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MM Final Project - Sec D - GRP 2

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MM Final Project - Sec D - GRP 2

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ICFAI BUSINESS SCHOOL

BENGALURU

BATCH OF 2024-26

Sec-D

Marketing management project report on


Domino's, Pizza Hut, & Oven Story.

Learning outcomes
 Understanding of Application of Marketing Concept
 Comparative Brand Analysis
 Understanding Consumer-Centric Strategies
 Understanding Brand Strategies

Submitted By: (Group 2) Submitted To:

Harshitha K.S (24BSOCBL0651) Dr. Sofi Dinesh


Ramakrushna Sahoo (24BSOCBL0679)
Hema Mahitha Sabbineni (24BSOCBL0644)
Prajesh Akula (24BSOCBL0540)
Raj singh Naruka (24BSOCBL0638)
P V Deepthi (24BSOCBL0623)
Bhavana B (24BSOCBL0643)

1
Table of Content
S.No INDEX Pg. No
1 Introduction 3
1.1 Domino’s 3
1.2 Pizza Hut 4
1.3 Oven Story 4
2 Marketing Mix Analysis 5
2.1 Domino’s 5
2.2 Pizza Hut 6
2.3 Oven Story 7
2.4 Comparative Analysis 8
3 STP Analysis 8
3.1 Domino’s 8
3.2 Pizza Hut 10
3.3 Oven Story 12
4 Value Creation and Differentiation 13
4.1 Customer Experience 13
4.2 Quality & Innovation 13
4.3 Differentiation Strategy 14
4.4 Market Presence & Financial Performance 15
4.5 Comparative Analysis 15
5 Global and Local Marketing Strategies 15
5.1 Domino’s 15
5.2 Pizza Hut 17
5.3 Oven Story 18
6 Conclusion 22

2
Introduction:
The global food industry has witnessed remarkable growth, with the quick-service restaurant (QSR) segment
playing a pivotal role. Among QSRs, the pizza category has consistently gained popularity, with brands like
Domino's, Pizza Hut, and Oven Story carving distinct niches. These brands stand out not only for their
innovative products but also for their strategic marketing and customer-centric approaches. This section
introduces these three brands, highlighting their history, global and local presence, unique selling points, and
target audiences.

1. Domino’s Pizza

Domino’s Pizza, founded in 1960 in Michigan, USA, by Tom Monaghan, started as a single store and has
grown into one of the largest pizza chains globally. With a presence in over 90 countries and more than
19,000 stores, Domino's is synonymous with convenience, speed, and innovation. The brand entered the
Indian market in 1996 and quickly became a market leader due to its aggressive expansion and customer
centric strategies.

 Global Presence: Domino's operates on a franchise model, ensuring standardization and scalability
across regions. Its “30-minute delivery promise” became a revolutionary concept in the QSR
industry, setting high benchmarks for efficiency.

 Local Adaptation: In India, Domino’s tailored its menu to cater to local tastes, offering options like
Peppy Paneer and Chicken Tikka pizza, which resonate with the Indian palate.

 Unique Selling Points (USPs):

 Cutting-edge technology, including its Pizza Tracker and mobile app, enhances customer
experience.
 Strong delivery infrastructure and partnerships with platforms like Zomato and Swiggy.
 Target Audience: Primarily millennials and Gen Z, who value convenience and quick service.
Families also form a significant customer base for Domino’s due to its affordable pricing and group-
friendly menu options.
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2. Pizza Hut
Pizza Hut, established in 1958 in Wichita, Kansas, by Dan and Frank Carney, is one of the most recognized
pizza brands worldwide. Operating in over 100 countries with approximately 18,000 restaurants, Pizza Hut
is known for its dine-in services as well as delivery. It was among the first pizza brands to enter India,
establishing a strong foothold in the mid-1990s.0

 Global Presence: Pizza Hut adopts a hybrid model of dine-in and delivery services, making it a family-
friendly destination and a reliable option for home delivery.
 Local Adaptation: Pizza Hut’s Indian menu features a fusion of global and local flavors, offering
innovative items like Paneer Tikka Pizza and Masala Pizza Bites.
 Unique Selling Points (USPs):
 Focus on creating a comfortable dine-in experience.
 Frequent promotional offers and meal combos targeted at families and groups.
 Strong branding with memorable campaigns like “No One Out pizzas the Hut.”
 Target Audience: Pizza Hut appeals to families seeking a cozy dining experience, as well as working
professionals and students looking for indulgent, premium-quality pizza.

3. Oven Story Pizza


Oven Story is a homegrown Indian pizza brand launched in recent years under the Rebel Foods umbrella,
which specializes in cloud kitchens. The brand has disrupted the traditional pizza market by focusing on
premium ingredients and exclusive Flavors. Operating through an online delivery model, Oven Story has
gained popularity in metropolitan cities like Bangalore, Mumbai, and Delhi.

4
 Local Presence: Unlike Domino’s and Pizza Hut, Oven Story doesn’t have dine-in options. It operates
solely through cloud kitchens, catering to the growing demand for food delivery in urban areas.
 Unique Selling Points (USPs):
 Focus on innovative flavour profiles, such as Peri-Peri Pizza and Tandoori Paneer Pizza.
 Offers a ‘cheese burst’ option as a standard for most pizzas, enhancing the indulgence factor.
 Competitive pricing combined with premium ingredients.
 Target Audience: Urban millennials and Gen Z who value convenience and are willing to explore
non-traditional, gourmet flavours. Its digital-first approach resonates with tech-savvy, young
professionals.

