1. Product Mix ,product life cycle analysis and 7Ps of Dominos Pizza

2. Company Overview Jubilant FoodWorks Limited, JFL, was incorporated in1995 and initiated operations in 1996 JFL is Indias largest and fastest growing food servicecompany, with a network of 378 stores (as of 31March, 2011) JFL & its subsidiary operates Dominos Pizza brand Market leader in the organized pizza market (50% market share and 70% share in the Pizza homedelivery segment in India) The Company has now also strengthened its portfolioby entering into an agreement with Dunkin DonutsFranchising LLC, for developing the Dunkin Donutsbrand and operating restaurants in India 3. Corporate strategy Exceptional people on a mission to be the pizza delivery company in the world Think global and act local Fun, happiness and convenience 4. Indian operations Indian operations are ranked number one for past 3 years Delivers an average of 1 million pizzas per day Over the last 2 years they opened stores in 15 new cities The company operates in three segments 1.Domestic stores Uses company owned stores as a testing ground for newproducts and technologies which may then be passed ontofranchisees. Moreover it generates income from company ownedstores in the form of store profits. 2.Domestic supply chain Vertically integrated supply system. Automatic delivery of rawmaterials cuts out a lot of the back of store activities. 3.International Consists of 3469 franchised stored outside US, Operates sixsupply chain centers which manufacture dough and distributefood and supplies. it accounts for 41% of dominos store salesworldwide 5. Product Mix Veg Food Non Veg FoodSide orderBeveragesSimply non vegVeg pizza 1Cheese andPastaCokeMargarita barbeque chickenCheese tomatoVeg pizza 1 Non Veg 1>double cheeseBarbeque chicken Garlic breadFantamargheritaSpicy chicken>fresh veggie>country specialNon veg 2>farm house Chicken mexicana Choco lava cake PepsiKeema do pyaazaChicken golden delightVeg pizza 2>peppy paneer Cheese dip>mexican greenFeast PizzawaveMeatzaa>deluxe veggieNon veg>gourmet extravaganzaChicken wingsCheese andChicken kickers pepperoniFeast Pizza>Veg Extravaganza 6. Product Mix (cont.)Dominos offer customization of pizzas to suit customers taste Allows user to select different size, crust and toppingsmaking numerous possible combinations Different options like extra cheese, triple cheese, vegtoppings etc gives added value Additional variety of pizzas are available in differentgeographical regions to suit the local tasteLimitation: The product mix only includes products available across all the stores Dominos outlets in India. Several other variety of pizzas are available in only regional stores. 7. Product Life Cycle of Dominos Pizza India Introduction Stage 8. High Cost of delivery System Whole new infrastructure had to be set up as the model was newto India Supply chain had to be createdSlow sales volumes to start Eating exotic food home delivered against the trend Heavy advertising and promotionAlmost no competition Pizza hut was the only competitors offering similar productDemand had to be created Customers have to be prompted to try the product withcampaigns like Hungry Kya?Makes no money at this stage 9. Product Life Cycle of Dominos Pizza India Growth Stage 10. Costs reduced due to economies of scale Same store sales growth increased 37% in 2010Sales volume increases significantly 56% growth in year 2010Profitability begins to rise 72 new stores added in FY year 2010-11 totaling 378Public awareness increases Total number of cities covered increased from 69 to 90 Entry in tier 2 and tier 3 cities New marketing campaign with Khusiyon ki Home Delivery toreflect changing environmentIncreased Competition with new entrants Latest entry of Pap John Pizza Pizza Hut increasing its delivery network and opening only "take-away" storesIncreased competition leads to price decreases Rs 35 Pizza introduced to attract new customers Value pricing 11. 7 Ps of Marketing 12. Product 13. Product To capture the market, Dominos had to localizeflavors Deluxe Chicken with Mustard Sauce and Sardines EastIndia Mutton Ghongura and Chicken Chettinad - South India Continuous products innovations such as DoubleCheese Crunch Pizza, Kebab Pizzas, Cheese BurstPizza, Dominos Calzone, Chicken Wings, Pasta havegone down well with the consumers. Hence, they have been able to get quick product acceptancefrom customers and often that is the first and most importantbridge that a foreign food category has to cross. 14. Product Product Differentiation- Product Innovation Stringent service standards Home delivery specialist Mass customization Conformance quality All products are identical andmeet promised specifications Style Delivered in paper boxes and served instyle Service Differentiation- Ordering ease At store, Hotline or Online 30 minutes delivery guarantee 15. Price Dominos sold a 12" Pizza for Rs 265. The targetmarket consumer for India are value-, not price-sensitive. We need to offer comeback value to our customer. The high price was attributed to the high quality ofingredients used. For instance, Dominos sourced its Peperoni andJalapeno needs from Australia and Spainrespectively. Increasing competition from Pizza Hut, Dominosintroduced price cuts and discounts to attract thecustomers. In 1998,Dominos introduced the PizzaMania scheme where it offered a large pizza forRs.129/-. Pizza Mania at Rs 35/- per Pizza and Fun Meal for 4has helped drive value-for-money proposition allowingaccess to the brand 16. Promotion Celebrities like Paresh Rawal, Anupam Kher, ArshadWarsi in various fun act ads to target Indian audience The key message of the ads is timely delivery Target audience is a consumer who belongs to theage group 14-35 years from Economic class A or B. Promotional campaign Hungry Kya? and The Pizzadelivery experts tagline New Tagline Khusiyon ke home delivery to targetlarger target segment and increased value proposition 17. Promotion 30 minutes campaign Offers customers freepizzas if they are not delivered in 30 minutes fromtime of order Discount coupons serves as major promotionaltool driving sales Events &Experiences Sponsoring collegefest, cultural programs and promotional eventsthroughout the country 18. Place Dominos has a largest network of outlets acrossthe world. First store opened in Delhi in 1996 Covers 90 cities including tier 2 and tier 3 cities Direct Channel Push Strategy in channel marketing Advertisinglayout is minimal Strategicallyplacedinbig corporateareas, universities, malls and other places wherethe target customers hang out more frequently Customers can find the nearest outlet through thewebsite 19. People Dominos have large number of trained employeefor handling customer Staff at outlets and delivery staff can speakEnglish Employees are trained to be cordial to thecustomer Have a uniform 20. Process The way in which orders are handled, customersare satisfied and the service is delivered. Orders placed at the counter are visible inscreens placed at different places inside thecounter Each staff is assigned a specific task so thateverything falls in place quickly Self service Provide home delivery facility with 30 minuteguarantee 21. Physical Evidence Dominos focuses more on home delivery Minimal focus on ambience at store Small outlets with very few tables Plates are not provided 22. References Philip Kotler,Marketing Management, 13e http://www.dominos.co.in/admin/en/filestore/9c2b2ac601ce0307f2c48b469b107711.pdf India Retail Report 2009, 2011 http://www.dominos.co.in/ http://www.dominos.co.in/blog/ http://thepizzastop.blogspot.com/2011/04/pizza-hut-and-dominos-marketing.html