Question

compare pizza hut and Dominos strategic planning

how they differ from a competitive advantage perspective. In addition to understanding and describing the different choices and structural differences between these two companies you must compute and explain

Answer 1

Strategic Planning Pizza Hut:

Pizza Hut was started with the idea of opening a pizza parlor and later on expanded as multiple franchise units across the world. It offers a restaurant like dining experience and also provides delivery of pizzas to their customers. Pizza Hut's marketing startegy since the beginning has always been to be the first. They are always trying to come up with something better, newer, bigger pizzas for a lower price. Pizza Hut is always trying to add something new to their menu, for example in 1992 the famous buffet was launched in Pizza Hut restaurants worldwide. Offering special promotions and new pizza variations are popular today as well. Another strategy used by Pizza Hut is the diversification of their pizzas. For example, they introduced the "Pan Pizza" which had the guarantee of being ready in 5 minutes. "Big foot" which was a two square pizza into 21 slices. "Stuffed Crust Pizza" where the crust would be filled with cheese, "the Edge" and "The Big NewYorker" and so on. Lastly Pizza Hut has always valued customer service and satisfaction to make sure that their customers are happy and always willing to return. Another competitive advantage is the fact they have a full restaurant service as well as delivery services. Pizza Hut can market to families much easier than their competitors where families can take their children out for birthday parties and other family events.  

Strategic Planning Domino's Pizza:

Domino's pizza unlike Pizza Hut follows a low cost pizza and faster delivery model for their intended customers. Domino's was very profitable when they introduced the service of delivering their pizzas within 30 minutes or else take it for free. To grow its footprint Domino's plans to lean heavily into its "fortressing strategy" which began in 2012. The idea is simply to add more stores in an effort to cut down delivery time and be closer to carryout to customers. The majority of company's business comes through delivery or carryout channels. More stores in theory leads to higher volume, higher sales and ultimately higher profits. Domino's like Pizza Hut also follows a franchise model for their expansion of stores. The company considers pricing, value and loyalty strategies by whether or not they will drive traffic and they are able to do so because they leverage their technology insfrastructure to make data-driven decisions. Domino's has many different ways in which a customer can order. For customers demanding convenience and speed this is quite a differentiator.