Marketing Mix Analysis (4Ps): Domino's, Pizza Hut, and Oven Story

1. Domino’s Pizza
1. Product:
Domino’s excels in offering an extensive menu that caters to diverse customer preferences. Their
pizzas are available in various sizes and crust options, such as cheese burst, thin crust, and wheat-
based crusts. Apart from pizzas, Domino’s includes a variety of sides like garlic breadsticks, chicken
wings, desserts like the Choco Lava Cake, and beverages, ensuring a wholesome dining experience.
They continuously innovate to introduce local and regional flavors, making their menu relevant to
the Indian palate.

2. Price:
Domino’s employs a value-for-money strategy with affordable pricing that appeals to budget-
conscious consumers, including students and families. Frequent offers, combo deals, and loyalty
programs, such as "Everyday Value" (2 medium pizzas at discounted prices), make it accessible
across demographics. The pricing strategy also reinforces Domino’s focus on being a convenient yet
affordable indulgence.

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3. Place:
Domino’s has one of the most robust delivery networks in India, covering urban and semi-urban
areas. Their hallmark "30-minute delivery guarantee" is a key differentiator, supported by
strategically located outlets. Additionally, their mobile app and website provide a seamless ordering
experience with real-time tracking features. Domino’s stores are designed to function primarily as
delivery hubs, with limited dine-in options.

4. Promotion:
Promotional efforts focus on maintaining a strong digital presence, with catchy slogans like "30
minutes or free" resonating deeply with customers. Domino’s leverages platforms like social media,
TV, and email campaigns for visibility. They also frequently run promotional offers like Buy One
Get One Free (BOGO), weekend mega deals, and festive discounts to maintain customer
engagement.

2. Pizza Hut
5. Product:
Pizza Hut provides a mix of classic and innovative pizza options alongside pasta, appetizers, salads,
and desserts. Unlike Domino’s, Pizza Hut has positioned itself as a premium brand with a focus on
creating a superior dine-in experience. Buffet meals and unlimited options during specific hours
enhance the appeal of dining at Pizza Hut.

6. Price:
Pizza Hut's pricing is slightly higher than Domino’s, reflecting its focus on quality and a richer
dining experience. However, it balances this with attractive offers, such as weekday lunch combos,
festival-specific deals, and discounts targeted at family gatherings or large orders.

7. Place:
While Pizza Hut has a presence in delivery, its dine-in service remains its strongest differentiator.
Outlets are designed with spacious seating, welcoming interiors, and a family-friendly ambiance.
Although the delivery network is reliable, it lacks the speed and penetration of Domino’s.

8. Promotion:
Pizza Hut's marketing campaigns are tailored to evoke nostalgia and promote family bonding over
meals. Their promotional offers, such as festive deals and personalized coupons, aim to attract
customers looking for premium dining experiences. Collaborations with delivery platforms like
Zomato and Swiggy also aid visibility.
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3. Oven Story
9. Product:
Oven Story stands out with its focus on gourmet pizzas made with exotic ingredients like truffle oil,
peri-peri chicken, and premium cheese blends. Their innovative menu includes unique crust options
like whole wheat and multi-grain, appealing to health-conscious customers. Oven Story emphasizes
quality and exclusivity, differentiating itself from mass-market players like Domino’s and Pizza Hut.

10. Price:
Oven Story adopts premium pricing, catering to niche customers willing to pay more for artisanal
quality. While it offers combo deals, the pricing strategy highlights its positioning as a premium
brand in the delivery-only segment.

11. Place:
Oven Story primarily operates online through food delivery platforms like Zomato and Swiggy,
minimizing overhead costs associated with physical outlets. Its delivery focus targets metro cities
and urban millennials who prioritize convenience and premium options.

12. Promotion:
Oven Story invests minimally in traditional advertising, relying on word-of-mouth and platform-
driven promotions. Campaigns often highlight exclusivity and quality, such as "Chef’s Special
Pizzas," to appeal to discerning customers.

7
Comparative Analysis:

Dimension Domino's Pizza Hut Oven Story

Versatile, fast-prep Premium dine-in Artisanal pizzas


 Product pizzas with local with family-centric with exotic
twists meals ingredients

Affordable, frequent Slightly premium Premium pricing


 Price
deals with combo offers for niche customers

Extensive delivery Dine-in focus with


Online-only, metro-
 Place network, app-based moderate delivery
focused delivery
ordering network

High visibility Family-oriented Minimal,


 Promotion through discounts and themes, seasonal exclusivity-driven
campaigns discounts campaigns

STP Analysis:
1.Domino’s Pizza
STP analysis is a marketing framework that stands for Segmentation, Targeting, and Positioning. Let’s
examine how Domino’s Pizza applies the STP analysis to effectively target its customers and position itself
in the competitive market:

Segmentation
Segmentation involves dividing the market into distinct groups of customers with similar characteristics and
needs. Domino’s Pizza uses various segmentation variables to identify its target customer segments:
a.Demographic Segmentation: Domino’s considers demographic factors such as age, income, family size, and
occupation. It caters to a wide range of customer demographics, including families, students, young professionals, and
individuals seeking affordable and convenient meal options.

b. Geographic Segmentation: Domino’s focuses on specific geographic locations where it can establish a
strong presence. It considers factors like population density, urban vs. rural areas, and regional preferences
to tailor its offerings to local tastes.
c. Psychographic Segmentation: Domino’s also considers psychographic factors, such as lifestyle,
attitudes, and behaviour. It targets customers who value convenience, fast delivery, and a wide range of
customization options.
d. Behavioural Segmentation: Domino’s analyses customers’ buying behaviours and preferences. It targets
both frequent and occasional pizza consumers, offering promotional deals, loyalty programs, and menu
innovations to encourage repeat purchases.
By employing segmentation, Domino’s identifies key customer segments, understands their unique needs,
and tailors its marketing strategies to effectively reach and serve each segment.

