VIP Call Girls Bara Bazar - Phone No 8250192130 For Ultimate Sexual Urges
Economics project-pizza hut v/s dominos
1. ECONOMICS PROJECT
Topic: Pizza Hut v/s Dominos
Presented by: NIDHI DEDHIA
FYBBI - Roll No. 5
For the academic year 2011-2012
MITHIBAI COLLEGE
2. Introduction
Fast food is one of the world’s largest fast growing industry
types. India’s fast food industry is growing by 40%. The 6000
corer fast food retail industry is mainly dominated by the
multinational players and the key players which are active in
the research of the food retailing. Because of the availability of
raw material for fast food, global chains are flooding into the
country. The percentage share held by foodservice of total
consumer expenditure on food has increased from a very low
base to stand at 2.6% in 2001. Eating at home remains very
much ingrained in Indian culture and changes in eating habits
are very slow moving with barriers to eating out entrenched in
certain sectors of Indian society. The growth in nuclear
families, particularly in urban India, exposure to global media
and western cuisine and an increasing number of women
joining the workforce have had an impact on eating out trends.
3. Major players in fast food are:
McDonald
KFC
Pizza hut
Dominos pizza
Café coffee day
Barista
Subway
Papa John’s
Smokin joe’s
4. Market shares and major players
Indian taste buds are demanding more and pizza industry – one
of the most intensive industry is all gearing on. People across
the country are consuming over three million pizzas a month
currently, and the monthly sales figures are projected to
double in the next four years. According to industry data, of the
total branded quick service restaurant market make a sale of
over Rs 1,200 Crore, the pizza chains contribute around 50 per
cent of the sales i.e. worth Rs. 600 Crore.
Market share as on 1999
PIZZA CHAIN MARKET SHARE (%)
Pizza Hut 46.42
Domino's 21.67
Others 31.91
Source: Financial Express
Market share as on 2000
Pizza Chain 2000 Market Share (%)
Pizza Hut 18
Domino's 70*
Others 12
Source: Business Standard, As claimed by the company
5. Current Market Shares
Branded Pizza Market Share
Pizza Hut
Domino's
Others
The major market players are Pizza Hut and Domino’s with market
share of 45% and 35% respectively and other shares 20% of the
market.
6. PIZZA HUT
Good time start with great Pizza
It entered India (Delhi) in June 1996
By Jan 2001 pizza hut had 19 outlet across
India
Presently it has 142 outlets in 32 cities in
India
Pizza Hut is the world’s largest pizza chain
with over 12,500 restaurants across 91
countries.
Employing more than 300,000 people.
Pizza Hut is one of the flagship brands of
Yum! Brands, Inc., which also has KFC,
Taco Bell, A&W and Long John Silver’s
under its umbrella.
7. DOMINO’S PIZZA
Hungry Kya ?
It entered India (Delhi) in 1996 through a
franchise agreement with VamBhartia
Corp.
Speedy growth (1 outlet in 1996 & 101
outlets in Feb 2001)
Emphasis on home delivery
Today Domino's Pizza India has grown into
a countrywide network of more than 300
stores with a team of over 9,000 people.
According to the India Retail Report 2009,
Domino’s were the largest Pizza chain in
India & the fastest growing multinational
fast food chain between 2006-2007 and
2008-2009 in terms of number of stores.
Domino's believes strongly in the strategy
of 'Think local and act regional'
10. Competitors of the Pizza Hut and Dominos
• Pizza corner
• McDonald’s
• Barista
• Cafe coffee Day
• Subway
• Papa john’s
• KFC
Pizza Hut and Domino’s competitor analysis
11. 4P’s of Pizza Hut AND DOMINO’S
1. PRODUCT
PIZZA HUT
The customer value hierarchy
From the above diagram we can see that pizza hut has enjoyment as a
basic product but it provides food for it. Thus a person having a basic
need of enjoyment can go to pizza hut and have pizza which is the
company’s core product. Hot pizza and good taste are his expectation.
Thus the company should ensure this by providing good pizza. The
value adds services refer to the overall dining experience, the service
quality, ambience etc.
12. Domino’s
The customer value hierarchy
From the above diagram we can see that dominos has a food as a basic
product but overall it provides an experience. Thus a person having a
basic need of food can go to dominos and have pizza which is the
company’s core product. Hot pizza and good taste are his expectation.
Thus the company should ensure this by providing good pizza. The
value adds services refer to the overall dining experience, the service
quality, ambience etc.
13. 2. PLACE
Once the product has been decided upon and the market segmented,
targeted and the product positioned, it is time to decide how and
where the marketer can deliver the value (product) to the customer.
This is done through marketing channels that make the product
available for consumption to the customer.
Push and pull strategies in channel marketing:
In a push strategy, the manufacturer uses his sales force, trade
promotion, money or other means to induce intermediaries to carry
promote and sell its products to end users. In a pull strategy, the
manufacturer uses advertising, promotion and other forms of
communication to persuade the customer to demand the product from
intermediaries, thus inducing the intermediaries to order it.
Pizza hut: masters at pull strategy
Pizza hut follows more or less the opposite strategy. Pizza hut has
mastered the art of pull strategy. It pioneered the practice of
advertising and promotion in the fast food industry. Pizza hut achieved
this remarkable feat by adopting a different marketing strategy that
involved increasing ambiences and amusement for the customers.
