Project Report

On

“Comparative Analysis of Consumer Perception towards

Dominos and Pizza Hut”

Maharshi Dayanand University, Rohtak

(In partial fulfillment of the requirement for the award of the degree of
Bachelor of Business Administration)

Session : 2018-21

Submitted by:
Surbhi
Class: BBA 6th Sem
University Roll No.

GOVERNMENT P.G. COLLEGE FOR WOMEN

ROHTAK

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 DECLARATION

I hereby declare that the project report entitled in the Partial fulfillment Of Course
Curriculum Of the degree of Bachelor Of Business Administration from Maharshi
Dayanand University. The Work Done by me is my own piece of work and authentic to the
best of my knowledge.

Surbhi _________________

ACKNOWLEDGEMENT
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First of all, I thank my respected teachers for providing me the knowledge about Business
Administration Course and also for the opportunity to complete my report to enhance my
practical work and knowledge about Comparative Analysis of Consumer perception towards
Domino’s and Pizza Hut. Because without their support, I would not be able to achieve this
practical work and also knowledge.

SURBHI

Abstract

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 Fast food is one of the world's fastest growing food types. The emergence of the fast food
industry has led to the complete transformation in the urban food culture in India to some
extent. The fast food industry in India has evolved with the changing lifestyles of the youth.
Building a leading pizza company has required relentless innovation, commitment to quality
and dedication to customer service and value.
The major objectives of the project are to identify the key factors influencing customer
perception towards Dominos and Pizza hut and to find out the comparative analysis between
Dominos and Pizza Hut. Data is collected through a Questionnaire.
Majority of the respondents visited a food giant once in a week and majority of the
respondents spend rupees 500-1000 on fast food on a monthly basis. It is found that pizzas
are the most preferred fast food followed by the burgers. The organized pizza market in India
is worth Rs.600 Crore. The major players in the market are pizza hut and dominos. Most of
the respondents preferred Dominos over Pizza Hut. Majority of the respondents rated the
products of Dominos as Excellent whereas in case of Pizza Hut majority of the respondents
rated the products as above average. Pizza Hut should reduce the menu cost as it is way too
expensive for a middle class Indian.

Table of Contents

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Chapter 1

Introduction

Chapter – 2

Literature Review

Chapter – 3

Research Methodology

Chapter – 4

Data Analysis and Interpretation

Chapter – 5

Findings & Conclusion

Bibliography

Research Questionnaire

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Chapter- 1

Introduction

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Fast Food Industry

The fast food industry is defined as the sale of food and drink for immediate consumption either
on the premises or in designated eating areas shared with other food service operators, or for
consumption elsewhere.
Fast food outlets are specialized in burgers, ice cream, bakery products, chicken and pizza.
The thought of fast food is no longer novel. Early in the 19th century, at the commence of the
Industrial Age when individuals had to work 12 to 14 hours a day, there was hardly any time for
long breaks for eating. The first snack bars and kiosks arose in front of factories. But as times
sailed, fast foods turned out to be an indispensable part of our lifestyle.
The emergence of the fast food industry has led to the complete transformation in the urban food
culture in India to some extent. In India, the culture of fast food emerged after independence.
Eating at home used to be an important aspect of Indian culture. However, over a period of time,
with increase in the number of nuclear families, economic growth and increasing per capita
income as well as globalization, fast food culture gained importance. Similarly, children also
resorted to fast food due to their exposure to global urban culture and western cuisine which
increased their desire for cheap and delicious fast food. Moreover, fast food is cheaper than
traditional meals beginning with appetizers and concluding with desserts. With the liberalization
of the economy in 1992, new multinational fast food giants targeted India as a huge potential
market with their outlets. Burger King, Pizza Hut, Domino’s Pizza, McDonald’s and KFC
outlets are running in shopping malls and other public areas. Changing consumer behavior and
favorable demographics led India to observe a remarkable growth in fast food restaurant
industry (Shanker, 2010).
Fast food refers to all those foods that can be prepared and served instantly. While any meal
with low preparation time can be labeled as fast food, typically the term refers to foods sold in a
restaurant or store with low quality preparation and served to the customer in a packaged form
for take-out/take-away. The fast food industry in India has evolved with the changing lifestyles
of the youth. The wide variety of gastronomic preferences across the regions, hereditary or
acquired, has given rise to different modules across the country. It may take some time for the
local enterprise to match the level of international players in the field. Many of the traditional
dishes have been modified to suit the emerging fast food outlets. The basic adaptation is to
reduce the processing and serving time. For example, the typical meal which was earlier served
by an ever alert attendant is now available as a Mini-Meal across the counter. In its traditional

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format, a plate or a banana leaf was first laid down on the floor or table. Several helpers then
waited on the diner, serving different dishes and refilling as they got over in the plate.
The prevailing fragmentation of consumers nowadays, shows a tendency that should be taken
into consideration, in order to identify and improve the quality dimensions of the products which
are important for each category of consumers. Young people are not concerned with food
preparation methodology and thus prefer to go out for their meals. They usually prefer fast-food
restaurants, especially when there is nobody to cook for them and also in order to socialize.
Although they are aware about the nutritional value of food and its negative impact on their
body, they don’t act accordingly. Fast food restaurants are famous because they serve the food
instantaneously, they are cheap and they easily replace homemade food. Although people, who
are usually very busy working, find fast-foods helpful but we should all be aware of the fact that
fast-food products are high in calories, fats, sugar and salt. Even so, young people admit to the
fact that it is very difficult for them to change their food habits as they don’t have time and
discipline to do it. The accessibility of these outlets is another motive for young people to prefer
fast foods. Unlike the restaurants, which are located in less accessible areas for the young
people, fast-foods are located in their way towards their home or downtown, and they are more
numerous. Ease of finding a fast-food is associated with the lack of time or hurry. Choosing one
particular fast-food depends on its flexibility and capacity to meet young people’s needs. These
needs are in fact young people’s desires to easily find a place to eat, open at all times, with a
products display, to be able to order fast, to eat the food ordered rapidly, to have a place to
socialize with their friends and to take away the food or order at home when they do not want or
do not have time to have the meal at fast-food.
Major players in fast food are:
 McDonalds’
 KFC
 Pizza hut
 Domino’s pizza
 Café coffee day
 Barista
 Subway

