Friday, October 11, 2019
Pizza delivery Essay
The foray of multinational fast food retailers into India has impacted the taste buds of Indian consumers significantly. Instant food is scoring over traditional food due to influence of Western countries, and rise in income & subsequent standard of living, convenience, etc. As a result, fast food menus are gaining wider acceptance from the Indian consumers. The Indian fastà Food Industry Dryerà has witnessed high growth strides in the past years, with increasing disposable income; exposure to a number of cuisines; and consumersââ¬â¢ willingness to experiment a mix of both Western and local menu. It has not only provided convenience to people who shuttle between home and work for a bigger part of the day but also eliminated the requirement of conventional cutlery. This industry at the moment thrives on international appeal endorsed by niche chains. The development of nutritious and healthier replacements for the traditional servings at fast food restaurants has transformed into mass promotion of portable foods. As per a new research report titled ââ¬ËIndian Fast Food Market Analysisââ¬â¢, currently the Indian fast food industry stands at a massive size of ` 47 billion, driven by a growing number of working professionals and increasing westernization. Apart from this, busy life schedule, standardized food, and less time-consuming processes are also fuelling the demand from domestic consumers in the industry. As demand for all types of fast food items are consistently on the rise, pizza, burger, and French fries have become the all time favorite among young Indians, more so with some of the well-known burger and pizza restaurants like McDonaldââ¬â¢s, Dominoââ¬â¢s, KFC, Pizza Hut, Nirulaââ¬â¢s etc, operating in India. Consumersââ¬â¢ first choice As far as products are concerned, instant noodles and pasta are at a nascent stage but are fast evolving in the Indian fast food business. Demand for these food items are growing as consumers with hectic lifestyles do not want to spend much time in cooking. Besides, a variety of noodles and pasta is easily available in the international fast food makersââ¬â¢ menu at an attractive price range, pulling various consumers to add these delicious foods into their palates. The instant noodles and pasta segment has thus turned out to be a big hit among fast food lovers, resulting in the entry of many leading players into this segment. As per an ongoing study on the Indianà fast foodà industry, there has been a major shift in food habits in the metropolitan cities encouraging the manufacturers to introduce innovative flavors in noodles and pastas to suit Indian consumers. Further, the enhancement of fried instant noodlesââ¬â¢ condiment, good performance of non-fried noodles, and the subsequent release of coarse cereal noodles are some of the main trends currently prevailing in the Indian market. About 86 per cent of households prefer to consume instant food over traditional food due to steep rise in dual income level & standard of living, convenience and influence of Western countries. As a result, fast food menus comprising pizza, burger, sandwiches, etc are gaining wider acceptance from the Indian consumers. Competitorsââ¬â¢ zone On the competitive front, the fast food market in India is poised for rapid expansion and higher efficiency with the entry of international giants. It has also been observed that with the increasing popularity of dining out in India, restaurant operators want to safeguard their share of improved consumer spending by offering all types of cuisines. This provides a significant opportunity to players in the food and beverage industry. Major players in this sector are creating a competitive environment for future growth. And in order to cater to this augmented customer base, Nirulaââ¬â¢s is increasing its existence in metro cities along with the Tier-2 and Tier-3 cities through different formats. The new outlets in cities, such as Amritsar, Patna, Bhopal, Pune and Ludhiana would mainly be Family Style Restaurants (FSR), ice cream kiosks and parlors. Likewise, KFC has plans to increase its existence from 21 cities at present to around 75 cities through its objective to operate 500 restaurants in India by 2015. The company is eager to spread wings to new cities such as Hubli, Madurai, Salem and Mysore in the south, and in the north in Kanpur, Allahabad. Similarly, McDonaldââ¬â¢s is targeting 1,000 restaurants by 2020. Hard castle Restaurants, which runs McDonaldââ¬â¢s in the south and west, plans to open up to 70 stores next year. It will be the franchiseeââ¬â¢s biggest expansion in the past 15 years. McDonaldââ¬â¢s also plans to invest ` 10 billion to boost growth. Most of the food chains are busy in innovating and customizing their products. For instance, in