8
Targeting
Targeting involves selecting specific customer segments to focus marketing efforts on. Based on the
segmentation analysis, Domino’s Pizza targets the following customer segments:
a. Convenience Seekers: Domino’s targets customers who prioritize convenience and value quick and
hassle-free food delivery. This includes busy families, students, and professionals looking for a convenient
meal option.
b. Tech-Savvy Customers: Domino’s caters to customers who embrace technology and prefer online
ordering and mobile app convenience. By offering user-friendly online platforms and innovative ordering
options, such as voice-activated devices and social media integration, Domino’s appeals to this target
segment.
c. Value-Oriented Customers: Domino’s targets price-conscious customers who seek affordable meal
options without compromising on taste and quality. By offering combo deals, discounts, and loyalty
programs, Domino’s attracts and retains customers looking for value for money.
d. Customization Enthusiasts: Domino’s appeals to customers who enjoy personalizing their pizza orders.
By offering a wide variety of crusts, toppings, and sauces, Domino’s caters to individuals seeking a
customized dining experience.
Through targeted marketing efforts, Domino’s focuses its resources on specific customer segments that align
with its brand values and business objectives.

Positioning
Positioning refers to the unique place a brand occupies in the minds of customers compared to competitors.
Domino’s Pizza has strategically positioned itself through the following key elements:
a. Fast and Reliable Delivery: Domino’s positions itself as a leader in pizza delivery, emphasizing its
commitment to delivering hot and fresh pizzas to customers’ doorsteps within a specific timeframe. The
company’s “30 Minutes or Free” guarantee, although no longer in effect, helped establish its reputation for
fast delivery.
b. Innovation and Technology: Domino’s positions itself as a technology-driven brand that leverages
advancements in online ordering, mobile apps, and GPS tracking systems to provide a seamless and
convenient ordering experience. By embracing technology, Domino’s communicates its commitment to
innovation and customer-centricity.
c. Quality Ingredients and Customization: Domino’s positions itself as a brand that uses high-quality
ingredients and offers a wide range of customization options. This allows customers to create their own
unique pizzas, ensuring customer satisfaction and promoting a sense of ownership and personalization.
d. Affordable Pricing: Domino’s positions itself as a value-oriented brand, offering high-quality pizzas at
competitive prices. By providing affordable options and regular promotional deals, Domino’s appeals to
price-conscious customers.
Through effective positioning, Domino’s Pizza differentiates itself from competitors, emphasizing its
strengths in delivery speed, technology integration, quality ingredients, customization, and affordability.
By utilizing the STP analysis, Domino’s Pizza identifies its target customer segments, tailors its marketing
strategies to their needs and preferences, and positions itself as a leader in the pizza delivery market. This

9
allows Domino’s to effectively communicate its value proposition, build customer loyalty, and maintain a
competitive advantage in the industry.

2.Pizza Hut

Segmentation
A Market segment consists of a group of customers who share a similar set of needs and wants. Market
segmentation variables of Pizza Hut can be understood under the following headings.
a. Demographic segmentation: In demographic segmentation, we divide the market into groups on the
basis of variables such as age, gender, income, occupation etc. Pizza Hut tries to segment its market on the
basis of set variables which help them identify who their customers are and which group they belong to.
 Age: Pizza Hut mainly targets the youth, however they do extend to other age groups too, as they
offer a family experience. Pizza Hut continues to stress on their dining experience of fun, laughter
and good times. The companies target audience is the youth and the dual career families, who have
no time to prepare food and want to grab the food as fast as possible.
Below 15 years – 10%
15 – 30 years – 60%
31 – 40 years – 20%
Above 40 years – 10%
 Gender: The company targets both genders.
 Income and Class: Pizza Hut segments people on the basis of their income level and they try to
target different group with different schemes. Their main focus is on consumer groups that are ready
to pay for the best tasting pizza. However, to attract lower income groups and more students they
have come up with schemes like Pizza @ Rs . 44
Upper Class 50%
Middle Class 48%
Lower class 02%
 Occupation: Pizza Hut mainly segments their offerings to Professional Executives and Students.

b. Psychographic segmentation: It is the science using psychology to better understand the consumers, and
trying to suit local tastes and ideology. With the changing market trends Pizza Hut is constantly revamping
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their image and introducing new local flavours like Paneer El Rancho, Tandoori Chicken. They also
introduced pure veg dine-in restaurants in Mumabai, Ahmedabad and Surat.
Psychographic segmentation buyers are divided on following ways:
 Lifestyle: Business Class, Students, Outdoor Oriented, Pressed for time
 Personality: Ambitious, Open to Experience, Taste is Important, Seek Value
 Occasions: Regular, Special
 Benefits: An Experience, Quality, Service, Hot Delivery
 User Status: Regular User
 Usage Rate: Medium
 Loyalty Status: Medium Loyal
 Readiness Stage: Intending to Pay for the Best Pizzas
 Attitude towards Product: Enthusiastic

c. Geographic segmentation: Geographic segmentation divides the market into different geographical units
such as states, regions, cities. Worldwide Pizza Hut is located in over 100 countries. Pizza Hut is mainly
running in Urban India, that is Tier I and Tier II cities. However, they are fast increasing the number of
outlets to fight competition like Domino that has a wider reach in small towns and semi-rural areas. Pizza
Hut plans to increase the store count of Pizza Hut Delivery (PHD) to 300 by 2015 and Pizza Hut’s dine-in
restaurants are targeted to increase from 140 currently to 250 by 2015 taking the combined store count of
Pizza Hut and Pizza Hut Delivery to 550 in India by 2015. Some new outlets are in cities like Nagpur,
Pondicherry and Thiruvanthapuram. Pizza Hut salutes its belief of quality service by adapting to local tastes
and preferences like the All- vegetarian Restaurants in Surat, Gujarat. Pizza Hut runs using the franchise
model where people are trained to match global standards while keeping in mind local preferences.
 Area: Semi-urban and urban
 City: Class-A and Class-B cities i.e. metro politician cities
 Region: 65 regions where there is high pizza demand and over 140 outlets across 36 cities.
 Socioeconomic Classification: The purchase potential of this product is limited up to the SEC B1,
B2, and A2.