The main reason behind the success of the multinational chains is their expertise in product
development, sourcing practices, quality standards, service levels and standardized operating

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 procedures in their restaurants, a strength that they have developed over years of experience
around the world.
The pizza industry is a highly competitive and mature market. There are many pizza makers
ranging from local pizzerias to international franchises such as Domino’s and Pizza Hut. With
the current health kick in today’s society as well as economic downturn, many companies are
being forced to make healthier, cheaper products. Many other companies are introducing salads
into their menu. The popularity of the Internet as well as mobile commerce is transforming the
original ways of ordering a pizza.
Market share and major players
The organized pizza market in India is worth Rs.600 Crore. The major players in the market are
pizza hut and dominos whose market share are around 45% and 35% respectively. Other players
form the rest 20%.
Reasons for emergence of the Industry
The following are some of the reasons for the emergence of fast food restaurants in India:
 Gender Roles: Gender roles are now changing. Females have started working outside.
So, they have no time for their home and cooking food. Fast food is an easy way out
because these can be prepared easily. This has been seen as the major reason for the
growth of fast food industry. Gone are the days when women prepare food for their
family.
 Consumer Sophistication and Confidence: Consumers are becoming more
sophisticated now. They do not want to prepare food and spend their time and energy in
house hold works. They are building their confidence more on “ready to eat and easy to
serve” kind of foods. All the fast food brands have created a confidence in the consumers
mind as healthy and hygienic. Consumers start seeing fast food restaurants as social
symbol for prestige and status.
 Paucity of time: People have no time for cooking. Because of emergence of working
women and also number of other entertainment items. Most of the time either people
work or want to enjoy with their family. Fast food restaurants satisfy their appetite in a
quick and cheap manner which has increased the growth of fast food restaurants.
 Double Income Group: Emergence of double income group leads to increase in
disposable income. Now people have more disposable income so they can spend easily in
fast food and other activities. As people start earning more and more income they are
willing to spend time and money on more recreation and entertainment.

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 Working Women: Working women have no time for cooking, and if they have then also
they don’t want to cook, because they want to come out of the traditionally defined
gender roles. They do not want to confine themselves to household work and upbringing
of children’s. Working women bring up their children in a more relaxed way which
increases their preference towards more of fast foods. All the families who have a
working women in home have less preference for home made foods and fast food
restaurants comes in handy for their consumption.

Problems of the Industry

The following are some of the problems which hinder the growth of the fast food industries in
India:
 Environmental friendly products cost high: Government is legislating laws in order to
keep check on the fast food industry and it is emphasizing more on the usage of bio-
degradable and environment friendly products. But associated with this issue is the
problem that fast food player faces - the cost associated with the environment friendly
product. They cost much higher than the normal products that companies uses for
packaging or wrapping their products.
 Balance between societal expectation and companies economic objectives: To
balance a society’s expectation regarding environment with the economic burden of
protecting the environment. Thus, one can see that one side pushes for higher standards
and other side tries to beat the standard back, thereby making it an arm wrestling and
mind boggling exercise.
 Health related issues: Studies have shown that a typical fast food has very high density
and food with high density causes people to eat more then they usually need. In most of
the countries Fast foods are the major problems for obesity and other related diseases
which is directly affecting the growing economy. It is constantly faced with the criticism
that it is taking the major toll of the health of the society. Foods cooked in these industries
are high in fat content and the ingredients are unhealthy which leads to many health
issues when taken on a regular basis.
Industry Response to the Problems
Though the industry is facing many challenges and problems it has been constantly
fighting with these issues which are evident from the increase in the growth of the fast
food restaurants in India. Some of their strategies are as follows.

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Healthier options: Franchise concepts based on healthier ingredients and meal choices
continue to pop up, and the old stalwarts continue to add healthy options to their menus.
Locally sourced ingredients - something that has been counter too much of the fast food
industry distribution model - are on the rise. Major chains are promising to source fresher
ingredients with fewer additives, free-range chicken is showing up on more menus, and
some restaurants are offering vegetables as a main course or the primary side. A recent
report claims that almost 50% of restaurants with organic options have an average check
size of $5-7: that is fast food.
Higher prices and more efficient operations: Labor concerns are a stickier problem.
Some of the increased costs can be passed on to the consumer - but not all. Fast food is
desirable in part for the low price, and consumers are price sensitive. Some franchises are
working to reduce their labor costs. In other words, figuring out creative ways to employ
fewer people, primarily by leveraging technology.Self- serve kiosks and mobile apps for
ordering and paying are the primary examples seen in newer franchises.
Non-traditional locations: Drive-thru and stand alone stores still dominate the fast food
landscape, but some chains are exploring new options such as counter service within
larger stores, catering and even delivery. This is the most successful strategy followed by
the fast food restaurants to suit the Indian tastes as drive-ins are less popular in India. The
best example is McDonalds which is a successful drive in restaurant in the US, modified
its format as franchise restaurant in the major cities and popular areas like malls. But as
they have set up their business and gained popularity they are looking to spread into other
formats as consumers are changing and adapting to new and modern recreations.
Marketing to children's needs: Fast food outlets in India target children as their major
customers. They introduce varieties of things that will attract the children’s attention and
by targeting children’s they automatically target their parents because Children’s are
always accompanied by their parents. This is becoming popular as many outlets are
constantly giving exciting gifts and conducting games for children which attracts them to
these restaurants.
Low level customer commitment: Because of the large number of food retail outlets and
also because of the tendency of customer to switch from one product to other (as food is
one areas where customer wants to try everything new that comes to the market), this
industry faces low level customer commitment. This has become a major advantage for
the fast food retailers as they attract customers whenever they provide something new and
innovative.