order to boost revenue and offer different varieties to the tastes of various cross-sections of people, Dominoââ¬â¢s Pizza is planning to customize its range of products. The company is taking initiatives to come up with a new assortment of diet pizzas for Indians, who are health-conscious and intends to introduce different specialties in pizza for people residing in different parts, like North and South India. Further, the acceptance of fast food has grown faster as several players have well-understood the basic requirements of Indian food and served more vegetarians & selected no vegetarian meal options (excludes pork and beef from their menu). Franchise outlets On the strategic front, it has been found that the franchising concept in India is continuously rising, with the increase in the number of international players opening more franchise outlets in India. The increasing revenue figures from franchise outlets encourage the players to opt for the concept. As a result, many international fast food giants are opening up their franchise outlets in India to grab the huge untapped potential in a fast emerging market. In a recent development, Nando, South Africa-based Afro-Portuguese, global restaurant chain is starting up around 35 outlets by 2013 in various parts of India through the franchise route. The company expects to expand enormously in the northern parts of India. Varying consumer behavior Talking about consumers, it has been a noticeable trend that food consumption pattern of urban Indian families has changed dramatically with times owing to the growing influence of Western culture. Indians have started dining out and moved on to accept different varieties of delicious food from the world. Further, studies indicate a radical change in the consumption patterns of Indian consumers, who have traditionally been known for their price sensitiveness. Middle-class families as well as the youth prefer to have a burger worth ` 25 rather than that worth ` 50-75. This reveals that despite looking for taste and brand, consumers in India are still inclined to low-price and health issues. As per a survey conducted in 2010, nearly 80 per cent of the fast food consumers expect the fast food owners to implement required measures for reducing the harmful impact of fast food. To tackle this issue, these owners have adopted innovative cooking styles, such as baking and grilling that retain the flavor of food and also require lesser quantity of oil. Besides, major retailers in this area are now providing all necessary information like ingredients, nutrition and fat contained on the product pack. These measures have helped Indian fast food consumers select healthy and nutritious meal as well as protect them from the dangerous effect of unhealthy fast food. Government inventiveness As far as the role of government is concerned, various initiatives in the recent past have resulted in the entry of many internationalà Fast Food Retailerà in the country. With the economic liberalization in 1991, nearly all tariff and non-tariff barriers have been removed or minimized from the Indian boundary that has helped many retailers to enter the growing Indian fast food industry. As per the Food Safety and Standards Authority of India, the new rules and standards will make it mandatory for street food vendors to register with state health departments that are into policing hygiene. It requires the food authority to issue licenses to food vendors only after ensuring that their products are safe and hygienic. Vendors with products that are found unhygienic or unsafe will face monetary penalties. Moreover, user friendly and IT-enabled licensing system will be created to improve governance and compliance. To try to ensure that India has the capacity to implement the new law, the government has increased the number of state laboratories for testing eatables and appointed more food safety officers to check food quality & hygiene instead of merely monitoring adulteration. Besides, the Indian government has also directed state governments to prohibit sales of fast food and carbonated drinks on school premises & check out all such items that lead to unhealthy eating from cafeteria within a 1,500 feet radius of schools. In addition, the countryââ¬â¢s regulators have ordered food chains to provide product nutritional labeling at the time of sale, so that customers can know about what they are eating and what effect it can have on their health. This step is a result of various studies that have shown that a typical fast food has very high density that causes people to eat more than they usually require, causing people to fall ill with many health-related problems like obesity, diabetes and heart diseases. Shortfalls and remedies India has witnessed a massive increase in the consumption of fast