INTRODUCTION

Dominos Pizza is a corporation that deals with the delivery of pizza in different countries and has its head quarters at Michigan, United States. The corporation was started, in 1960. Currently, it is among the largest pizza chains in United States of America. It has over 600 stores in different growing cities in Wales, Ireland, and England among others. Dominos Pizza is a subsidiary of Dominos Pizza UK and IRL, plc and it is quoted in the London Stock Exchange market (Dominos.uk.com, 2011). Dominos Pizza Corporation is a pizza delivery company with franchise stores in so many countries. Its reputation for being in the industry for long has earned it an advantage over other upcoming pizza stores. The stores are able to monitor and maintain quality and consistency of its products. From the many years of experience and staff dedication to serving customer needs, the company has earned a good public reputation. The store recognizes that different customers have different needs; there are those who order the Domino pizza to satisfy the need for food caused by hunger, and there are others who want to enjoy the pizza and the comfort; thus, the Pizza hut. Internally the employees support each other, although everyone has duties and specific roles to play. However, teamwork is always encouraged. It would be impossible to serve the target market effectively without dedication of the internal personnel involved. The franchises have to meet set standards to do business with domino pizzas. This aids in building the public reputation of the company. Dominos Company operates in an environment where there is free competition. There are other companies in the market that offer the same products. Therefore, competition for customers is there, the resource and raw materials used in preparation and competent employees have also found perfect competition in this market. To retain its employees Dominos pizza has to offer competitive remuneration as per the prevailing market rates. The suppliers also have to be treated in an appropriate way to get reliable suppliers always. These measures are crucial in order to enable the company to earn a competitive edge in comparison to other companies dealing with similar products.

HISTORY
In 1960, Tom Monaghan and his brother, James, purchased DomiNick's, a small pizza store in Ypsilanti, Michigan near Eastern Michigan University. The deal was secured by a US$75 down payment and the brothers borrowed $900 to pay for the store. Eight months later, James traded his half of the business to Tom for a used Volkswagen Beetle. As sole owner of the company, Monaghan renamed the business Domino's Pizza, Inc. in 1965. In 1967, the first Domino's Pizza franchise store opened in Ypsilanti. The company logo was originally planned to add a new dot with the addition of every new store, but this idea quickly faded as Domino's experienced rapid growth. The three dots represent the stores that were open at the time (1969). By 1978, the franchise opened its 200th store. In 1975, Domino's faced a lawsuit by Amstar Corporation, maker of Domino Sugar, alleging trademark infringement and unfair competition. On May 2, 1980, a federal appeals court found in favor of Domino's Pizza.

MARKET STRATEGIS
Domino pizza aims at maintaining the current good will and reputation from customers through enhancing the quick delivery service. This can be done through acquiring extra motor bicycle for pizza delivery. Home delivery will also aid in easing the challenge of parking space because some customers will order from home. Giving promotional discounts once a week in a bid to reduce the pizza prices to customers is another marketing objective which stands to benefit domino pizzas. Opening of extra new franchises in at least three states each year will help to get to the market of fast foods, which is growing. Domino pizza aims at positioning itself as a high class in dining pizza and take away restaurant. It aims at offering quality service that will see it achieve market leadership and have competitive advantage over competitors in a profitable and cost effective way. This is through more advertising and brand awareness campaigns. Increasing sales and profits will lead to more growth of the dominos pizza. Marketing Strategies: The corporation plan to achieve market leadership through more promotions. It can also use offers and discount to attract more customers and retain the existing ones. Online market and internet transactions where order and delivery is online can also increase the reach of more customers and the target market for its products.

Implementation of marketing strategies: The promotions and discounts can be communicated to the target markets through posters and banners. Opening some more stores in other places will improve the market reach, which will increase sales. Evaluation and Control of market Strategy: The marketing objectives of growth will be evaluated by looking at the sales volumes and profit margins. Sustainable incentives can be given to attract customer feedback and response. The customer base and market growth can also be measured by evaluating and monitoring the repeat sales and new sales. Soliciting customer feedback will help to determine when customer satisfaction increases or changes (Luther, 2011). To monitor loyal customer award and bonus programs can be implemented. The sales volume growth will be represented in term of percentage increase to see the change in sales after the promotions campaigns. In all, business customer satisfaction should be given the priority over other issues (Kennedy, 2011). If the pizza stores keep their customers satisfied, there is more chance for growth into the future. Domino pizza marketing objective stand to look at the profitability, survival, growth of its brand and market share of the incorporations. Branded Pizza Market Share Lettuce could only be grown during the winter months but with McDonald's expertise in the area of agriculture provided assistance in the selection of high quality seeds, exposed the farms to advanced dripirrigation technology, and helped develop a refrigerated transportation system allowing a small agri-business in Maharashtra to provide fresh, high-quality lettuce to McDonald's urban restaurant locations . pre-cooling room to remove field heat, a large cold room and a refrigerated van for transportation where the temperature and the relative humidity of the crop is maintained between 1 C and 4 C and 95% respectively. Vegetables are moved into the pre-cooling room within half an hour of harvesting. The pre-cooling room ensures rapid vacuum cooling to 2 C within 90 minutes.