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Value added technology services: There is continuous improvement in the technology
as far as fast food market in India is considered. The reason behind that is food is a
perishable item and in order to ensure that it remain fresh for a longer period of time,
there is a need for continuous up gradation in technology. Earlier, Indian people prefer
eating at home but now with the change in trend there is also need for improvement and
up gradation of technology in food sector. The food is preserved for a long time using
latest technology and they are served by reheating and processing whenever the customer
demands. Also many apps which help in ordering the food from home are increasing as
many consumers prefer to eat fast foods from their home environment also. Home
deliveries are made possible with advanced heat retaining options when delivered to the
customers.
Attracting different segments of the market: Fast food outlets are introducing varieties
of products in order to cater the demands of each and every segment of the market. They
are introducing all categories of product so that people of all age, sex, class, income group
etc can come and become a customer of their food line. Though the fast foods are targeted
exclusively to children and youngsters many Indianite varieties are constantly introduced
to have a mass marketing approach. Anything offered in an innovative way with new
tastes excited and delights the consumers who prefer to revisit the restaurants again and
again.
About Pizza hut

Figure 1: Logo of Pizza Hut

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Pizza Hut was founded on June 15, 1958 by brothers Dan and Frank Carney in their
hometown of Wichita, Kansas. When a friend suggested opening a pizza parlor—then a
rarity—they agreed that the idea could prove successful, and they borrowed $600 from
their mother to start a business with partner John Bender. Renting a small building at 503
South Bluff in downtown Wichita and purchasing secondhand equipment to make pizzas,
the Carneys and Bender opened the first Pizza Hut restaurant; on opening night, they gave
pizza away to encourage community interest. A year later, in 1959, Pizza Hut was
incorporated in Kansas, and Dick Hassur opened the first franchise unit in Topeka.
Pizza Hut is an American restaurant chain and international franchise that offers different
styles of pizza along with side dishes including salad, pasta, Buffalo wings, breadsticks,
garlic bread and desserts. Corporately known as Pizza Hut, Inc., it is a subsidiary of
Yum! Brands, Inc., the world's largest restaurant company.
In June 1996, Pizza Hut made its foray into India with a restaurant in Bangalore and was
the first international restaurant chain to pioneer this category. The restaurant brand offers
an exciting menu consisting of its signature pizzas, appetizers, pastas, desserts and
beverages. Its trademark dining experience has been recognized by Brand Equity to make
it the ‘Most Trusted Food Service Brand’ for 11 years in a row.
History of Pizza Hut
In 1958, Frank and Dan Carney had an idea for a great local pizza restaurant in Wichita
Kansas. The small 25 seat restaurant only had room for 9 letters on the sign… the
building looked like a hut… so 'Pizza Hut' was born!
Fifteen years later, we opened the first UK restaurant and since then we've become the
biggest Pizza Company on the planet, Let see listen Pizza Hut Story from them!

 1958: The legacy of Pizza Hut began, when two college-aged brothers from Whichita,
Kansas, Frank and Dan Carney opens first Pizza Hut restaurant after borrowing $600
from their mother.
 1959: Pizza Hut is incorporated in Kansas and the first franchise unit opens in
Topeka, Kansas.
 1968: International market entered with opening of Pizza Hut restaurant in Canada.
 1969: Red roof adopted for restaurants.
 1972: Pizza Hut, Inc. listed on New York Stock Exchange under the symbol PIZ.
 1977: Pizza Hut, Inc. stockholders overwhelmingly approve merger with PepsiCo,
Inc. for an undisclosed sum.

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 1986:Delivery service, as a new concept, is initiated
 1996: Pizza hut comes to India with a dine-in restaurant Bangalore that has special
vegetarian pizzas.
 1997: Pizza hut opens a dine-in restaurant in Delhi.
 2007: Pizza hut brought out our Thick n Thin Pizza and began to re-franchise our
dine-in restaurants.
 2009: Pizza Hut offering baked fillings in the corner of the pizza
Vision of pizza hut
“Reach on the top of the peak to provide best service and taste”
“To see Yum on customer’s face
Mission of pizza hut
We take pride in making a perfect pizza and providing courteous and helpful service on time
allthe time. Every customer says, "I'll be back!"We are the employer of choice offering team
members opportunities for growth, advancement, and rewarding careers in a fun, safe
working environment.
Core Values: P.E.A.R.L.S
Have a PASSION for excellence in everything we do.
EXECUTE with positive energy and urgency.
Be individually and collectively ACCOUNTABLE for growth in people, customer
satisfaction and profitability.
Find reasons to RECOGNIZE the achievement of others and have fun doing it.
LISTEN and more importantly, respond to the voice of the customer.
Think SAFETY first.