food over the past few years. Indeed, the country has come out as one of the rapidly growing fast food markets in the world. Although the country offers lucrative opportunities to new entrants due to rapid urbanization and changing lifestyles, there still exist some roadblocks, which may hinder the exponential growth route of this industry in future. Competition from local street vendors remains the biggest threat to the growth of the fast food industry in the country. There is an increase in raw materials cost and fuel charges, which is causing a lot of strain to the players in this segment. Lack of proper infrastructural facilities, with respect to roads and electricity, has also hampered the development of fast food market in India. Besides, the industry will have to tackle a number of roadblocks including the rising consumer concerns regarding obesity and health-consciousness to maintain the ongoing trend. On a fast track If the challenges are met with serious considerations, the Indian fast food industry is anticipated to achieve glorious milestones in the coming years. Increasing inclination of people to eat outside (restaurants) will be the major driving force behind the projected growth. Besides, healthy food options and low-price menu will also contribute to its growth, to attain a CAGR of around 33 per cent during 2010-2014. THE START OF FAST FOOD CULTURE The concept of fast food pops upà during 1920s. The 1950s first witnessed their rapid proliferation. Several factors that contributed toà this explosive growth in50ââ¬â¢s were:(1) Americaââ¬â¢s love affair withà the automobiles. (2) The construction of aà major new highway system. (3) The development ofà sub-urban communities. (4) The baby boom subsequent to world warà second. ââ¬Å"Fast-food chains initiallyà catered to automobileà owners inà suburbia. On the go Fast food outlets are take-awayà or take-outà providers, often with a ââ¬Å"drive-throughâ⬠service which allows customers to order and pick up food from their cars; but most also have a seating area in which customers can eatthe food on the premises. People eat there more than five times a week and often, one or more of those five times is at a fastà food restaurant. Nearly from its inception, fast food has been designed to be eaten ââ¬Å"on the goâ⬠, often does not require traditional cutlery, and is eaten as a fingerà food. Common menu items at fast food outlets include fish and chips, sandwiches, pitas,à hamburgers, friedà chicken,à Frenchà fries, chickenà nuggets, tacos, pizza, hot dogs, and ice cream, although many fast food restaurants offer ââ¬Å"slowerâ⬠foods like chili, mashed potatoes, and salads. Variants Although fast food often brings to mind traditional American fast food such as hamburgers and fries, there are many other forms of fast food that enjoy widespread popularity in the West. Chineseà takeaways/takeoutà restaurantsà areà particularlyà popular. They normally offer aà wide variety ofà Asian food which has normally been fried. Most options are some form of noodles, rice, or meat. Sushi has seen rapidly rising popularity in recent times. A form of fast food createdà inà Japan. sushià isà normallyà coldà stickyà riceà servedà withà raw fish. Pizza is a common fast food category inà the United States, with chains such as Dominoââ¬â¢s Pizza, Sbarro and Pizza Hut. Menus are more limited and standardized than in traditional pizzerias, and pizza delivery, often with a time commitment, is offered. Fish and chipà shops are a form of fastà food popular in the Unitedà Kingdom, Australia and New Zealand. Fish is battered and then deep fried. The Dutchà have their own types of fast food. A Dutch fast food meal often consists ofà a portion of French fries. Facts and figures Fast food is one of the worldââ¬â¢s largest growing food type. Indiaââ¬â¢s fast food industry is growing by 40% a year and is expected to generate a billion dollarsà inà salesà byà 2005. Theà multinationalà segmentà ofà Indianà fastà foodindustry is up to Rs. 6 billion, a figure expected to zoom to Rs. 70 billion by2005. By 2005, the value of Indian dairy products is expected to be Rs. 1,00,000 million. In last 6 years, foreign investment in this sector stood at Rs. 3600à millionà whichà isà aboutà one fourthà ofà totalà investmentà madeà inà this sector. Because of the availability of raw material for fast food, Global chains are flooding into the country. MARKET SIZE & MAJOR PLAYERS a)Dominated by McDonalds having as many as 75 outlets. b)Dominoââ¬â¢s pizza is present in around 100 locations. c)Pizzaà hutà is also catchingà up and ità hasà plannedà to establishà 125outlets at the end of 2005. d) Subways have established around 40 outlets. e) Nirulas is established at Delhi and Noida only. However, it claims tocater 50,000 guests every day. Major players in fast