Targeting
Once the organisations decide market segments, they further decide who to target and how many to target.
Initially through geographic segmenting Pizza Hut targeted countries where they noticed potential
market. Once this was done and they identified India they further segmented to urban Tier I and Tier II
cities. Now with further expansion plans Pizza Hut plans to move into small towns and has already started
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with towns like Nagpur, Thiruvanthapuram and Pondicherry. In demographic segment their main target is
the teenagers and college students, young adults and working professionals who are pressed for time. This
target group falls in the age group of 15-30 years. In psychographic segmentation they targeted SEC: A1,
A2, B1 and B2 socio-economic classes. In behavioural segmentation it was found that they were targeting
the first-time users and also their regular users. Pizza Hut classifies its outlets into PH and PHD ie. Pizza
Hut Dine in Restaurants and Pizza Hut Delivery outlets. Further they also have Express stores where people
were expected to walk in, grab a quick order and take away, for example at university campuses, offices or
cinema halls.

Positioning
Pizza Hut is the preferred affordable casual dining restaurant in India with a 27 per cent market share of the
eating-out market and over 70,000 footfalls per day across the country, and being rated as the most trusted
and established brand; Pizza Hut is geared to provide diners with the ideal place to change everyday
moments into celebrations with delicious food. Pizza Hut does everything in its power to ensure the
customer’s quality of experience and therefore takes utmost care in terms of ambience, décor and service. It
is for this reason that they have a Happiness Bell at the exit door that customers may ring if they feel that
they have had an enjoyable time at the outlet.

3.Oven Story Pizza


Segmentation
a. Demographic: Age (25-45), Income (middle to upper-middle class), Education (college-educated),
Location (urban and suburban areas with access to online shopping)
b. Psychographic: Lifestyle (health-conscious, adventurous eaters, value quality ingredients and
experiences), Interests (cooking, food trends, sustainability), Values (authenticity, convenience, supporting
local businesses)
c. Behavioural: Usage (regular meal preparers, occasional bakers, those seeking unique culinary
experiences), Purchase behaviour (online shoppers, brand loyalists, price-sensitive)
Targeting
a. Primary Target: Health-conscious, adventurous eaters aged 25-45 with disposable income, living in
urban or suburban areas, interested in cooking and exploring new flavours. They value quality ingredients,
convenience, and supporting local businesses.
b. Secondary Target: Time-pressed professionals aged 30-45 with higher disposable income, seeking
convenient yet gourmet meal solutions. They value quality and unique flavours but may be less focused on
cooking themselves.

Positioning
a. Value Proposition: "Discover the joy of effortless gourmet cooking with Oven Stories. Our curated meal
kits deliver restaurant-quality flavours and fresh, locally-sourced ingredients right to your doorstep,
empowering you to create extraordinary meals without the fuss."
b. Brand Personality: Innovative, sophisticated, convenient, authentic, and community-oriented.
c. Unique Selling Proposition (USP):
 Curated Meal Kits: Focus on unique flavour profiles and chef-designed recipes.
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 High-Quality Ingredients: Emphasize fresh, locally-sourced ingredients.
 Convenience: Offer pre-portioned ingredients and easy-to-follow instructions.
 Community: Foster a sense of community through online recipes, cooking tips, and interactive
experiences.

Value Creation and Differentiation: Domino’s, Pizza Hut, and Oven Story
1. Customer Experience

 Domino’s Pizza:
o Pizza Tracker: Domino’s introduced its Pizza Tracker, allowing customers to track their
order in real-time. This innovation has been pivotal in customer engagement and satisfaction.
According to a report, 80% of customers find the tracker helpful, improving loyalty and
repeat orders.
o Delivery Time Guarantee: Known for its 30-minute delivery guarantee, Domino’s
differentiates itself as a reliable option for quick meals.
o User-Friendly App: The app contributes to over 70% of their global sales, making online
ordering seamless.
o Net Promoter Score (NPS): Domino’s consistently scores high, with an NPS of 59 in 2022,
reflecting strong customer satisfaction.
 Pizza Hut:
o Dining Experience: Pizza Hut emphasizes dine-in ambiance, offering a family-friendly
atmosphere. In India, 50% of its business comes from dine-in customers.
o Personalized Offers: Its Hut Rewards loyalty program ensures returning customers benefit
from discounts and freebies, driving a 10% increase in repeat orders.
o Mobile App Engagement: With a revamped app interface in 2023, Pizza Hut reported a 15%
increase in app downloads, focusing on improving online experiences.
 Oven Story:
o Specialized Menu: Oven Story targets premium customers by offering customized flavors
like peri-peri cheese burst and tikka masala, creating an artisanal appeal.
o Tech Integration: As a cloud kitchen model, its collaboration with food aggregators like
Swiggy and Zomato ensures smooth order tracking. Oven Story claims 95% on-time delivery
rates, enhancing customer experience.