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Figure 2: Menu of Pizza Hut

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About Dominos

Figure 3: Logo of Dominos

Jubilant FoodWorks Limited (the Company) is a Jubilant Bhartia Group Company. The
Company was incorporated in 1995 and initiated operations in 1996. The Company got listed
on the Indian bourses in February 2010. Mr. Shyam S. Bhartia, Mr. Hari S. Bhartia and
Jubilant Consumer Pvt. Ltd. (formerly Jubilant Fresh Pvt. Ltd.) are the Promoters of the
Company. The Company & its subsidiary operates Domino's Pizza brand with the exclusive
rights for India, Nepal, Bangladesh and Sri Lanka. The Company is market leader in the pizza
segment with a network of 1,200 Domino’s Pizza restaurants across 271 cities in India (as on
Dec 31, 2018).

The Company is the market leader in the organized pizza market in the pizza home delivery
segment in India, The Company has strengthened its portfolio by entering into an agreement
with Dunkin' Donuts Franchising LLC, for developing the Dunkin' Donuts brand and
operating restaurants in India,

Over the period since 1996, Domino's Pizza India has remained focused on delivering great
tasting Pizzas and sides, superior quality, exceptional guest care and value for money
offerings. They have endeavoured to establish a reputation for being a home delivery
specialist capable of delivering pizzas within 30 minutes or else FREE to a community of
loyal consumers from all our restaurants around the country.

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Domino's believes that when a box of pizza is opened, family and friends come together to
share the pizza. Hence, their brand positioning: ‘Yeh Hai Rishton Ka Time'.

Figure 4: Menu of Dominos

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 History of Dominos

Domino's Pizza is an international fast food pizza delivery corporation. It was founded by
Tom Monaghan. There are currently about 8,500 corporate and franchised stores in
55countries, including all 50 US states. It was the second-largest pizza chain behind PizzaHut
in the United States. In 1967, the first Domino's Pizza franchise store opened inYpsilanti.
Domino’s continued to grow and in 1978 opened its 200th store. On May 13, 1983, Domino's
opened its first international store, in Winnipeg, Canada.

In that same year, Domino's opened its 1,000th store overall, and by 1995 Domino's had
1,000 international locations. In 1998, after 38 years of ownership, Domino's Pizza founder
Tom Monaghan announced his retirement and sold 93 percent of the company to Bain
Capital, Inc. for about $1 billion and ceased being involved in day-to-day operations of the
company. In a simultaneous celebration in 2006, Domino's opened its 5,000th U.S. store in
Huntley, Illinois and its 3,000th international store in Panama City, making 8,000 total stores
for the system. Also that the Domino's Pizza store in Tallaght, Dublin, Ireland, became the
first in Domino's history to hit a turnover of $3 million (€2.35 million) per year. As of
September 2006, it has 8,238 stores which totalled US$1.4 billion in gross income.

Domino’s Vision

Exceptional people on a mission, to be the best pizza delivery company in the world.

Values

 Treat people as you'd like to be treated.

 Produce the best for less.
 Measure, manage and share what's important.
 Think big and grow.
 Incentivise what you want to change.
 Set the bar high, train, and never stop learning.
 Promote from within.
 We are not ordinary, we are exceptional.
Pizza wars which happen in India in 1996 when Pizza Hut & Dominos came to India. Before
that there was no M.N.C. company in India. So each company wanted to make more profit

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 and its right in India. For this each company launch new product and new schemes for took

over the second company. So pizza hut relied on its USP of dining experience, and Domino's
USP was 30 minute delivery frame. For customer satisfaction both company change their
recipes according to Indian culture. And Domino's also made a toll free telephone service.

SWOT Analysis
Strength
Dominos Pizza Hut
1. Less than 30 minutes home delivery. 1. Unmatchable quality and variety.
2. Worldwide presence 2. Strong Brand Image
3. Low price 3. Excellent service
4. Good promotion 4. Hygiene
5. Excellent offers
6. Allows customer to design the pizza
that they want.

Weakness

Dominos Pizza Hut

1. Lack of variety 1. High Prices
2. No option for birthday parties and 2. Inadequate Advertisements
corporate lunches 3. Inadequacy of outlets

Opportunity

Dominos Pizza Hut

1. Growing fast food market- scope for 1. Growing fast food market- scope for
expansion. expansion.
2. Introduce more varieties 2. Introduce more offers
3. Niche Groups: 3. Niche Groups:
 Low Carbohydrate  Low Carbohydrate
 Gourmet  Gourmet

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 4. New Pizzas with different crust sizes
and flavours.

5. Introduction of new flavor additives

and pizza toppings that are region
specific can be a good stride for pizza
hut.

Threats

Dominos Pizza Hut

1. Intense competition- huge number of 1. Intense competition- huge number of
small competitors and the competition small competitors and the competition
of the pizza delivery industry. of the pizza delivery industry.
2. Tendency to healthy food- changing 2. Tendency to healthy food- changing
consumer habits towards healthier consumer habits towards healthier
food choices. food choices.
3. Increase of substitute products. 3. Increase of substitute products.
Competitors of Dominos and Pizza Hut
Weakness Strength
Subway  Still adapting to Indian  Kings of sandwich market
Taste  Customised preparations
 Expensive
Kfc  More of chicken and less  Variety masters for chicken
scope of veggies
Mcdonald’s  Less variety  Burger leaders
 Fast service
 More offers
Ccd  Concentrate more on  Quality
beverages, less options of  Variety in beverages
snacks
 Expensive
Pizza corner  Low investments in ad  Variety