food are: â⬠¢ MCDONALDS. â⬠¢ KFC â⬠¢ PIZZA HUT â⬠¢ DOMINOS PIZZA. â⬠¢ COFFEE DAY â⬠¢BARISTA. Theà mainà reasonà behindà theà successà ofà the multinationalà chainsà isà their expertiseà inà productà development,à sourcingà practices,à qualityà standards, service levels and standardized operating procedures in their restaurants, astrengthà thatà theyà haveà developedà overà yearsà ofà experienceà aroundà the world. The home grown chains have in the past few years of competition with the MNCs, learnt a few things butà there is still aà lot of scope forà improvement. REASON FOR EMERGENCE Genderà Roles :à genderà rolesà areà nowà changing. Femalesà haveà startedworking outside. So, they have no time for their home and cooking food. Fastfood is an easy way out because these can be prepared easily. Customerà Sophisticationà andà Confidence: consumersà areà becoming more sophisticated now. They do not want to prepare food and spend their time and energy in house hold works. They are building their confidence more on ââ¬Ëready to eat and easy toà serveââ¬â¢ kind of foods Paucity of Time: people have no time forà cooking. Because of emergence ofà working women and also number of other entertainment items. Most of thetime either people work or want to enjoy with their family. Doubleà Incomeà Group: emergenceà ofà doubleà incomeà groupà leadsà to increase in disposable income. Now people have more disposable income so they can spend easily inà fast food and other activities. Working Women: working women have no time for cooking, and if they have then also they donââ¬â¢t want to cook. Because they want to come out ofà theà traditionallyà definedà genderà roles. Theyà doà notà wantà toà confinethemselves to household work andà upbringing of childrenââ¬â¢s. Largeà population: Indiaà beingà aà secondà largestà countryà inà termsà ofà population possesses large potential market forà all theà products/services. Thisresults into entry of large number of fast food players in the country. Relaxation in rules and regulations: with the economic liberalization ofà 1991, most of the tariff and non tariff barriers from the Indian boundaries are either removed or minimized. This helped significantly the MNCââ¬â¢s to enter in the country. CHALLENGES FOR THE INDUSTRY Socialà andà culturalà implicationsà ofà Indiansà switchingà toà western breakfast food: Generally, Hindus avoid all foods that are believed to inhibit physical and spiritual development. Eating meat is not explicitly prohibited, butà manyà Hindusà areà vegetarianà becauseà theyà adhereà toà theà conceptà ofà ahimsa. Thoseà seekingà spiritualà unityà mayà avoidà garlicà andà onions. The concept of purity influences Hindu food practices. Products from cows (e. g. ,milk,à yogurt,à ghee-clarifiedà butter)à areà consideredà pure. Pureà foodsà can improve the purity of impure foods when they are prepared together. Some foods, such as beef or alcohol, are innately polluted and can never be made pure. But now, Indians are switching to fast food that contain all those things that are considered impure or against there beliefs. Some traditional and fundamentalist are against this transformation of food habit and number ofà times they provoke their counterparts to revolt against such foods. And that is what happened when McDonaldââ¬â¢s decided to enter theà complexity of Indian business landscape, counting only on its ââ¬Å"fast food global formulaâ⬠, without any apparent previous cultural training. Emphasisà onà theà usageà ofà bio-degradableà products: Glasses, silverware,à platesà andà clothà napkinsà areà neverà providedà withà fastà food. Instead, paper plates and napkins, polyurethane containers, plastic cups and tableware, drinking cartons or PET (polyethylene terephthalate) bottles are used, and these are all disposable. Many of these items are tossed in the garbage instead of being recycled, or even worse, merely thrown on the ground. This burdens nature unnecessarily and squanders raw materials. In order to reduce soil and water pollution, government now emphasis more on the usage ofà bio-degradable products. Retrenchmentà ofà employees: Mostà ofà newà industriesà willà beà capital intensive and may drive local competitors, which have more workers, out ofà business. Profit repatriation: Repatriation of profits is another area of concern forIndian economy. As when multinational enters the any countries, people and governmentà hopeà thatà ità willà increaseà theà employmentà rateà and resultà in economic growth. However, with the multinational operation, host country experiencesà theseà benefitsà forà aà shortà timeà period. Inà longà runà neither employment increases (because of capital intensive nature of MNCââ¬â¢s) nor it increases the GDP or GNP because whatever MNCââ¬â¢s earn they repatriate that profit back to their home