STRATEGIC ANALYSIS
DIFFERENTIATION SEGMENTATION TARGETING POSITIONING

Capability to produce frozen foods at temperature as low as -35 Degree Cel. To retain total freshness. A hi-tech refrigeration plant is to ensure that the frozen food retains it freshness for a long time and the 'cold chain' is maintained. Keeping cultural sensitivities in mind, both processing lines are absolutely segregated and utmost care is taken to ensure that the vegetable products do not mix with the non-vegetarian products. When Dominos entered India in 1995, Pizza was quite low on the taste palate of Indians. Fourteen years and 274 stores later, brand Dominos seems to be on a roll, having not only made pizzas popular with the country's burgeoning middle class, but also the brand omnipresent. In an interview with Amit Sharma, Domino's Pizza India VP, marketing, Dev Amritesh, shares the brand's India journey and the company's plans for India. Excerpts:

We have constantly focused on consumer-centric areas such as product innovation, taste, pricing and customer service. Our several products innovations such as Double Cheese Crunch Pizza, Kebab Pizzas, Cheese Burst Pizza, Dominos Calzone, Chicken Wings amongst others, and most recently Pasta, have gone down well with the consumers. As the result, we have been able to get quick product acceptance from them and often that is the first and most important bridge that a foreign food category has to cross. On the other hand, offers like, Pizza Mania at Rs 35/- per Pizza and Fun Meal for 4 has helped us drive value-for money proposition allowing access to the brand. We have realised that value for money is an extremely important need for Indian consumers, especially in the context of the food services market. Then our 30 minutes or free service guarantee gives a differentiated edge to our brand amongst the Indian consumers. Dominos Pizza has a widespread presence through a network of 274 stores, spread across 55 cities in 20 states. Further, our thirty minutes or free promise helps us reinforce our position within the delivery market. Its no surprise then, we are the leaders in the organised pizza home delivery segment, with a market share of 65%, according to the Food Franchising Report 2009. Now, we seek to increase our penetration through new store openings in existing cities where we operate stores. The Technopak Report 2009 estimates that only 2% of the monthly expenditure on food bought from outside or ordered-in by households in India is spent on pizzas and pastas on a monthly basis. We see that as a opportunity to capitalise on low penetration. Over the last two years, our sales revenue has grown by more than 100%. Also, the average same store growth in the last three fiscals has been around 16%. Our initiatives in the area of brand building, product innovation and penetration coupled with the changing demographics in the country have helped. Some of the factors that have driven growths and perception of Pizzas as a meal option have been changing lifestyles, rising incomes, especially amongst youth, growing

middle class and nuclear families and increase in working women population. So, while there are challenges in every market, the manner in which brands overcome them is what matters. With global exposure and changing demographics, Indian consumers are not very different in terms of their expectations from service brands. The key for us is to have an engaged, trained and motivated team that can help us overcome any day-to-day challenges that might arise. Our operations have been ranked number 1 in the Dominos Global Operations amongst countries with 100 or more stores in 2006 and 2007 and amongst top 3 in 2008. One of the reasons for this has been our robust training programme, which covers every aspect of our store operations. We are developing new training mechanisms and practices such as automated video training manual for our employees to further improve our training efficacy. Affordability is one of the important pillars for the Dominos brand. It goes aptly with the functional benefits that we provide our consumers. Affordability apart, great taste and world class customer service are the other important pillars of our brand. In India, for a brand that has aspiration to cut across consumer segments, affordability is critical. That said, it is still one of the aspects of brand building, not the most important tool to create a strong brand.

MARKETING TACTICS (4Ps)

Product

Price

During late 1998, it also offers coupons and discount to attract the customers.

