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Pizza Wars
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When Domino's entered the Indian market, the concept of home
delivery was still in its nascent stages. It existed only in some major cities
and was restricted to delivery by the friendly neighborhood fast food outlets.
Eating out at ‘branded'restaurants was more prevalent. To penetrate the Indian
market, Domino's introduced an integrated home delivery system from a network of
company outlets within 30 minutes of the order being placed.
However, Domino's was not the trendsetter so far as home delivery was concerned.
Delhi based fast food chain, Nirula's was the first to start free home delivery
in 1994. But where Domino's stole the market was its efficient delivery record.
Goutham Advani (Advani), Chief of Marketing, Domino's Pizza India, said, “What
really worked its way into the Indian mind set was the promised thirty minute
delivery.” Domino's also offered compensation: Rs.30/- off the price tag, if
there was a delay in delivery. For the first 4 years in India, Domino's
concentrated on its ‘Delivery'act. For its delivery promise to work, Domino's
followed a 11-minute schedule: one minute for taking down the order, one minute
for Pizza-making, six minutes oven-time, and three minutes for packing, sealing
and exit.
Pizza Hut, on the other hand, laid more emphasis on its “restaurant dining
experience.” It positioned itself as a family restaurant and also concentrated
on wooing kids. Its delivery service was not time-bound. A company official
said, “The Pizza making process takes about 20 minutes and since we don't
usually deliver to places which are beyond the reachable-in-half-an-hour
distance, customers can expect home delivery within 45 minutes.” Moreover,
analysts felt that Pizza was something that just was not meant to be delivered.
Said Vivek Sure, Projects Manager, Pizza PizzaExpress, “If you don't eat pizza
fresh, it turns cold and soggy.” However, Domino's seemed to have overcome this
problem through its delivery pack called ‘Domino's Heatwave.'
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Continued....
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Delivery : In the
US, where time management is clearly not the issue and the 30-minute
delivery is taken for granted, the Total Satisfaction Guarantee is
emphasized more. If one is not satisfied with its Pizza, Domino's
either remakes it or gives a refund.
Domino's Heatwave It was a hot bag introduced in 1998 that kept
pizzas oven-hot till customer's doorstep. |
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