Financial Daily from THE HINDU group of publications
Thursday, Apr 22, 2004
Financial Daily from THE HINDU group of publications Thursday, Apr 22, 2004 |
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Marketing
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Strategy Domino's new offer: Delayed pizzas for free Our Bureau
Chennai , April 21 DOMINO'S Pizza India, which until now has promised discounts on pizzas that aren't delivered within 30 minutes, will henceforth provide delayed pizzas for free. The promise is applicable only to the extent of the "first Rs 300 of the order"; and it's not applicable for an order of more than three pizzas, which is a bulk order. The company, which promises such a deal in many of its worldwide markets, has introduced it for the first time in India, a move described by the Domino's Pizza India CEO, Mr Arvind Nair, as a "scaling up of its commitment to customers." The new proposition — `Pizza delivered in less than 30 minutes or Free' — signals an increase in Domino's business from deliveries, rather than from in-store. When it opened shop in India eight years ago, three-fourths of business came from eat-ins; now, deliveries contribute that share, said Mr Nair. In an earlier interview with Business Line, the company had said it would expand in big cities where the concept of deliveries is in vogue. Around 80 per cent of Domino's 90-odd outlets are in the six major cities. Another reason why the new proposition was introduced in India, according to Mr Nair, is that the Indian unit was recently ranked number two in terms of quality among all markets of Domino's International. The various units of Domino's were ranked on the quality of the outlets, software and training. The aim, thus, has been to drive the market on the plank of quality, he said. Domino's, Mr Nair said, works on the basis of Enhanced Time Awareness, under which each process — including preparation of the cheese, toast and sauce — is made time-efficient. The billing software also tracks time, and the employees are trained to work against deadlines. The company plans to highlight the new proposition through a television and print advertising campaign, with spends of Rs 2 crore.
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