Today, as shown in this picture, dominos offers large variety of products with a reasonable price so that people can easily afford them. For e.g., it offers fun meal for four means four pizzas worth Rs. 180, this means charge of 1 pizza will be just Rs. 45. Mainly students and the middle class people are the main customers of dominos. Place

Promotion Sale promotion: Customers can order their pizzas by calling a single countrywide Happiness Hotline 1800-111-123. In fact, dominos was the 1st one to start this facility for its customer. Promotional and Advertising Campaigns: Coupons and discounts are offered by all pizza delivery chains to customers The 30 minutes promise: In 1973, Dominos began a guarantee scheme that the pizza would be delivered in 30 minutes or less, or if it is failed to deliver the pizza within 30 minutes then the pizza would be free. Use of technology: online sales accounted for over 70% of its total sales in 2008. Now, it planned to further exploit the increasing potential of online medium as one of the promotional channel Advertising: it advertises through TV Ads, Newspaper and their taglines are: Hungry Kya? , Khushiyon ki Home Delivery

SWOT ANALYSIS
Dominos strength, the S in a SWOT analysis, was their ability to produce and deliver a product faster and more efficiently than their competition. Not promoting the 30-minute guarantee created a level playing field allowing the focus to shift toward product and price. However, Dominos had continued the use of their belt-driven pizza production oven and therefore better positioned to compete in the pizza price wars. Dominos Pizza exposed several weaknesses, the W in a SWOT analysis, in their approach to advertising and marketing. A short-lived villainous character named The Noid was used to promote the fact that Dominos could deliver a fresh hot pizza even on the coldest days. They were able to perform such a feat, when others struggled, because they invented a different type of pizza box. The message was not that Dominos Pizza recognized the fact that no one wants a cold pizza and offered a remedy, but rather an annoying fictitious character was lurking in hopes of ruining your pizza. The Noid was short-lived marketing trend that caused more confusion than confidence. One important attribute of a good company is the ability to learn from past experiences and change with the times. Dominos quickly recognized a need to innovate, and once and for all solve the problem of cold pizza delivery. This time, however, Dominos Pizza would show the world that they are the trendsetters from which all others grasp firmly the coattails. Crisper crust, bubbling cheese, and hotter topping were the new promise spoken loudly in Dominos advertising. This was made possible by their invention of the HeatWave bag. This new technology, and the creative marketing, caused Dominos competition to sweat. Once again, Dominos became consumer centric and focused on a better customer experience as opposed to getting caught up in product and pricing battles. Opportunities, the O in a SWOT analysis, are seemingly limitless for Dominos Pizza. They have been able to succeed in non-traditional markets by creating a cultural-specific product mix. Today there are over 8000 stores in 50 international markets. Although only producing what is classified as consumer products, the marketing considerations in all markets are the same convenience. It is rare for a consumer to plan days in advance to have a pizza, but instead decides at a moments notice. The core benefit, at least from Dominos perspective, is convenience. A market niche competitor, California Pizza, has attempted to attract some of the frozen pizza consumers by offering variations of their most popular products. This seems to be a shortsighted attempt at trying to capture some of the market share. If Dominos Pizza were to manufacture and distribute their product in the frozen food aisle, their current business would change. As with the California Pizza Kitchen product expansion, the original product is not viewed the same. While there are plenty of opportunities for Dominos to grow, expanding their product offering beyond what can be produced and delivered in the same timeframe as their pizza would have a counter-effect on success in the market. Chicken wings and various deserts were added as an answer to a competitors advantage.

The final element in a SWOT analysis is the identification of threats in the market. Every competitor is recognized as a threat. Becoming too diverse with the product offering can also be perceived as a threat. In both cases, it is wise to understand the cause and effect associated with adding product, making marketing promises, and expanding into too many markets. There will always be a tipping point from which recovery is futile. A bad customer experience is no longer shared between a close-knit group of family and friends. Blogs can influence buying decisions and become a threat to the Dominos brand. Social media has become a huge part of society. The early adopters molded social media into a peer-to-peer communication channel. Unlike traditional broadcast mediums, social media offers two-way communication. An individual, or a business, can post information and receive instant feedback. This form of communication is a perfect fit for an impatient society. However, as Dominos discovered in April 2009, social media can unravel many years of branding. A video produced on a hand-held camera was posted on a popular social media site. The video contained disturbing footage of two Dominos Pizza employees tainting products by various questionable unsanitary methods (Clifford, 2009). In only a few days, the video was viewed over one million times. The Dominos Pizza brand was in serious jeopardy. Nearly fifty years after Dominos Pizza was started, they found themselves under a microscope.

DOMINOS SUPPLY CHAIN

Domino's Pizza (Ann Arbor, MI) realizes the importance of fresh ingredients. In 1999, the company sold 360 million pizzas and reached $3.36 billion in sales. In the United States, Domino's distribution division ensures that its 18 DCs (distribution centers) are never overstocked or run out of fresh ingredients. These DCs supply more than 4,500 Domino's Pizza outlets with items such as pizza dough, sauces, toppings, and even boxes for the pizza. In 1999, the DCs relied on general desktop computing tools and Excel spreadsheets to create forecasts for ordering supplies. Often, the DCs ordered an extra supply of products to create a "safety stock." If the perishables in this safety stock were not sent quickly enough to the Domino's outlets, the company had to throw these items out. Additionally, in some emergency cases, the DCs were forced to pay expedited freight charges to deliver products at the last second. Domino's executives knew they had to improve the company's forecasting methods. The company needed a real-time system that would:

Allow Domino's to increase inventory "turns" (This refers to how long inventory is kept at a DC. Since many of Domino's items are perishable, it is imperative to "turn over" this inventory quickly.) improve customer service by reducing out-of-stock ingredients increase efficiency in its purchasing process Adjust stock for variables such as bad weather and coupon promotions.