2. Quality and Innovation

 Domino’s Pizza:
o Menu Customization: Focuses on localized flavors like Peppy Paneer and Indi Tandoori
Chicken to appeal to regional preferences, boosting sales in international markets by 12%
year-over-year.
o Process Innovation: Automated kitchens in key markets reduce errors, leading to consistent
quality and lower operational costs.
 Pizza Hut:
o Premium Ingredients: Focus on fresh dough preparation and high-quality toppings. In 2022,
it introduced vegan options and gluten-free crusts to cater to evolving dietary preferences,
which contributed to a 20% increase in health-conscious customers.
o Innovation in Menu: Offers a wider variety than competitors, including pasta, wings, and
desserts, positioning itself as a complete meal provider.
 Oven Story:
o Flavors as Differentiators: Known for its premium cheese blends (4 types of cheese in one
pizza), targeting niche audiences. This unique proposition has resulted in a 25% customer
retention rate, significantly higher than competitors.
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o Cloud Kitchen Model: Operates cost-efficiently with reduced overheads, allowing
investment in better ingredients and quicker innovation cycles.

3. Differentiation Strategies

 Pricing:

Aspect Domino's Pizza Hut Oven Story


Entry- Introduced pizzas starting at Positioned as a premium brand
Offers pizzas starting at
Level ₹79 to attract budget- with pizzas ranging from ₹600 to
₹59 for a regular size.
Pricing conscious consumers. ₹800 for a large size.
Introduced value deals Offers competitive pricing Focuses on premium offerings
Value
such as meals for ₹99 to with various combo deals to with unique flavors, less emphasis
Meals
boost demand. attract customers. on discounted pricing.

 Delivery and Service Innovations

Aspect Domino's Pizza Hut Oven Story


Operates through cloud
Pioneered the 30-minute Focuses on both dine-in
Delivery Time kitchens, ensuring efficient
delivery guarantee, and delivery services, with
Guarantee delivery services via food
enhancing customer trust. no specific time guarantee.
aggregators.
Utilizes the Pizza Tracker for Offers online ordering and Leverages food aggregator
Technology
real-time order tracking, tracking through its app platforms for order tracking
Integration
enhancing transparency. and website. and customer engagement.

 Unique Product Offerings

Aspect Domino's Pizza Hut Oven Story


Offers localized flavors Specializes in premium cheese
Introduced Tandoori Paneer
Localized like Peppy Paneer and Indi blends and unique flavors like
and Chicken Tikka pizzas to
Flavors Tandoori Chicken to cater Tandoori Paneer Tikka and
appeal to local preferences.
to Indian tastes. Peri Peri Chicken.
Offers a variety of items Focuses primarily on gourmet
Includes sides like garlic
Menu including pasta, wings, and pizzas with an emphasis on
bread, pasta, and desserts
Diversification desserts, positioning as a quality ingredients and unique
such as Choco Lava Cake.
multi-cuisine provider. recipes.

14
4. Market Presence and Financial Performance

Metric Domino's Pizza Hut Oven Story


Approximately 16% of Approximately 4.4% of Specific data not publicly
Market
India's chained food service India's chained food service available; operates primarily
Share
industry. industry. through cloud kitchens.
Operates through multiple cloud
Number of Over 1,758 outlets across
Around 800 stores in India. kitchens across major Indian
Outlets India.
cities.
Revenue Specific revenue figures not
₹5,208.65 crore in India. ₹690 crore in India.
(FY2023) publicly disclosed.
Net Profit ₹59.8 crore, a 21.2% Financial performance details
₹28.5 crore, a 70% decline.
(Q4 FY2023) decline. are not publicly available.

5. Competitive Advantages: Clear Comparisons

Aspect Domino’s Pizza Hut Oven Story


Customer Real-time tracking, 30-min Dine-in ambiance, loyalty Premium delivery
Experience guarantee rewards reliability
Premium, innovative
Quality Consistent, localized flavors High-quality ingredients
flavors
Delivery tracking, automated
Innovation Vegan/gluten-free options Artisanal cheese blends
kitchens
Fast (cloud kitchen
Delivery Speed 30-min guarantee Moderate
model)
Pricing Affordable combos Mid-range pricing Premium pricing
Competitive Edge Delivery reliability and speed Dining experience Unique, gourmet appeal

Global and Local Marketing Strategies


1.Domino’s
Global Marketing Strategies
a. Localization of Menu and Offerings: Domino’s has tailored its menu to meet the tastes and preferences
of local customers in different regions. While its core menu of pizzas remains consistent, the company often
adapts its offerings in response to regional dietary habits, cultural preferences, and available ingredients. For
example:
 In India, Domino's offers a range of vegetarian pizzas, reflecting local preferences, and uses paneer
(Indian cheese) as a topping.
 In Japan, they offer unique pizza options like teriyaki chicken and seafood pizzas, which cater to
local tastes.
 In some Middle Eastern countries, Domino's offers halal meat options to cater to the local Muslim
population.