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  Delivery not satisfactory  Quality

Chapter- 2

Literature Review

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According to Kristen A. Riscinto-Kozub (2008), Chang-Hsing Chang (2007), Bitner et al.
(1990), in their research there is strong relationship between employees and customer
satisfaction. Management and other employees were major part of this research and low-level
staff and management was interviewed to find out the fact and figures. This research found that
the Pizza Hut staff was not much happy and satisfied with the management. Some employees
said that their hourly pay rate is less than other competitor companies. They said there is no any
reward system on performance basis and very less chances for promotion are available. Some of
them respond that mostly students work round about 20 hours in Pizza Hut and they do not put
more attentions towards the tasks which affect the Pizza Hut’s overall service quality as well. In
response to a question one employee said, Pizza Hut should spend on employees more so they
could perform better to prove best service quality for the customers’ expectations.
Kurniawan (2010) stated that branding is one of the factors which has been identified
repeatedly customer choice in the selected product. Branding has impact on purchase decision of
consumers. The more a brand is succeeded in their earlier period the more value for its brand
can be generated.
Lim (2010) revealed that for customer it is not necessary that a better quality can be a better
taste, if customer like the taste of food he/she will be willing to pay for it. Based on previous
researches, in customer satisfaction and taste, there is a significant correlation found between
them. Researchers found that Good taste of food has positive influence on customer’s
satisfaction and it also increase the customer’s retention rate which is also depends upon
customer’s satisfaction. Therefore, restaurants focus is on taste of the food and services that has
influence on customer’s satisfaction. Lim also stated that customer’s ultimate satisfaction may
have significant affect of atmosphere. Physical surroundings are helpful to create image in the
mind of customer and to influence their behavior. Physical atmosphere of the restaurants have
the significant impacts on the customers satisfaction. Lightning, furnishing, sent, music and
different other atmospheric factors among them influence on customer satisfaction.
Pratscher.M(2010), he found that although there was widespread diversification throughout the
fast food business . Domino’s pizza is the most popular and fastest growing food service
segment, but also takeout and delivery sales in general are predicted to triple over the next

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decade. Domino’s success can be attributed to a variety of factors such as an extensive training
programme, incentive awards and that’s why there is huge scope in fast food industry.
Mrs. P. Deivanai (2012), Fast food is something that almost everyone, right from kids to the
oldies, loves, and talks about fast food, and the mention of a pizza is almost inevitable. Fast food
is one of the world’s fastest growing food types. The main objectives of study to identify the
overall satisfaction level among the customers in Domino’s Pizza Centre. The required data for
the study was collected from both primary and secondary sources. The primary data were
collected through questionnaire and analysis consumer perception towards Domino’s Pizza. The
required data for the study was collected from both primary and secondary sources. The primary
data were collected through questionnaire and analysis consumer perception towards Domino’s
Pizza. This study mainly depends upon the primary data which have been collected from 120
respondents during the month of January and February 2012. The raw data collected and
carefully classified, edited and tabulation for this analysis. The analysis table was prepared
analysis and interpretation was made on the basis of percentage.
Minal Kashyap, Komal Kashyap, Dr. Anil Sarda (2013), The Quick Service Restaurant
(QSR) sector is one of the sectors that have managed to grow even during the economic
slowdown. The tremendous growth of the fast food industries can be visualized by looking at
the recent past. Not only the young generation but also people from all age group demand fast
food in their everyday eating habits. Fast food industries have acquired a place in people’s life is
such that ordering the fast food item or visiting the outlet of fast food item portrays a symbol of
higher standard of living in the society for the one and all, availing their services. Numerous big
brands of Quick service Restaurant are competing among themselves in the Indian market.
Some of them includes pizza hut, McDonalds, Dominos. These Quick service restaurants offer
number of services including festive offers, combo offers, free delivery, complementary items
on every purchase and many more which attracts more and more buyers towards these services.
Saranya Priyadarshini Assistant Professor, Department of Business Administration
(IB&RM), PSGR Krishnammal College for Women, Coimbatore, Tamilnadu (2016), The
study reveals that 64% of the respondents visit fast food outlets once in a week and majority of
the respondents spent more than 15% of their monthly income on fast food and the most favorite
cuisine preferred by the respondents is western junk foods. They also expressed that the discount
offered at the fast food outlets are considered as the effective promotional activity.

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 Chapter – 3

Research Methodology

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 Objectives of the study
 To identify the key factors influencing customer perception towards Dominos and
Pizza Hut through primary and secondary research findings.
 To find out the comparative analysis between Dominos and Pizza Hut
 To assess the level of customer preferences for choosing a brand (Dominos and
Pizza Hut).

Scope of the study

The study is carried out within Delhi to collect and analyze the data from the general
population of Delhi in order to come to know their preference about Dominos and Pizza
Hut and to understand the factors influencing customer perception towards Dominos and
Pizza Hut. Data is collected through questionnaire attached as “Appendix-A”.

Research Design

The design used in the project is Exploratory cum Descriptive Research Design.
Exploratory design is the initial research conducted to clarify and define the nature of the
study. Exploratory research, as the name implies, intends merely to explore the research
questions and does not intend to offer final and conclusive solutions to existing problems.
This type of research is usually conducted to study a problem that has not been clearly
defined yet. It is the qualitative analysis of information collected through all possible
sources. Therefore, information collected is subjective in nature.