Forecasting For Supply Chain Variability. To solve this forecasting problem, Domino's chose Prescient XE a supply chain management (SCM) software solution from Prescient Systems, Inc., (Fort Washington, PA). "We chose Prescient XE because it is specifically designed to

handle supply chain variability and uncertainty," said Barry Smitherman, implementation manager for Domino's Pizza distribution division. First, Domino's identified two groups of users for the software. One group consisted of national purchasing managers from Domino's corporate headquarters who negotiate annual contracts with suppliers. The second group included the buyers at each of the individual DCs. These buyers are responsible for securing the goods that are shipped to the Domino's Pizza outlets. The next step was to enter each DCs historical demand data into the Prescient XE's demand planning software. This software calculates future forecasts of product by DC. Once a forecast is made, the software's replenishment function suggests safety stock, order date, and order quantities. This data goes to the order-generation function, where rules for optimal shipping configurations are established. Once the suggested orders have been reviewed and approved, they are sent to the purchasing function of Domino's ERP (enterprise resource planning) system. The ERP system then executes the order. Delivering The Right Amount, On Time "The Prescient system standardizes our purchasing procedures so we are not inputting data from 18 different spreadsheets," Smitherman said. "Our deliveries are now 99% complete (the proper product, in the proper quantities, in non-damaged condition) and on time in the first delivery attempt. That means out-of-stocks are practically nonexistent." With the new system, Domino's can create a true weekly forecast instead of the previous system's monthly average report. In addition, Domino's inventory turns have increased, and safety stock levels are now under control. This division's success has prompted Domino's to add its equipment and supply division as a user of the Prescient software. This division provides Domino's stores with everything from pizza ovens and store signage, to uniforms and promotional items. 1. Procurement of raw materials Raw materials like wheat, baby corn, tomatoes and spices are got, out of which wheat was bought in from jalandhar and then sent to the commissaries in refrigerated trucks. 4 commissaries (Regional Centralized Facilities) Delhi, Bangalore, Kolkata, Mumbai. Commissary processed the wheat and prepared the pizza dough. The pizza dough and other items prepared in commissaries were then sent to the retail outlets again in refrigerated trucks. The temperature inside the truck was fixed based on the distance between the retail outlets and the commissaries. This was to set the dough at a particular level when it reached the outlets. The retail outlets had to use up the processed dough within three days of delivery. If they failed to do so for some reason the entire quantity was discarded.

2. Distribution Pizza dough processed from the wheat is then sent to the retail outlets again in refrigerated trucks.

Logistics requirement for sending frozen foods, at a temperature of 18C and of refrigerated trucks in which food is sent at a temperature range of between 1 to4C. 3. Retail Outlets Regular stores Super stores: High traffic, more counters Express stores: those where people were expected to walk in and order rather than ask for home delivery.

REFERENCES

http://www.retailsolutionsonline.com/article.mvc/Supply-Chain-Management-Helps-DominosDeliver-0002 http://barbradozier.wordpress.com/2011/09/09/running-head-marketing-plan-for-dominos-pizza/ http://drypen.in/branding/dominos-marketing-strategies-says-affordability-is-the-key-to-survivalin-india-market.html http://marke tography.com/2010/03/09/dominos-pizza-beyond-the-dough/ http://www.scribd.com/doc/25371457/Pizza-Hut-and-Dominos-marketing-strategy

MARKETING MANAGEMENT REPORT

Submitted To: Dr. I.B. Singh (Faculty, DIAS)

Submitted By: Disha (005) Neha (007) Ashu (015) Heena (024) Anuradha (025) MBA II-A (2011)

Delhi Institute of Advanced Studies (Affiliated to Guru Gobind Singh Indraprastha University) Plot No.-6, Sector-25, Rohini New Delhi-110085

ACKNOWLEDGEMENT
We would like to express our gratitude to all those who gave us the possibility to complete this report. We want to thank the DIAS faculty, for giving us the opportunity to commence this report in the first instance. We have furthermore to thanks Dr. I.B. Singh for her continuous guidance and support. She has encouraged us to go ahead.

Disha (005) Neha (007) Ashu (015) Heena Rajora (024) Anuradha (025)

CONTENTS
S.NO. 1. 2. 3. 4. 5. 6. 7. 8. TITLE Introduction History Market Strategies Strategic Analysis Marketing Tactics SWOT Analysis Supply Chain References PG. NO.