country. PROBLEMS OF INDUSTRY Environmentalà friendlyà productsà costà high:governmentà isà legislating laws in order to keep check on the fast food industry and it is emphasizing more on the usage of bio-degradable and environment friendly products. But associated with this issue is theà problem that fast food player faces ââ¬â theà cost associated with the environment friendly product. They cost much higher than the normal products that companies uses for packaging or wrapping their products. Balanceà betweenà societalà expectationà andà companiesà economic objectives: à To balance a societyââ¬â¢s expectation regarding environment with the economic burden of protecting the environment. Thus, one can see that oneà sideà pushesà forà higherà standardsà andà otherà sideà triesà toà beatà the standard back, thereby making it a arm wrestling and mind boggling exercise. Health related issues: obesity: I. Studies have shown that a typical fast food has very high density and food with high density causes people to eat more then they usually need. II. Low calories food: Emphasis is now more on low calorie food. In this lineà McDonaldà hasà aà planà toà introduceà allà whiteà meatà chickenMcnuugget with less fat and fewer calories. TRENDS IN INDIAN MARKET Marketing to childrenââ¬â¢s: Fast food outlets in India target childrenââ¬â¢s as their major customers. They introduce varieties of things that will attract theà childrenââ¬â¢sà attentionà andà byà targeting childrenââ¬â¢sà theyà automatically target their parents because Childrenââ¬â¢s are always accompanied by their parents. Low level customer commitment: Because of the large number of food retail outlets and also because of theà tendency of customer to switch from one product to other, this industry faces lowà level customer commitment. INTRODUCTION OF DOMINOES Dominoââ¬â¢s Pizza India Ltd. was incorporated in March 1995 as the masterà franchisee for India and Nepal, of Dominoââ¬â¢s Pizza International Inc. , ofà USA. Moreover, the company holds the master franchisee rights for Sri Lanka and Bangladesh through its wholly owned subsidiary. Mr. Shyam S. Bhatia and Mr. Hari S. Bhartia of the Jubilant Organosys Group were theà promoters of the company. Since inception, Dominoââ¬â¢s Pizza India Ltd. has proceeded to become one ofà the largest and fastest growing international food chains in South Asia. Thefirst Dominoââ¬â¢s Pizza store in India opened in January 1996, at New Delhi. Today, Dominoââ¬â¢s Pizza India has grown into a countrywide network around220 outlets in 42 cities and isà the leader in the fast food delivery segment. Everà sinceà ità wasà established,à Dominoââ¬â¢sà Pizzaà Indiaà hasà maintainedà itsà positionà ofà marketà leadershipà withà itsà constantà productà innovationà and maintenanceà ofà stringentà serviceà standards. Moreà importantly,à ità has established a reputation for being a home delivery specialist capable ofà delivering its pizzas within 30 minutes to its community of loyal customers from its entire chain of stores around the country. Customers can order theirà à pizzas by calling a singleà countrywide Happiness Hotline ââ¬â 1800-111-123. Infact, Dominoââ¬â¢s was the first one to start thisà facility for its customers. Dominoââ¬â¢s is committed to bringing fun and excitement to the lives of ourà customers by delivering delicious pizzas to their doorstep in 30 minutes orà less, and all its strategies are aimed at fulfilling this commitment towards its large and ever-growing customer base. Dominoââ¬â¢s constantly strives to develop products that suit the tastes of its customers, thereby bringing out the Wow effect(the feel good factor). Dominoââ¬â¢s believes strongly in the strategy of ââ¬ËThink local andà actà regionalââ¬â¢. Thus,à timeà andà againà Dominoââ¬â¢sà hasà been innovating toppings suitable to the taste budsà of the local populace and these have been very well accepted by theà Indian market. DOMINOES VISION AND OBJECTIVES Dominoââ¬â¢s vision is ââ¬Å" Exceptional people on a mission, to beà theà bestà pizzaà deliveryà companyà inà theà world! â⬠. Dominoââ¬â¢s is committed to bringing fun and excitement to the lives of our customers by delivering delicious pizzas toà theirà doorstepà inà 30à minutesà orà less,à andà allà our strategies work for fulfilling this commitment towards our large and ever-growing customer base. Dominoââ¬â¢s constantly strives to develop the product that suits the taste of its customers to bring out the ââ¬ËWOWââ¬â¢ effectà (i. e. the feel good factor). Dominoââ¬â¢s believes in the strategy of ââ¬Å"Think local and act regionalâ⬠that is blended with a playful image personified by our ââ¬Å"Hungry Kya? ââ¬Å"positioning. Thus,à timeà andà againà Dominoââ¬â¢sà hasà been innovatingà toppings,à suitableà toà theà taste budsà ofà the locals and these have