15
b. Technology and Online Ordering: Domino’s is known for its strong emphasis on technology in its
marketing and service delivery. The brand has heavily invested in digital platforms, including a mobile app,
website, and even AI-powered chatbots for ordering. By embracing technology, Domino’s has been able to
improve the customer experience, streamline operations, and tap into the growing trend of online ordering.
In addition:
 They introduced features like GPS tracking for deliveries, allowing customers to track their pizza in
real-time.
 The company is focusing on improving its delivery services through drone and autonomous vehicle
trials in select markets, which highlights its commitment to innovation
c. Branding and Communication: Domino’s global brand positioning revolves around "Hot, Fresh, and
Delivered in 30 Minutes or Less" (though this is no longer strictly adhered to due to safety regulations in
some countries). It has consistently communicated its value proposition through advertising campaigns that
emphasize quality, convenience, and speed.
 In the U.S., Domino’s uses humorous and relatable ads, often focusing on customer satisfaction and
the convenience of ordering from home.
d. Aggressive Expansion and Franchising : Domino’s has pursued an aggressive franchising model to
expand globally, entering over 85 countries. This model allows the brand to scale rapidly and adapt to local
market conditions with the help of local franchisees who understand the local market dynamics.
 Franchising helps Domino’s maintain a relatively low level of corporate risk while gaining access to
global markets.
 The company has expanded its presence in emerging markets such as India, China, and Brazil, which
offer substantial growth opportunities due to their expanding middle class and urbanization.
Economic Trends Impacting Domino’s Global Strategy
a. Globalization and Economic Growth in Emerging Markets: Emerging markets with growing
disposable incomes, urbanization, and changing consumer lifestyles present significant opportunities for
Domino’s. Countries like India, China, and Brazil have seen a rise in demand for fast food and convenience-
based dining options. Domino's has capitalized on this by introducing low-cost menu options and expanding
delivery services, making it an affordable and attractive option for a broader audience.
b. E-commerce and Digitalization: The global trend towards e-commerce and digital payments is
reshaping the food delivery industry. Domino’s has integrated mobile apps, online ordering platforms, and
digital marketing into its strategy to target tech-savvy customers. The company’s strong online presence,
which allows for easy ordering and payment, has been crucial in maintaining customer loyalty and
expanding its customer base across the globe.
c. Inflation and Supply Chain Costs: Rising inflation and increased costs of raw materials (e.g., cheese,
wheat, and oil) can have a direct impact on Domino’s pricing strategy. In some markets, Domino’s has
adjusted its menu pricing to compensate for these increases, while in
d. Labor Costs and Automation: Labor costs, particularly in developed countries like the U.S., have risen
due to minimum wage increases and changing employment regulations. To mitigate this, Domino’s has
increasingly relied on automation and technology, such as self-order kiosks, automated pizza-making
machines, and even delivery by autonomous vehicles in select markets.
Regulatory Environments Affecting Domino’s Strategies

a. Food Safety and Health Regulations: Domino’s operates in diverse regulatory environments, each with
its own set of food safety and health regulations. In the European Union, for example, there are strict
regulations on food labelling, ingredient transparency, and food safety. Domino’s has to ensure compliance

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with these regulations by sourcing ingredients from approved suppliers, meeting health and safety standards,
and offering accurate nutritional information to consumers.
b. Labor and Employment Laws: Labor regulations, such as minimum wage laws, union regulations, and
labor conditions, vary across countries and regions. In some European markets, there are stringent labor laws
that require businesses like Domino’s to provide better working conditions and benefits to employees. This
could influence the company's operational strategies, including pricing models, labor allocation, and staffing
practices.
c. Environmental and Sustainability Regulations: Increasing environmental regulations are prompting
Domino’s to focus on sustainability in its global operations. Many countries, especially in Europe and parts
of North America, are enforcing regulations on packaging waste, recycling, and carbon emissions. Domino’s
has made efforts to reduce its environmental footprint, including:
 Using more sustainable packaging, like recyclable or biodegradable pizza boxes.
 Working to reduce food waste and improve energy efficiency in its operations.
 In some markets, Domino's offers "green" delivery options, where customers can choose a more eco-
friendly delivery method (e.g., bicycle or electric vehicle) when available.

2. Pizza hut

Global marketing strategies


a. Localized Menus with Global Flavor
Pizza Hut’s magic lies in its ability to bring a unique, local twist to a beloved global brand.
 Menus That Fit the Market: By offering region-specific items like paneer and tandoori pizzas in
India or squid-topped pizzas in Japan, Pizza Hut creates a sense of connection with its local
audiences, showing that it’s more than just an imported brand.
 Adaptability is Key: As customer preferences change, Pizza Hut adapts. From introducing plant-
based options to offering lighter fare, the brand keeps itself relevant across diverse audiences.
b. Accessibility as a Core Ingredient
Pizza Hut has mastered the art of accessibility, setting the standard in quick and convenient dining.
 Delivery Pioneer: Pizza Hut was one of the first ever to deliver pizza to customers’ doors,
transforming the way people enjoy their favorite food.
 Next-Level Digital Ordering: With a user-friendly app, Pizza Hut makes ordering an easy
experience. The “Pizza Builder” feature lets you create and preview your masterpiece, adding a fun,
interactive touch to the experience.
 Tech-Forward Delivery: From drones to robots, Pizza Hut constantly innovates in delivery, catering
to customers’ desire for both speed and novelty.
c. Strong Brand Identity and Recognition
Pizza Hut’s distinct identity goes far beyond a slice of pizza—it’s a brand experience.
 Iconic Red Roof and Pan Pizza: The red roof logo and classic “Pan Pizza” represent comfort and
familiarity. These brand elements evoke nostalgia, making Pizza Hut more than a pizza place; it’s a
family-friendly staple.

