Tuesday 16 February 2010

Domino's, Snow and Susan Boyle

Turnover and profits at Domino's Pizza are up, thanks to bad weather and Susan Boyle.

Severe winter weather and heavy snow in Europe has encouraged more consumers to order Domino's takeaway pizza.

Challenging economic conditions may have played a role, as well. Consumers are buying cautiously and instead of spending for a big restaurant meal, many choose takeaway for a modest splurge.

Domino's also says its sponsorship of Britain's Got Talent--especially the final, featuring Susan Boyle--was a major factor in increasing turnover. The Domino's brand enjoyed a halo effect by association with BGT . . . and there was a definite sales bump, according to the chief executive:
It's difficult to pull out a figure and attribute that entirely to BGT, but we did have a record week when we had the final, so it does have an effect on sales.

In the US, Domino's is running a "turnaround" campaign to show that it's improving its pizza, adding more herbs, better cheese and a special glaze on the crust. Few firms are willing to publicly admit their products need improvement, so Domino's US approach is a refreshing change and an intriguing campaign.