Domino’s: pursuing a push strategy
Domino’s pursues a medium push strategy in its channel marketing.
The advertising layout for Domino’s is minimal in India. Domino’s
concentrates on incentivizing customers instead off advertising and
promotion. As a result, domino’s regularly introduces sell-in schemes
(promotional schemes for dealers), promotional coupon, festival offers
etc.
14. 3. PRICE
Tricon International said, “Indians are value-sensitive, not price-sensitive. We need to offer
comeback value to our customer.” The high price was attributed to the high quality of
ingredients used. For instance, Domino's sourced its Pepperoni and Jalapeno needs from
Australia and Spain respectively. However,with competition increasing from Pizza Hut,
Domino's introduced price cuts, discounts and freebies to attract the customers.
Company Price Range (Rs)
Domino's 39-265
Pizza Hut 75-350
Pizza Price Comparison
Domino's was spending 50% of its total marketing budget on special offers and discounts along
with delivered direct mailers and pizza training classes. Domino's also had a tie-up with
Discovery Channel under which the channel advertised its pizzas while Domino's put the
channel's name on its mailers. Domino's conducted Pizza making classes for school students. In
1998, it offered a clock to all its customers who had bought Rs.15,000 worth of pizzas
4. PROMOTION
Promotional and advertisement campaigns
The pizza delivery business had traditionally been promotion driven.
Coupons and discounts were offered by all pizza delivery chains to
woo customers. Since its inception, Domino’s had been known for its
unique promotions that included fast delivery and innovations to
cater to a varied palette.
Use of technology
Online sales accounted for over 70 percent of its total sales in 2008.
Dominos planned to further exploit the increasing potential of the
online medium as one of the promotional and distributional channels
in the downturn.
15. Creative strategy
Latest in domino’s
Kwality wall’s ice-creams in dominos- For the first time
dominos started offering ice creams .Selling ice cream in
Domino’s is also a new sales promotion strategy to attract
more customer in a new perceptive/innovative way.
Domino’s has also come up with pasta mania.
Latest in pizza hut
Pizza Hut's first campaign on television in July 2001, which
said, “Good times start with great pizzas”. The ad was
aired during all the important programs on Star Plus,
Sony, Sony Max, Star Movies, HBO, AXN, and MTV.
The first ad campaign on TV defines Pizza Hut as a brand,
and what it offers to its existing and potential customers.
Sales promotion
Pizza Hut laid more emphasis on its “restaurant dining
experience”.
Pizza Hut localizes it menu to capture local Indian Market.
In 2000 Pizza Hut launched its innovative Pizza Pooch
menu and Pizza Pooch Birthday Party package exclusively
for kids in the 6-10 age groups.
It positioned itself as family restaurant and also
concentrated on wooing kids.
16. Success Factors
Pizza Hut
Offering value food
Aggressive marketing and tie-ups with local and popular brands
Moving beyond metros
Developing the local supply chain
International brand with an Indian heart
Offering more than the international menu
Good ambiance
Domino’s
Door step services
Low pricing
17. SURVEY
Name: Gender: M/F
Age Group: a) Below 18 b) 18-28 c) 28-40 d)Above 40
Occupation: a) Student b)Business c)Service d)Housewife e) Any other :
1. How often do you visit Pizza Hut OR Dominos ?
(i) Weekly (ii) Monthly (iii) Occasionally
2. Through which media you are getting information about Pizza Hut?
(i) TV (ii) Newspaper (iii) Pamphlets (iv) Bill Boards (v) Other’s (specify)…
18. 3. Put a tick against the following with respect to following parameters?
Parameter Pizza Hut Dominos
Quality
Price
Store
Ambiance
Service
4. Compare Pizza Hut and Dominos with the following food chains and rate them on a scale of 10.
Name Quality Store Service Ambiance
Pizza Hut
Domino’s
Pizza Corner
Nirula’s
Smoking Joes
U.S Pizza
5. Would you try a new food item launched Pizza Hut or Dominos :
(e.g Conniza , Freshizza )
(i) YES (ii) NO
6. In your view what suggestions you have for Pizza Hut?
19. Conclusions
Keeping up the sentiments of Indian customers and services offered by
Pizza-houses and Keeping our study focused on some of the key –areas
of sensitivity of customers preferences (analysis of factors which
affects the preferences).
We come to a conclusion that : -
Pizza Hut is preferred over dominos in terms of
Varity of Pizza’s
Good ambience
Services offered
Quality of pizza’s
Location of the Outlet
Waiting time in the outlet
Domino’s is being preferred over pizza-hut in terms of
Door step services
Low pricing
So we can say that due to these qualities PizzaHut dominates Domino’s
pizza
In different areas and capture the market share and gain rapidly.
20. Recommendations
For Dominos
Increase varieties in Pizza’s.
Focus on location of the outlets.
Increase the quality of Pizza’s
Make good ambiance in outlets
Should focus more on market zing itself confidently.
For Pizza-Hut
Try to attract more number of Ladies customers.
Should focus on Low price customers.
Make the door step services better