Descriptive design is a quantitative design where the defined hypothesis is tested on the
basis of primary data which is collected with the help of a structured tool called
questionnaire. Descriptive research is defined as a research method that describes the
characteristics of the population or phenomenon that is being studied. This methodology

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 focuses more on the “what” of the research subject rather than the “why” of the research
subject.

Therefore, the research work is descriptive in nature and is studied to provide the basic
information required by the research objectives.

Sample Design

 Universe
For this study general population of Delhi makes universe.
 Sampling Technique
Non- probability based Convenience sampling technique has been used to carry out the
research. Convenience sampling is a non-probability sampling technique where subjects are
selected because of their convenient accessibility and d proximity to the researcher.
 Sampling Unit
The sampling unit for the study is Individual residents of Delhi. It is a unit from where a
respondent is selected. The respondents have been selected from the group who satisfied the
criteria of being visited both the giants i.e. Dominos and Pizza Hut.
The majority of the population was those who most frequently visited fast food giants.
 Sample Size
The sample size is an important feature of any empirical study in which the goal is to make
inferences about a population from a sample. In practice, the sample size used in a study is
determined based on the expense of data collection, and the need to have sufficient statistical
power. As the characteristics of whole population are difficult to study in most of the researches,
a sample is taken from the population which best describes the characteristics of the population.
The sample size of the study is 50 Individuals.
 Data Collection Tool
A well structured Questionnaire comprising of close ended, multiple choice questions has been
used. Sincere efforts were made to make the questionnaire simple and precise. The questionnaire
is set according to the objectives of the study.
 Data Analysis Tool
Collected data has been simplified for easy and better understanding. The data has been converted
into percentages. Pie-charts have been used for data analysis. Microsoft Excel has been used as a
tool of analysis.
Data Collection Method

[26]
 DATA
COLLECTIO
N

PRIMARY SOURCES SECONDARY SOURCES

Figure 5: Types of Data collection

The data collection method that has been used in the research project is as follows:
 Primary data
It is the data that is originally collected in the process of investigation. It is the original and first
hand data. This report has been prepared through extensive use of primary data. The primary data
involved in this project has been gathered with the help of Questionnaire.
A questionnaire is a research instrument consisting of a series of questions and other prompts for
the purpose of gathering information from respondents. Although they are often designed
for statistical analysis of the responses, this is not always the case.
 Secondary data
The secondary data means that data which is already available i.e. they refer to the data which
have been already collected and analyzed by someone else. Sometimes secondary research is
required in the preliminary stages of research to determine what is known already and what new
data are required, or to inform research design. Secondary sources could include previous research
reports, newspaper, magazine and journal content, and government and NGO statistics.
The Secondary data involved in this project has been gathered from the following sources:
 Some published research report, journal and article.
 Internet.

[27]
 Chapter-4

Data Analysis

And

Interpretation
From the total of 50 respondents
 29 respondents were female
 21 respondents were male
 The 18-24 age-groups more visited to fast food outlets
 In occupation side: More students visited the outlets rather than other occupants
1. How often do you visit a fast food giant?

S.No Response Frequency Percentage (%)

1. 2-3 times a week 8 16%

2. Once a week 25 50%
3. Monthly 15 30%
4. Less than above 2 4%
Total 50 100%

Table 1: Respondents visited a food giant

Figure 6: Respondents visited a food giant

Inference:
 50% of the total respondents visit a food giant once in a week, i.e. there were 25
respondents of this group.
 30% of the total respondents visit a food giant on a monthly basis, i.e. there were 15
respondents of this group.
 16% of the total respondents visit a food giant 2-3 times a week, i.e. there were 8
respondents of this group.
2. How much do you usually spend on fast food on a monthly basis?

S.No Response Frequency Percentage (%)

1. <500 6 12%
2. 500-1000 22 44%
3. 1000-2000 18 36%
4. >2000 4 8%
Total 50 100%

Table 2: Amount spent on fast food on monthly basis

Figure 7: Amount spent on fast food on monthly basis

Inference:
 44% of the total respondents spend rupees 500-1000 on fast food on a monthly basis, i.e.
there were 22 respondents of this group.
 36% of the total respondents spend rupees 1000-2000 on fast food on a monthly basis, i.e.
there were 18 respondents of this group.
 12% of the total respondents spend below rupees 500 on fast food on a monthly basis, i.e.
there were 6 respondents of this group.
 8% of the total respondents spend above rupees 2000 on fast food on a monthly basis, i.e.
there were 4 respondents of this group.
3. What factors make you choose a fast food brand?

S.No Response Frequency Percentage (%)

1. Convenient location 25 28.40%

2. Brand Loyalty 17 19.32%
3. Quality of service 27 30.68%
4. Hygiene 19 21.6%
Total 100%

Table 3: Factors to choose a fast food brand

Figure 8: Factors to choose a fast food brand

Inference:

 30.68% out of 100% respondents prefer Quality of service as a factor to choose a fast
food brand followed by 28.4% respondents prefer convenient location then 21.6%
respondents prefer Hygiene.
4. What is your most preferred fast food among the following?

S.No Response Frequency Percentage (%)

1. Burgers 13 26%
2. Pizzas 21 42%
3. Sweets(ice cream etc) 2 4%
4. Chaat 7 14%
5. Fries 2 4%
6. Noodles 2 4%
7. Others 3 6%
Total 50 100%

Table 4: Preferred fast food

Figure 9: Preferred fast food

Inference:
 42% of the total respondents answered Pizzas as most preferred fast food, i.e. there were
21 respondents in this group.
 26% of the total respondents answered Burgers as most preferred fast food, i.e. there were
13 respondents in this group.
 14% of the total respondents answered chaat as most preferred fast food, i.e. there were 7
respondents in this group.
 5. Out of Pizza Hut & Dominos, which one do you prefer?