been very well accepted by the Indian market, are doing extensively well in the market. We are constantly in the process of innovating further; we introduce new topping every 3 ââ¬â4 months Dominoââ¬â¢sà understandsà customersà demandà andà is constantlyà developing à localà flavorsà understandingà the localà sentiments. Also,à theà ingredients,à saucesà etc. are made keeping in mind the taste buds of Indian consumers while retaining the international flavor. Dominoââ¬â¢sà constantlyà striveà toà makeà theà companyà an integralà partà ofà theà livesà ofà theà targetà audiencesà by getting involved with the clientele at the emotional level andà buildingà long-termà relationshipà withà them. Thus, Dominoââ¬â¢sà concentrateà moreà onà carryingà outà below-the-line activities in the area it serves. Dominoââ¬â¢s believe in bringing fun and excitement into the livesà ofà ourà clientele. Weà takeà ourà deliveryà proposition very seriously and our entire corporate ethic is based on it. Dominoââ¬â¢sà isà theà recognizedà worldà leaderà inà Pizza delivery. But it isnââ¬â¢t just about delivering; itââ¬â¢s also about giving back to the community. Dominoââ¬â¢s believes that an essentialà componentà ofà corporateà responsibilityà isà to provide support to charitable organizations that benefit theà communitiesà whereà itsà employeesà andà customers workà andà live. Dominoââ¬â¢sà worldwideà isà knownà forà its commitment toward social causes and believes in adding funà toà theà livesà ofà ourà customersà andà communitiesà it serves. In India, Dominoââ¬â¢s has been associated with the NGOââ¬â¢s devotedà toà theà causeà ofà underprivilegedà Childrenââ¬â¢s. Dominoââ¬â¢s conducts Store Educational Tour (SET) for the under privileged children time-to-time. Recently this was doneà inà theà oneà ofà theà Dominoââ¬â¢sà outletà inà Delhià and Mumbai with theà underprivileged children from CRY (Child Reliefà andà You)à whereà Dominoââ¬â¢sà tookà theà pledgeà to provide part-time employment to the eligible wards from CRY who are above 18 years, reiterating its commitment towards social causes. Also, fifty- percent of that dayââ¬â¢s first 20 deliveries of the store were given to CRY toward the cause of the underprivileged children. The children had a gala time while they learned to make and bake pizzasà atà theà storeà andà finallyà tastedà theà sumptuous offeringsà madeà byà themà duringà theà Storeà Educationalà Tour. Dominoââ¬â¢s Pizza India also boasts about its commitment to serve its customers on time by implementing the ââ¬Å"30 MINUTESà ORà FREEâ⬠serviceà commitment , theyà have been able to achieve this as a result of continuous efforts and dedication of the entire team in improving operating efficiencies . Dominoââ¬â¢sà Pizzaà Indiaà hasà beenà consistently à rated amongstà the à topà 2à pizzaà chainsà worldwideà inà the Dominoââ¬â¢s family by Dominoââ¬â¢s International, in terms ofà quality of operations. Our pizza delivery times have also beenà judgedà asà theà bestà deliveryà timesà inà theà world across all Dominoââ¬â¢s. Communication objectives Category Need Dominoââ¬â¢s master franchise model Industry analysts believed that Dominoââ¬â¢s master franchise model was one of the reasons forà its success in international markets even in light of the global economic slowdown in 2008. How dominoââ¬â¢s international bucked the trend The strong performance of Dominoââ¬â¢s international master franchises in the midst of the global economicà slowdownà wasà aà widely debatedà topicà amongà analysts. Whileà someà analysts believed that the recession had helped the growth of these chains due to the ââ¬Ëtrading down factorââ¬â¢ of people preferring to eat at home rather than dine out at expensive restaurants, others believed it was a combination of aggressive marketing and the franchise model that had helped the company buck the trend. Dominoes Brand Awareness Promotional and advertisement campaigns The pizza delivery business hadà traditionally been promotion driven. Coupons andà discounts were offered by all pizza delivery chains to woo customers. Since its inception, Dominoââ¬â¢s had been known for its unique promotions that included fast delivery and innovations to caterà to a varied palette. The ââ¬â¢30 minutesââ¬â¢ promise In the year 1973, Dominoââ¬â¢s began a guarantee scheme that its pizzas would be delivered in 30minutes or less of ordering failing which the customer would receive the pizza free. Brand Attitude Use of technology Online sales accounted for over 70 percent of its total sales in 2008. Dominos planned to further exploit the increasing potential of the online medium as one of the promotional and distributional channels in the downturn. Brand Purchase Intention. What makes dominoââ¬â¢s pizza better than its competitors? â⬠¢ Varity of Pizzaââ¬â¢s â⬠¢ Services