Wednesday, December 21, 2022

I counsel all shops to take lessons from India: CEO of Domino's

I advise all stores to learn from India: Domino's CEO

 

Delhi, India: India, Domino's Pizza Inc.'s second largest market after the United States, is about to nearly double in size. Nearly 20,000 locations make up the largest pizza chain in 95 countries. The United States has 6,700 locations, followed by India with 1,700. Domino's CEO Russell Weiner told TOI on Tuesday that the number here will increase to approximately 3,000 in the medium term. India is our most important retail market outside of the United States. Weiner stated, "We will add approximately 250 stores every year."


Weiner claims that he is advising retailers worldwide to follow India's example because Russia's war on Ukraine is driving up the prices of everything from grains to oil worldwide. I suggest that stores everywhere follow Domino's India's example. Scale comes from being India's most successful pizza and restaurant chains. Having leverage with suppliers and passing along the savings to your customers is the best way to offer great prices during difficult times. “Weiner stated that Domino's India does that very well.


When asked about delivery kitchens and cloud kitchens' competition, he stated, The fact that Domino's pizza is always delivered by Domino's, in contrast to other restaurants and delivery apps, is what really matters. Until it reaches you, our pizza never leaves our hands. He added, "There is no middle person."


Customers' reliance on delivery grew as a result of the pandemic, and this chain of quick service restaurants (QSRs) was successful even before 2020. It now offers delivery in 20 minutes to 20 zones in India. One of the reasons Domino's India prioritizes 20-minute delivery is to provide customers with hot, fresh pizza. On the other hand, it states that its motto is "safety first for riders" and that it will deliver within 20 minutes wherever it can do so safely through a vast network of stores. There are 165 stores, for example, in Bengaluru.


The chain is now using technology more and more, and its app gets 90 lakh downloads every quarter. People refused to eat out, which pushed delivery, which had an effect on sit-down meals. Weiner stated, "It will be very interesting to see how that goes back to where it used to be historically post-Covid." In the US, complete and plunk down is bigger than conveyance.


Delivery accounts for 30% of business in India, with sit-in accounting for the remaining 30%. However, the stores remain the single most effective method for acquiring new customers. As a result, it sees restaurants and stores as an essential part of its business strategy for expanding into new markets in this area. According to Sameer Khetrapal, CEO and MD of Jubilant FoodWorks, which owns and operates Domino's Pizza brands in India, "I don't think we will attract new customers without dine in. Over the course of a period of time, these customers will transition to delivery and take-away." Delivery accounts for 60% of sales in the United States, while takeout accounts for 40%.

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