search for a coupon first then decide on
the brand. Coupons have a great effect in remarketing campaigns aimed at those who
abandoned their shopping cart.

One of the responses of the consumers was as follows:

“Domino’s provides us with various promotional offers which influence them to buy”

Few more reasons adding to Domino’s being a preferred food store over others:

 Aggressive expansion to over 1000 plus stores.

 Localized recipes for the Indian Palate.

 Consistency in taste and quality

 Effective customer service.

 Value for money

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 RECOMMENDATION STRATEGY WITH RESPECT TO 7P’S

Recommended Product Strategy for Domino’s Pizza

 Domino’s Pizza should extend additional benefits for purchasing its products that
include warranties, delivery and credit, after-sales service, helpline services etc.

 It should introduce new products that are in line with the latest trends in the market. It
should identify opportunities within the market and introduce new products that make
use of these opportunities.

 It should test newly introduced products in test markets before going for full
commercialization of these.

 It should introduce widen its product portfolio, offering new product lines to fulfil
customer needs.

 Domino’s Pizza should improve its product packaging such that it is more convenient
to transport and use. Its packaging should also be visually appealing so that customers
are attracted to it.

Recommended Price Strategy for Domino’s Pizza

 Domino’s Pizza should introduce discounts and allowances, where it lowers prices for
a short period of time in order to attract customers and gain market share. It can do this
by reducing a percentage off the price of its products.
 Domino’s Pizza should use psychological pricing where it prices products so that they
seem to be lower; for example, it can price a product worth $100 as $99 as people would
consider this to be lower.
 Domino’s Pizza should introduce new products with a price penetration strategy where
it offers an initial lower price than competitors to gain market share. This will ensure
that new products that are introduced are used by and become more popular than that
of competition.

Recommended Place Strategy for Domino’s Pizza

 Domino’s Pizza should open up its shop on social media as well, where it would sell its
products on these platforms along with social media posts. This will allow the company
to generate more sales. Its online shop and social media pages should be integrated in
order to provide easy navigation to its users.
 Domino’s Pizza should focus on improving its online website such that it becomes more
user-friendly and easier to use.
 Domino’s Pizza should ensure that it sells its products to large retailers through personal
selling. These large retailers have grown in recent years and attract a large number of
customers. This would ensure that Domino’s Pizza increases its sales.

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  Domino’s Pizza should open up company-operated retail stores, where it offers all of
its products. This would help save costs for the company as retailer and wholesaler
margins would not exist.

Recommended Promotions Strategy for Domino’s Pizza

 Domino’s Pizza should hire influencers on social media such as bloggers or popular
TV/movie stars, and include them in its advertisements. Bloggers can post content on
their social media pages in order to promote Domino’s Pizza. TV/movie stars can be
included in advertisement commercials to increase acceptance of the product by
customers.
 Domino’s Pizza should initiate an advertising campaign where a consistent message is
provided to customers on all media platforms. This will help increase awareness for the
brand within the minds of the customers.
 Domino’s Pizza should undergo various digital marketing technique in order to
improve the online traffic on its website. These include a banner advertisement, Search
Engine Optimization and creating its blog.
 Domino’s Pizza should make social media posts that are more relevant to its target
audience. The posts should also be such that they encourage further action by customers
such as sharing the posts with friends or leaving feedback in the form of comments.
These should incorporate the latest social media trends such as hashtags, memes etc.
 Domino’s Pizza should start collecting data on customers and start sending them
messages through email or SMS, which will eventually result in repeat purchase by
customers.

Recommended People Strategy for Domino’s Pizza

 Domino’s Pizza should undergo trainings for its sales force, customer services and
purchasing people as these play a vital role in delivering value to the customers.
 Domino’s Pizza should provide incentives to its sales force through bonuses for
meeting targets, or through commissions for the sales made.
 Domino’s Pizza should hire people that show respect towards customers, and are
committed to the company.

Recommended Process Strategy for Domino’s Pizza

 Domino’s Pizza should use computers across to handle its various process to increase
efficiency and timely delivery to customers.
 Domino’s Pizza should constantly look for ways to innovate and improve its processes
in terms of efficiency and cost. Costs savings would eventually lead to lower prices for
its products.

Recommended Physical Evidence Strategy for Domino’s Pizza

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 Domino’s Pizza should collect feedback from its customers regarding its packaging so
that it could improve on this.
 Domino’s Pizza should set up its own stores where it provides a shopper-friendly
environment and ambience, encouraging its customers to purchase its products.

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