pizza..!! this single dish grabs all the attention of the people of every age, and when we talk about this delicacy the other thing that comes to our mind is dominos, which provide us a large range of pizza.
there are numerous marketing strategies of dominos that lead the company in this stage. now you must be curious to know what are the marketing strategies which have helped dominos to be in this unique stage.
in this article, we will study-
- history of dominos
- segmentation, targeting, and positioning
- BCG matrix
- distribution strategy
- competitive advantage
- brand equity
- market analysis
- customer analysis
- competitive analysis
History
dominos is a leading industry founded in 1960 which currently has more than 16000 outlets all over the world. this industry is present in 5 continents covering more than 70 countries which have garnered a market leader position specifically in the pizza market.
its low-cost infrastructure investment and marketing strategies and franchisee-owned business model are making their business more viable than the competitors.
Segmentation targeting and positioning in the marketing strategy of dominos-
when a consumer hears the name dominos, they know that their food will be delivered to them within 30 minutes. this 30 minute guarantee time has made the consumers attracted to the company.
the company has segmented itself in numerous ways of geographical, demographics, and consumer-based model. as consumer-based, it has segmented into 3 types of
- younger customers- these from the age of 18 to 35, which brings a large amount of business to the company.
- working professionals- which are from the people from the job industry, or families who frequently require food options which are easy with little or even no effort and time-efficient.
- event organizers- people who set up and people who are involved in organizing events such as birthday parties.
as geographical model dominos has localized its menu according to Indian preferences. like dominos understands that in India cow is sacred so dominos replaced pepperoni, beef-based topping with spicy chicken sausage topping.
dominos uses a targeting strategy to serve the customers the best in both taste and services.
positioning strategy of dominos is very critical as this company has served and still serving its best to be in the no.1 position in the eyes of customers. though there are a lot of competitions, so far it became successful in positioning itself as the best pizza brand.
BCG matrix in the marketing strategy of dominos-
dominos offers both veg and non-veg pizza and other food items in its menu with options of different toppings to choose from.
thus they offer both veg and non-veg pizza but veg pizza is more in demand. dominos veg menu is more popular and in-demand which is a star in the BCG matrix. dominos has almost taken away the market share of pizza from pizza hut.veg pizzas have a lot more demand in India compared to non-veg and dominos have created the best taste of pizza among the customers.
Distribution Strategy
the distribution marketing strategy of dominos is vertical in nature. the delivery service has helped dominos to serve its customer the best. ’30 minutes delivery’ scheme has helped dominos to grow and attract the customers the most.
dominos has its own manufacturing units in some countries and in others, there are franchises that are opened which are serving the best for its customers. countries like in India, Srilanka, Bangladesh, and Nepal, there are franchises which are running and delivering pizza to its customers.
thus, the distribution marketing strategy of dominos is a very important and yet affective part of marketing and attracting the customers.
Competitive Advantage
dominos has come on a stage of superior business position, but it has to maintain its legacy and have to add some techniques and tricks of different marketing strategies to grow further.
the key elements of dominos that includes-
- supply chain- dominos offers a vertical supply chain for its industry, which helps the company to grow. vertical alignment has helped the industry to align its resources and control the cost structure to be more competitive in the market.
- on-time delivery- 30 minutes delivery scheme has eventually helped the company to grow. when customers tend to know that they will be getting pizza in 30 minutes, sitting in their comfortable couch. they became excited and dominos became a leading company to deliver the food to its customer on time.
- low-cost- it is one of the major cost components making their business more viable compared to other food brands. the interior of dominos is designed in such a way that it shows fast consumption so that people can order, eat, and move. dominos promotes pizza as what it is called “fast-food”.
Brand Equity
brand equity marketing strategy means that how a company has differentiated itself from the others. dominos has always focused itself on how to make itself different and unique from others. at the earlier times, pizza hut was a definite competition but after years of struggle, dominos have grown itself in a way that in 2016 Forbes ranked dominos on 301 ranking where pizza hut is also close with a ranking of 355.
schemes like 30 minutes guaranteed delivery or free is an all-time popular campaign that helped the company and this scheme was one of the best examples for marketing strategies of dominos. this scheme has helped the company to grow across the geographies and demographics.
Market Analysis
due to the presence of various fast food options, it is difficult for dominos to increase the customer base and increase its market share. in developing nations it is difficult for the company to increase the market and make the proper market analysis because of various reasons like low per capita income, literacy level, poverty level, the standard of living.
dominos branches mainly are located in the urban areas to cater to the needs of the large areas of nearby localities and provide the best for its customers and to keep low infrastructure cost..;
Customer Analysis
customer analysis marketing strategy of dominos is segmented in different geographical and demographic sectors of the country. consumers are served differently in developed and developing countries. in developed people of all ages come to the dominos whereas in developing countries like India consumers of the age group of 20-40 years visit the restaurant.
furthermore, as people are becoming more health-conscious with time some customers of older ages are cutting from pizza as it contains cheese, and is shifting to other options like the subway. but the younger generation of 20-40 age gives the maximum profit to the company and no young people can say NO to PIZZA.
Competitive Analysis-
the pizza industry is overloaded and overcrowded with many other brands like pizza hut, Jones, toppers, etc, but dominos have always stood out all of the others by eating up all the market shares of the others. its taste and on-time delivery have always attracted the customers.
though dominos is not only focusing on pizza. other food items like garlic bread, tacos and one newly launched dish named pizza burger or “chizza” are also attracting the taste buds of the customers. chizza is a combination of burger pizza which is a tough competition to McDonalds.
so, this marketing strategy of dominos is attracting the customers and it is slowly eating up all the other industries.
Conclusion
so, the marketing strategies of dominos are adaptive in nature. these marketing strategies have always stood out to be responsive and positive to the industry. there are many strategies which the company adapts almost every year. but these marketing strategies of dominos are quite repetitive and give the best results.
dominos is leading the industry for a long time and is doing and adapting all the marketing strategies which give the best results.
