As Americans spend less on eating out, Domino’s Pizza is promoting its first rebranding in 13 years in an effort to sell more pizzas, wings, and cheesy bread. Last month, the biggest pizza chain in the world unveiled a new design that included thicker type called “Domino’s Sans,” brighter black-and-gold boxes, and a new jingle. As it gains traction from other initiatives, like its first stuffed-crust pizza and a partnership with DoorDash, the company is implementing these changes.
Domino’s Pizza invest in a rebrand
According to Sandeep Reddy, chief financial officer, the business saw an opportunity to modernize. “We really haven’t updated a lot, and I think a lot has evolved in the way consumers gravitate toward brands,” he said. “We saw an opportunity.” While other restaurant chains struggle with waning demand, Domino’s wants to stand out. Yum Brands is looking into alternatives for its struggling Pizza Hut business, while Cava and Chipotle Mexican Grill have lowered their projections. Fast-food traffic is down 2.4% this year, according to market research firm Black Box Intelligence, while overall restaurant traffic is down 1.6%.
Domino’s is still doing better than the industry as a whole. The three months ending September 7 saw a 6.2% increase in total sales and a 5.2% increase in same-store sales in the US. That growth was fueled in part by a $9.99 pizza deal with any toppings. Reddy acknowledged that the deal returned for a third run because of high demand, but he declined to elaborate on its contribution. Even if rival chains are unable to match its prices for an extended period of time, he claimed that Domino’s enjoys keeping them “on its toes.” “The competition cannot sustain the level of prices that we’re able to promote at because they’re not profitable transactions for them over a longer period of time,” he said.
Stuffed crust pizza incoming
Domino’s is also benefiting from the introduction of stuffed crust pizza by competitors decades ago. In March, the company introduced crusts filled with mozzarella, and according to Reddy, customers are enjoying the new choice. He claimed that the menu addition is meeting the company’s expectations. Black boxes for high-end products like stuffed-crust pies and a new jingle by country music artist Shaboozey are also part of the rebrand. According to Reddy, the redesign took more than a year and a half.
Featured Image Credit: Katerina Holmes; Pexels: Thank you!