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 Rewarding Loyalty: The “Hut Rewards” program keeps customers coming back, combining
delicious pizza with enticing rewards that encourage repeat visits.
d. Quality and Menu Innovation
Pizza Hut consistently brings new flavors to the table, keeping customers curious and excited.
 Product Innovations: Iconic items like the “Stuffed Crust” set Pizza Hut apart, while unique flavors
appeal to adventurous eaters.
 Focus on Ingredients: From removing artificial colors and flavors to adding veggie and whole-grain
options, Pizza Hut keeps quality at the forefront, meeting modern dietary expectations.
Influence of Economic Trends
Economic conditions play a critical role in shaping Pizza Hut’s global marketing strategy:
a. Economic Recession or Downturns: During economic slowdowns, consumers tend to become more
price-sensitive, leading to a shift in demand toward value-for-money offerings. Pizza Hut often responds to
this by introducing more affordable menu options, special offers, or deals like "2 for 1" promotions, which
cater to budget-conscious customers.
b. Economic Growth and Rising Disposable Income: In emerging markets, where disposable incomes are
increasing, Pizza Hut taps into this growth by offering more premium menu options, better dining
experiences, and upscale locations.
c. Currency Fluctuations: As Pizza Hut operates in numerous countries, currency exchange rates can
significantly impact the profitability of its international operations. Fluctuating currencies may force the
company to adjust its pricing strategy to maintain profitability without alienating customers due to high
costs.
d. Trends in Fast Food and Delivery: With an increasing demand for fast food and home delivery, Pizza
Hut capitalizes on the growing trend of food delivery apps and online ordering systems. This aligns with the
economic shift toward e-commerce and digital purchasing.

3. Oven Story's
Local strategy and its focus on the Indian urban consumer
a. Product Offering
Oven Story focuses on delivering a premium, tech-driven pizza experience. It adapts its offerings to the local
taste preferences of Indian consumers, incorporating both traditional Italian flavors and local Indian tastes.
 Fusion flavors: They offer pizzas with toppings such as paneer, tandoori chicken, and more
regional spices that cater to the diverse palates of the Indian consumer.
 Customization options: Consumers can personalize their pizzas with different crusts, sauces, and
toppings. This caters to the desire for tailored experiences in urban areas.
 Focus on quality and freshness: Oven Story promotes high-quality ingredients and fresh pizzas,
appealing to a growing segment of urban consumers who are more conscious of quality and food
safety.
b. Technology-Driven Approach
Oven Story leverages technology to appeal to the tech-savvy urban consumers who are heavily influenced
by digital platforms:

