Domino’s Success Story – (Net Worth – $3.4 Billion)
Domino’s Success Story starts from Domino’s pizza which is one of the leading and largest restaurant chains in the world. The founder of the franchise was Tom Monaghan who has been operating the business since 1960 which is almost six decades and is still going at a steady pace but they didn’t earn this position overnight. Where they are today is the result of years and years of hard work, commitment, perseverance, and dedication. The story is of reinvention, losses, embarrassment, and scary risks.
Domino’s Success Story started in 1960 when two brothers Tom Monaghan and Jim acquired a local pizza business, Dominick’s which was up for sale in their hometown of Ann Arbor, Michigan for which Tom took out a $900 loan from the Post Office credit union. Neither of the two had a business background and everything was new to them but they didn’t let it get in their way. Few months after starting the business Jim backed out and traded his share, which left Tom as the only owner.
During the early years of business, Tom invested all his time and energy into growing the business and made some smart moves by emphasizing fast delivery which was a great tactic at that time. He also kept the name Dominick’s pizza for several years till the original owner intervened and asked to maintain the rights to the name so he changed it to Domino’s Pizza.
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1965 – 1973
Tom Monaghan always emphasized expanding the business since the start, so he focused on fast delivery, faster cooking time, advertising, and great service. It was during this period when he came up with the slogan “a half hour or a half dollar off” which proved the Domino’s Success Story to be quite useful as it not only helped in gaining more customers but also helped in the growth of the business and about Domino’s net worth.
1978 – 1980
In the late 1970s, Domino’s collaborated with several other regional pizza companies which helped them in expanding their areas of operation and get access to each other’s customers as more & more people became aware of Domino. Few years down the line they went international and opened 287 stores globally. In 1979 they made another huge move by announcing the “30 minutes or it’s free” delivery guarantee policy which attracted a lot of attention as it was something no other competitors thought of, it was a win-win situation for the customers. But soon they started facing a lot of criticism because it was very dangerous for the delivery staff as it encouraged speeding.
1985 – 1993
A few years later the domino’s success story started facing competition from Pizza Hut who was emerging at the time and proving to be top competition who had opened 4,000 stores worldwide while Domino’s had 2,300 which again pressurized them. In 1993 they ended the “30 minutes or it’s free” delivery guarantee policy after 20 of their delivery staff got involved in accidents and died.
1999 – 2003
David A. Brandon was appointed as Domino’s new CEO after the retirement of Tom Monaghan. Brandon added two new products to the menu: Cheesy bread & Cinna Stix and other food items, he also improved the marketing strategies by opening 758 new stores. He also kept in mind the taste and preferences of the customers.
2004 – 2007
Domino’s faced hardships at the beginning of 2004 when they were $ 943.2 million in debt which was later paid off. The competition became stiff by 2007 as customers started preferring Pizza Hut over Domino’s, so Domino’s introduced online mobile ordering & became the first pizza delivery company to come up with such an innovative strategy. Thus this trend strengthens their market position which was a mega-hit among people and the customers loved this idea.
Then came a huge turnover for the enterprise, as the franchise was booming worldwide and leading in the game, soon the customers started complaining about the taste of the pizza which was their core product, consumers stopped buying Domino’s pizza and opted for other convenient brands. So domino’s decided to take into account all the complaints/ feedbacks and acknowledge them, they planned to change their recipe and reinvent the product and bring something new in the market even though it was a huge risk but definitely worth the shot and could achieve the domino’s success story.
After 3 years of hard work the domino’s success story in 2012, they introduced their new style of pizza, Pan Pizza. Pan pizza was already in trend because of pizza hut, which pressurized them even more but soon their new Pan Pizza became the talk of the town and consumers new favorite, this product development helped Domino’s increase their revenues and improve their brand image.
With the increase in the number of smartphone users and the rise of the digital age, Domino’s also followed the trend and in 2014 they launched an iPad app that gave customers an idea of what their order would look like. In 2015 no. of online orders succeeded non – online orders. The customers found it more convenient to order it online from anywhere through the app.
Some Important Lessons to Learn From Domino’s Success Story:
Don’t let criticism or negative feedback get in your way, remember to not get demotivated when things aren’t going the way you want. There are always ups and downs when you’re starting a new venture but you have to be open to criticism and take them sportingly. It’s usually hard to face negative responses but instead of taking them negatively, think of it as another opportunity to show your potential. Review your product, find the flaws, and improve on them.
Always be in trend, know the customer’s choice, taste, and preferences, what are people going for, what is coming up. Domino’s Success Story. Knowing all these will give a drastic boost to your company. In the case of Domino’s, we saw how they used technology to their advantage by innovatively engaging with the customers which helped in the success of their business. Domino’s Success Story.
Therefore, when we are starting a new venture from the scratch it doesn’t necessarily require us to have knowledge in the field, Domino’s Success Story, the most important thing to keep in mind is to keep working hard with consistency and we’ll start getting results in no time. Domino’s Success Story.
Hope you liked the article, do check: Success Story of Coca-Cola (Net Worth – $84 Billion)