offered â⬠¢ Quality of pizzaââ¬â¢s â⬠¢ Location of the Outlet â⬠¢ Waiting time in the outlet â⬠¢ Door step services â⬠¢ Lower price Communication Mix Communication is very important, particularly when it is two-way. Dominoââ¬â¢s value customerà feedback and is most responsive to customer preferences. Fast food ought to be a fun experience and this is not possible unless the provider and the consumer are in synch. They are in theà service business, and their product is positioned as aà convenience food delivered to the customer hot and fresh in 30 minutes guaranteed. Every company must follow the eight major marketing communication modes. For Dominoââ¬â¢s direct selling and interactive selling is not needed though they are involved in internet and cable TV promotions. Dominoââ¬â¢s always search for ways to gain efficiency by replacing one communication with others. The sustainability among communication tools explains why marketing function need to be coordinated. Advertising The Dominoââ¬â¢s Pizza franchise has earned the reputation of being one of the fast growing food chains in South Asia. Dominoââ¬â¢s is committed to bringing fun and excitement to the lives of its customers by delivering delicious pizzas to their doorstep in 30 minutes or less. The fast food franchise is all set toà make the complete use ofà its potential market in India, where eating out is a means of entertainment. Its advertisements are image of its core competencies. The Dominoââ¬â¢sà Pizza Indiaà franchiseà keeps implementing variedà promotionalà strategies. Dominoââ¬â¢s initially restricted their adà strategy to banners, hoardings and specific promotions. In August2000, Dominoââ¬â¢s launched the ââ¬ËHungry Kya? (Areà You Hungry? ) sequence ofà advertisements on television. While highlighting its home delivery facility in advertisements, the pizza franchise always adds an element of humour in it. That is exactly why actor Arshad Warsi was made the brand ambassador ofà the Dominoââ¬â¢s Pizza India franchise. Paresh Rawal, another humorist of Hindi cinema, was also featured in Dominoââ¬â¢s ads. A significant strategic change is that, while the unique selling proposition of Dominoââ¬â¢s is home delivery in all markets, they have been creating dine-in spaces at all their restaurants here in India. Dominoââ¬â¢s Pizzaââ¬â¢s tagline ââ¬Ëkhushiyon ki home deliveryââ¬â¢Ã which cuts through the advertisingà clutterà stillà remainsà intact. Butà inà tier-2à andà tier-3à cities,à asà peopleà likeà to experience eating out close to 75% of their restaurants now have dine-in facilities. This is different from their global strategy where theirà key focus hasà beenà on home delivery. Also,à theyà are inà theà trial stageà ofà orders by internet in India after its success in U. S. Another feature they introduced is a customer can top the Pizza he wants. Dominoââ¬â¢s went a step ahead by differentiating regions and applyingthe taste-factor accordingly. Dominoââ¬â¢s also made ordering simpler through a single toll-free number throughout the country. Dominos has been following the principle ofà ââ¬ËThink Local, Act Regionalââ¬â¢Ã . Events/ Experiences They are sponsoring some college fest, cultural program and promotional events through out the country for promotion. Public Relation Dominoââ¬â¢s Pizza India undertakes local store marketing initiatives. These include specialdiscountsà toà loyalà customersà andà paradeà likeà activitiesà suchà asà Motorbikeà formations, distributing special offerà coupons and phoneà calls toà frequent customers. Dominoââ¬â¢s has been innovating toppings suitable to the tasteà buds of theà local populace and the Indian market has very well accepted these. Dominoââ¬â¢s Pizza India Ltd, which runs fast food chain Dominoââ¬â¢s Pizza in the country, has changed its corporate name to Jubilant Food Works Ltd. The change of name came into effect from September 24 2009. ââ¬Å"The decision to change the nameà has been taken toà align ourselves with the branding of the Jubilantà Bhartiaà Group,à promotedà byà Shyamà Sà Bhartiaà andà Harià Sà Bhartia,â⬠à Jubilant Food Works Chief Executive Officer Ajay Kaul said. Jubilant Bhartia Group holds the masterà franchisee rights for the Dominoââ¬â¢s Pizza brand and operations for the whole of India, Nepal,Sri Lanka and Bangladesh. However, the company will continue to use the brand name ofà ââ¬ËDominoââ¬â¢s Pizzaââ¬â¢ for marketing and other related purposes. Personal Selling Dominoââ¬â¢s continuously strives to make the company anà integral part of theà lives of the target audiences by getting involved with the clientele at the emotional level and building long term relationships with them. Thus, dominoââ¬â¢s concentrates more on carrying out below the line activities in the areas it serves.
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