Domino India’s Market After US’s Dominos Stores

Domino India’s Market After US’s Dominos Stores

The world’s largest pizza delivery chain, Dominos has recorded more pizza sales in India in the whole world barring the US- its home country.

Dominos Pizza India is run by Jubilant FoodWorks. The company gets promotion through the Bhartiya family and sells around four lakh pizzas every day. This number multiplies to 12 crore pizzas every year which is double the amount of sold McDonald’s burgers.

Domino’s India also reached the highest number of stores in the world (except the US) leaving behind its UK counterpart and became the largest international market for the company. The total number of Domino’s Pizza restaurants in India across 173 cities is 818 as recorded on 29 November 2014.

Ajay Kaul, chief executive at Domino’s India said that”India is the only country where we are double the size of McDonald’s”.

Hoping for a bigger success he said, “We believe we are scratching the surface… over 15 million people are consuming us every year, but half of those consumers are consuming us only once a year”. Because of this opportunity Domino’s which has $8 billion global retail sales has thought of expanding itself in the Indian markets. This step has been taken despite the fact of the slowdown in the quick-service sector owing to more restricted spending by the people. Jubilant FoodWorks itself recorded a 5.3 percent slowdown in the second quarter as compared with 6.6 percent a year back.

Dunkin’ Donuts, owned by the same company recorded a 12.7 percent year-on-year drop in its net profit for the second quarter at Rs 29 crore. This mostly happened as it spent huge money on opening new stores.

Further, it wants to add to its list of stores. According to Kaul, Domino’s is planning to set up 150 new stores every year and hopes to set up 2000 stores. Even in smaller cities, the demand for pizzas is huge.

Domino’s India ranked 2nd within eighteen years. Although, it is far behind the US which has 5000 stores.

Patrick Doyle, a global president, and CEO at Domino’s Pizza is not surprised by India’s success owing to the good quality of people the company has.

“India now has more stores than any market outside of the US. Clearly, it is a major priority for us and will continue to be,” he told ET in an email. So why have Indians taken to pizza in such a big way? Kaulasserts that the reason for this is cultural affinity. He stated that”Pizzas resonate with Indian consumption habits as they look like chapatis, have a wheat base, are eaten with hands instead of forks and spoons, and the same pizza is often shared by slices and has either vegetables or chicken toppings”.

On top of this, there are multiple varieties of mix and match topping choices of ours. “We Indians like combinations and variety in our food and a pizza allows all of that, unlike a burger or any other global food product,” commentedSantosh Desai, social commentator and MD and CEO of Future Brands. Another big factor is the price. The price beginning at 49, Domino’s pizzas in India are also the cheapest priced option in the world.

Further Dominos delivers at 30 mins leading to more stores and less coverage area. Also, the Hero sourced delivery bikes come fitted with speed-governors which warn beforehand for over-speeding. As per Kaul “We call our delivery men ‘safe delivery persons’ and (still) try to ensure that the average delivery time is 22 minutes”.



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