Domino's Pizza announces booming online business

Tuesday, July 13, 2010 - 11:34 by Paul Tissington

Takeaway firm Domino's Pizza has said that the online portion of its business has enabled it to boost profits and expand its customer base, with social networking sites aiding in the promotion of its internet presence.

Many people order food to be delivered whilst shopping online and it is the ability to enter promotional codes and target users on a local basis that has enabled Domino's to announce a growth in profit of nearly 30 per cent, up to £17.5 million.

In the first half of 2010, 553 of the 627 stores which operate under the Domino's brand in the UK saw an average increase in sales of 13.7 per cent. The firm recently celebrated its quarter century anniversary and it is planning to expand its retail outlets by a further 55 over the next few months.

Whilst a high street presence has been important for Domino's, it believes that giving those customers who prefer safe shopping online the chance to browse the menu, use voucher codes and order on their computers has helped it to perform strongly this year.

Domino's took advantage of the location-based mobile app Foursquare to further push its business in 2010, combining M-commerce with smartphone GPS features to encourage users to go to one of its stores.

In a statement the firm said that it had taken a multi-pronged approach to marketing, relying on establishing a reputation for safe shopping online via social networking and media sites on both desktop and mobile platforms. It also said that a loyal base of customers was being cultivated online, with a subsequent increase in overall pizza sales being registered as a result.

Experts believe that Domino's surge in popularity is partly attributable to the economic climate, which drives many consumers to look for deals and to eat in at home rather than visiting restaurants for a meal.