S.No Response Frequency Percentage (%)

1. Dominos 37 74%
2. Pizza Hut 5 10%
3. Both 8 16%
Total 50 100%

Table 5: Respondents preference towards Dominos and pizza hut

Figure 10: Respondents preference towards Dominos and pizza hut

Inference:

 74% of the total respondents preferred Dominos, i.e. there were 37 respondents in this
group.
 10% of the total respondents preferred Pizza Hut, i.e. there were 5 respondents in this
group.
 16% of the total respondents preferred both dominos and pizza hut, i.e. there were 8
respondents in this group.
6. How many names of the following brand names products can you easily recall?

Frequency Frequency Percentage

S.No Response Percentage (%)
(Dominos) (Pizza Hut) (%)
1. 0 1 2% 0 0%
2. 1-3 12 24% 7 14%
3. 3-5 26 52% 30 60%
4. 5-7 11 22% 13 26%
Total 50 100% 50 100%

Table 6: Products recall value

Figure 11: Products recall value

Inference:
 52% of the total respondents can easily recall 3-5 products of the Dominos, i.e. there were
26 respondents in this group.
 24% of the total respondents can easily recall 1-3 products of the Dominos, i.e. there were
12 respondents in this group.
 26% of the total respondents can easily recall 5-7 products of the Pizza Hut, i.e. there
were 13 respondents in this group.
 14% of the total respondents can easily recall 1-3 products of the Pizza Hut, i.e. there
were 7 respondents in this group.
7. Do you find the products offered are value for money?

Frequency Frequency Percentage

S.No Response Percentage (%)
(Dominos) (Pizza Hut) (%)
1. Yes 39 78% 12 24%
2. No 3 6% 13 26%
3. Partially 8 16% 22 44%
4. Can’t say 0 0 3 6%
Total 50 100% 50 100%

Table 7: Value for money

Figure 12: Value for money

Inference:
 78% of the total respondents find the products offered by Dominos are value for money,
i.e. there were 39 respondents in this group.
 6% of the total respondents find the products offered by Dominos are not value for
money, i.e. there were 3 respondents in this group.
 26% of the total respondents find the products offered by Pizza Hut are not value for
money, i.e. there were 13 respondents in this group.
 24% of the total respondents find the products offered by Pizza Hut are value for money,
i.e. there were 12 respondents in this group.
8. Whose ambience you like the most/ would prefer to dine-in again?

S.No Response Frequency Percentage (%)

1. Dominos 26 52%
2. Pizza Hut 12 24%
3. Both 11 22%
4. None 1 2%
Total 50 100%

Table 8: Respondents preference for ambience

Figure 13: Respondents preference for ambience

Inference:

 52% of the total respondents preferred Dominos in terms of Ambience and would prefer
to dine in again, i.e. there were 26 respondents in this group.
 24% of the total respondents preferred Pizza Hut in terms of Ambience and would prefer
to dine in again, i.e. there were 12 respondents in this group.
 22% of the total respondents preferred both, i.e. there were 11 respondents in this group.
9. How satisfied are you with the variety of your preferred food giant?

S.No Response Frequency Percentage (%)

1. Very Satisfied 12 24%

2. Satisfied 29 58%
3. Neutral 9 18%
4. Dissatisfied 0
5. Very Dissatisfied 0
Total 50 100%

Table 9: Satisfaction with the variety of the food giant

Figure 14: Satisfaction with the variety of the food giant

Inference:

 58% of the total respondents were satisfied with the variety of the preferred food giant,
i.e. there were 29 respondents of this group.
 24% of the total respondents were very satisfied with the variety of the preferred food
giant, i.e. there were 12 respondents of this group.
10. Rate the food joint in terms of taste.

Frequency Frequency Percentage

S.No Response Percentage (%)
(Dominos) (Pizza Hut) (%)
1. Excellent 24 48% 8 16%
2. Above average 21 42% 22 44%
3. Average 4 8% 16 32%
4. Below average 1 0 4 8%
5. Poor
Total 50 100% 50 100%

Table 10: Food giant in terms of taste

Figure 15: Food giant in terms of taste

Inference:
 48% of the total respondents rate the products of Dominos as Excellent, i.e. there were 24
respondents in this group.
 42% of the total respondents rate the products of Dominos as above average, i.e. there
were 21 respondents in this group.
 8% of the total respondents rate the products of Dominos as average, i.e. there were 4
respondents in this group.
 16% of the total respondents rate the products of Pizza Hut as Excellent, i.e. there were 8
respondents in this group.
 44% of the total respondents rate the products of Pizza Hut as above average, i.e. there
were 22 respondents in this group.
 32% of the total respondents rate the products of Pizza Hut as average, i.e. there were 16
respondents in this group.
 8% of the total respondents rate the products of Pizza Hut as below average, i.e. there
were 4 respondents in this group.
11. Do you think that the brand advertising is better than its competitors?

