Question

Synopsis of Domino’s Cultural Adjustment!

Answer 1

Domino’s Pizza has been in the business since the last 50 years and the journey has been very successful so far. Domino’s success and sustainability along with the growth has been largely due to their ability to establish, maintain and remain true to their marketing mix.

The marketing strategy of every organization is product, price, place, and promotion. Domino’s Pizza has broken the norms by just concentrating on the four Cs, or consumer’s viewpoint, to establish their marketing mix. Customer solution, cost, convenience, and communication are considered every single time Domino’s Pizza introduces a new product or initiates a new promotion.

With a payment of $75, Tom and Jim Monaghan took ownership of a small pizza shop in Ypsilanti, Michigan. Their sights were firmly set on building a dynasty of three locations and monopolizing pizza delivery in a small concentrated area. From the very beginning, the Domino’s logo contained three dots. These dots, still present on the current logo, represent Tom Monaghan’s original vision of opening three locations and develop a triangulation delivery strategy.

The strategy chose by Domino’s Pizza was a market follower strategy. Competition forces changes to the market followers. The first change to the product offering at Domino’s happened almost three decades after they opened. In 1989, Domino’s Pizza introduced a deep-dish pizza. Domino’s also added other variations of the basic pizza. Hand tossed, and thin crust pizzas were added to the menu to satisfy demand in specific market areas and remain competitive. Domino’s keeps a watchful eye on the consumer reaction to specific product and pricing.

Domino’s product pricing is competitive with its counterparts in the industry. Campaigns and promotions are designed to not only attract new customers, but also to retain existing ones. Over 8000 locations promise convenience for Domino’s consumers. Name an area and you would find an outlet in that area. The future sales will depend on the ability of Domino’s marketing team to remain proactive, centered, and focused on the customers’ needs. It will always be important to realize shifts in the target market and leverage new opportunities to expand their customer base.