18
 App-based ordering: The brand provides a seamless online ordering experience via its app and
website. This fits well with the busy, on-the-go lifestyle of urban consumers who prefer ordering
food from the comfort of their homes.
c. Delivery Focus
The focus on delivery is critical in the urban Indian market, where busy lifestyles make dine-in less
common. Oven Story has built a strong delivery model that ensures:
 Timely and hot deliveries: The company uses a network of well-trained delivery personnel to
maintain fast and reliable service.
 Packaging: The brand is known for its focus on high-quality, eco-friendly packaging, ensuring that
the pizza stays fresh and presentable on delivery, which is crucial for customer satisfaction in the
urban market.
d. Brand Positioning and Marketing
Oven Story has created a brand image that is premium yet affordable, targeting urban millennials and Gen
Z consumers:
 Social media marketing: The company actively uses platforms like Instagram, Facebook, and
Twitter to engage with its audience, often promoting special offers, contests, and new product
launches.
 Influencer collaborations: Oven Story collaborates with influencers to increase brand visibility and
appeal to younger, trend-conscious urban consumers.
 Localized campaigns: The brand tailors its campaigns to the diverse cultural and regional
preferences across India, making sure that its message resonates with different urban audiences.
 Brand communication: Through its branding, Oven Story presents itself as a fun, modern, and
innovative food brand, connecting well with young urban consumers who are often looking for
experiences rather than just meals.
e. Urban Consumer Insights
Urban consumers in India are characterized by:
 Busy lifestyles: With the rise of working professionals, urban consumers are more likely to opt for
food delivery services over dining out. Oven Story taps into this trend by offering quick, efficient
delivery.
 Preference for variety and convenience: Indian urban consumers, especially those in cities like
Mumbai, Bengaluru, and Delhi, seek convenience and variety in food choices. By offering a wide
range of pizzas with local customization, Oven Story caters to diverse tastes and preferences.
 Health-consciousness and indulgence: There's a growing trend towards healthier eating, but many
urban consumers still seek indulgent food options for a quick treat. Oven Story balances indulgence
(through rich toppings and flavors) with quality ingredients that appeal to this health-conscious
demographic.
 Focus on experiences: Urban consumers are not just looking for food but an experience. Oven
Story’s emphasis on convenience, quality, and customization resonates with this need for an elevated
food experience.
f. Expansion and Local Adaptation
 Urban focus: Initially focusing on metro cities and tier-1 cities, Oven Story has expanded its
presence in tier-2 and tier-3 cities as well. This expansion aligns with the growing middle class and
the increasing appetite for premium, accessible food options in these areas.
 Franchise model: Oven Story's strategy includes expanding through the franchise model, which
helps the brand scale quickly in different urban centers while local entrepreneurs run the operations,
ensuring an understanding of local consumer preferences.
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How Oven story's is affected by competition and customer preferences?
Competition in the Pizza Industry
Oven Story operates in a highly competitive market, with major players like Domino's, Pizza Hut, and local
pizzerias vying for market share. Competition affects Oven Story in the following ways
a. Pricing and Value Proposition
 Competitive Pricing: As competitors like Domino's and Pizza Hut compete on pricing, Oven Story
must ensure its pricing strategy is competitive while maintaining its brand identity. The brand may
offer similar promotions, discounts, and value-for-money bundles to attract price-sensitive
customers. However, the challenge for Oven Story lies in distinguishing itself without compromising
on quality.
 Promotions and Deals: To stay competitive, Oven Story offers promotions like "Buy 1 Get 1 Free"
or discount codes for online orders. Such offers are aimed at attracting customers away from
competitors and enticing them to try the brand, particularly in a market where price sensitivity is
high.
b. Menu Innovation
 Unique Offerings: Oven Story has positioned itself as a premium pizza brand, focusing on high-
quality ingredients and unique flavor profiles. In response to competition, it may frequently innovate
with new menu items, like "Chef’s Special" pizzas, to differentiate itself. By providing exclusive
options, such as customized pizzas or unique crust options (like stuffed crust or thin crust), Oven
Story tries to capture the attention of customers looking for something different.
 Customization: Offering customizable pizzas allows Oven Story to compete with rivals like
Domino's and Pizza Hut, which have also embraced this trend. The ability for customers to choose
toppings, crusts, and sauces appeals to the growing demand for personalization in food choices.
c. Delivery and Convenience
 Focus on Delivery and Online Ordering: As the pizza industry increasingly shifts toward online
ordering and home delivery, Oven Story competes by offering a robust online ordering system
through its app and website. To stay competitive, it also needs to ensure timely deliveries, especially
in urban areas where convenience is a key factor in consumer decision-making.
 Integration with Food Delivery Apps: Like its competitors, Oven Story partners with third-party
platforms like Zomato, Swiggy, and Uber Eats to extend its reach and meet the growing demand for
delivery services. By leveraging these platforms, Oven Story can compete with bigger brands like
Domino's, which already have established delivery networks.
d. Customer Preferences and Changing Demands: Customer preferences heavily shape Oven Story’s
strategies. As customer expectations evolve, the brand must align its offerings to cater to emerging trends
and needs. Some of these preferences include
f. Health-Consciousness
 Healthier Options: There is a growing trend toward healthier eating habits, with many consumers
looking for pizzas with fewer calories, less cheese, or alternative ingredients. Oven Story has
responded by offering more nutritious options, such as low-calorie pizzas, whole wheat crusts, and
vegetarian or vegan pizzas. As health-consciousness becomes a more significant factor in food
choices, Oven Story may expand its menu with more diet-friendly options.
 Transparency and Ingredient Sourcing: As consumers demand more transparency regarding the
sourcing and nutritional content of their food, Oven Story may focus on marketing the quality of its
ingredients, such as using fresh, non-GMO vegetables or antibiotic-free meat. This can help attract
health-conscious customers who care about food quality.
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g. Convenience and Delivery
 Fast Delivery Times: With the increasing demand for convenience, particularly in urban markets,
Oven Story focuses on ensuring fast delivery times. Timely delivery is crucial in retaining customers
who order pizza primarily for its convenience. Marketing messages around quick delivery may help
attract customers who value efficiency.
 User-Friendly Digital Experience: A seamless online ordering experience through mobile apps or
websites is key to attracting today’s tech-savvy consumers. Oven Story’s marketing can emphasize
the ease of using its app to order, customize pizzas, and track deliveries. The rise of digital tools to
order food, especially in the wake of the COVID-19 pandemic, means that Oven Story has to ensure
a user-friendly experience.
h. Customization and Personalization
 Personalized Experience: Consumers increasingly seek a personalized experience when choosing
food. Oven Story has embraced this by offering customized pizzas where customers can select their
preferred toppings, sauces, and crust types. Offering options for vegetarian, non-vegetarian, or even
vegan pizzas ensures that customers can create a pizza that aligns with their dietary preferences.
 Tailored Offers: Leveraging customer data to send personalized promotions or rewards through
loyalty programs can help Oven Story retain customers. For example, sending offers based on a
customer's previous orders or offering exclusive discounts for repeat customers can create a more
personalized relationship with the brand.
i. Premium and Gourmet Pizza Preferences
 Premium Offerings: In response to increasing demand for premium and gourmet food, Oven Story
has positioned itself as a premium pizza brand in India. This focus on high-quality ingredients and
gourmet-style pizzas appeals to customers who are willing to pay more for a better dining
experience. Oven Story’s marketing can emphasize these qualities to cater to consumers who see
pizza as a treat rather than a casual meal.
 Exclusivity and Limited-Time Offers: Offering exclusive, limited-edition pizzas or seasonal
specials can attract customers who enjoy trying new things and are willing to pay a premium for
unique, one-of-a-kind menu items.
j. Environmental Influences
External environmental factors, such as economic conditions, regulations, and social trends, also impact
Oven Story’s competition and customer preferences.
 Economic Downturns: During times of economic downturn or financial stress, consumers may
become more price-sensitive. In response, Oven Story may introduce more affordable menu items or
value-for-money deals to attract budget-conscious customers. It could also run promotions or
discounts during these times to maintain customer loyalty and competitiveness.
 Economic Growth: In times of economic growth, consumers are more willing to spend on premium
experiences. Oven Story can take advantage of this by highlighting its premium offerings and
emphasizing quality over cost, which appeals to customers seeking higher-value experiences.

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Conclusion:
The comparative study of Domino’s, Pizza Hut, and Oven Story highlights the strategic efforts made by
each brand to capture and retain their respective target audiences in the competitive food industry. From
their unique selling propositions to their marketing strategies and ethical practices, each brand has carved its
niche while competing on shared grounds. Domino’s excels in delivery innovations and affordability, Pizza
Hut leverages its dine-in experience and brand legacy, while Oven Story focuses on premium flavors
tailored for urban Indian consumers.
The analysis across dimensions such as market segmentation, value creation, and sustainability underscores
the importance of understanding consumer behavior and adapting to evolving preferences. While Domino’s
and Pizza Hut balance global and local strategies, Oven Story thrives with a localized, urban-focused
approach. Ethical practices and sustainability efforts by the brands show progress, though there is room for
improvement in transparency, reducing food waste, and eco-friendly packaging.
In conclusion, the study provides valuable insights into how these brands maintain competitive advantages
through innovation, customer-centric strategies, and adaptability to macro and micro-environmental factors.
These lessons can guide businesses aiming to succeed in similar markets, emphasizing the need for strategic
alignment between global trends and local consumer needs.

22

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