Frequency Frequency Percentage

S.No Response Percentage (%)
(Dominos) (Pizza Hut) (%)
1. Yes 41 82% 10 20%
2. No 5 10% 25 50%
3. Can’t say 4 8% 15 30%
Total 50 100% 50 100%

Table 11: Brand advertising

Figure 16: Brand advertising

Inference:
 82% of the total respondents answered that the brand advertising of Dominos is better
than its competitors.
 10% of the total respondents answered that the brand advertising of Dominos is not better
than its competitors.
 20% of the total respondents answered that the brand advertising of Pizza Hut is better
than its competitors.
 50% of the total respondents answered that the brand advertising of Pizza Hut is not
better than its competitors.
 CROSS TABULATING AGE WITH VISITING A FOOD GIANT

Visiting a food giant

2-3 times a week Once in a week Monthly Less than above Total

Under 18 0 0 1 1 2
Age group 18-24 7 17 10 0 34

25-39 1 5 3 1 10

40 above 0 3 1 0 4

Total 8 25 15 2 50

Cross tabulation

Row-wise cross tabulation

Visiting a food giant

2-3 times a week Once in a week Monthly Less than above Total

Under 18 0 0 50% 50% 100%

Age group
18-24 20% 48.57% 28.57% 2.86% 100%

25-39 10% 50% 30% 10% 100%

40 above 0 75% 25% 0 100%

Row wise cross tabulation

Inference:
48.57% of the total respondents who belong to age group 18-24 visited once in a week to a food giant.
 COLUMN WISE CROSS TABULATION

Visiting a food giant

2-3 times a week Once in a week Monthly Less than above

Under 18 0 0 6.66% 50%

Age group 18-24 87.5% 68% 66.66% 0

25-39 12.5% 20% 20% 50%

40 above 0 12% 6.66% 0

Total 100% 100% 100% 100%

Column wise cross tabulation

Inference:
87.5% of the respondents who belong to age group 18-24 visited 2-3 times in a week to a food giant.
Chapter-5

Findings

And

Conclusion
 Findings
 Majority of the respondents visited a food giant once in a week.
 Majority of the respondents spend rupees 500-1000 on fast food on a monthly basis.
 Majority of the respondents preferred Quality of service as a factor to choose a fast food
brand followed by convenient location and then Hygiene.
 Most of the respondents answered Pizzas as most preferred fast food followed by
Burgers.
 Most of the respondents preferred Dominos over Pizza Hut.
 Majority of the respondents can easily recall 3-5 products of the Dominos and Pizza Hut.
 Majority of the respondents find the products offered by Dominos are value for money
whereas products offered by Pizza Hut are partially value for money.
 Most of the respondents preferred Dominos in terms of Ambience and would prefer to
dine in again.
 Majority of the respondents rated the products of Dominos as Excellent whereas in case
of Pizza Hut majority of the respondents rated the products as above average.
 Majority of the respondents answered that the brand advertising of Dominos is better than
its competitors whereas the brand advertising of Pizza Hut is not better than its
competitors.

Limitations:
 The study is conducted at micro level so the area of study is restricted, thus the result may
differ from the macro level study.
 The number of the respondents is only 50. So the conclusion drawn may vary when more
number of respondents is included in the study.
 Time available to conduct the study was limited which also limited the number of
respondents contacted. Had there been more time availability the sample size could have
been increased, thus enhancing the validity of the study.
Suggestions:

Dominos

 There should be provision for music, TV’s, kids zone etc in the restaurant.
 Increase varieties in Pizza.
 Increase in sitting capacity.
 Improve ambience with light music to attract customers.

Pizza Hut

 Reduce the menu cost as it is way too expensive for a middle class Indian.
 Middle class forms the maximum population of India and hence reducing the cost of
pizzas can increase the elasticity of demand greatly.
 Their reach is very less as compared to Dominos. Hence they should increase their
presence.

Conclusion:

The fast food industry of India is experiencing phenomenal growth and is one of the fastest

growing sectors in the country. Domino’s Pizza and Pizza Hut are two of the largest pizza chains

in the world. Started in the United States, both companies very soon brought pizza on the tables of

every country. From the study, it is concluded that Majority of the respondents prefer Quality of

service as a factor to choose a fast food brand followed by convenient location and then Hygiene.

According to the study majority of the respondents preferred Dominos over the Pizza Hut. Brand

Advertising of Dominos is better than the Pizza Hut. Products offered by the dominos are value

for money whereas products offered by the Pizza hut are partially value for money.

Scope for further study:

Every study has a further scope of another study to be done on the basis of that. Similarly, this

study also has a good scope for further study and this can be done through:
 The study has been conducted in Delhi only and to improve the accuracy of the result the

study can be conducted on a larger scale which may include a larger area. The number of

respondents shall also be increased to get a better picture.

 Making use of such tools and techniques which researcher hasn’t made use of in this

study such as ratio analysis, regression analysis, etc.

 Bibliography

1. http://www.pizzahut.co.in/dinein/nutrition.php on 14.02.2019 at 3:23pm

2. http://www.pizzahuthawaii.com/about/mission.html on 18.02.2019 at 6:00 pm
3. http://www.ukessays.com/essays/marketing/pizza-huts-service-quality-marketing-
essay.php 06.03.2019 at 11pm
4. https://www.dominos.co.in/about-us on 09.03.2019 at 3 pm
5. https://www.scribd.com/doc/42978212/Pizza-Hut-and-Dominos-A-comparative-
analysis on 12.03.2019 at 6 pm
6. https://www.franchisehelp.com/industry-reports/fast-food-industry-analysis-2018-
cost-trends/ on 15.03.2019 at 7 pm
 Questionnaire

Comparative Analysis of Consumer Perception towards Dominos

and Pizza Hut
Part-A (Demographic Profile)

1. Name: ………………………………… :

2. Gender: a) Male b) Female

3. Age group: a) Under 18 b) 18-24 c)25-39

d) 40 above

4. Occupation: a) Salaried b) self employed c) Homemaker

d) Student e) other

Part-B

1. How often do you visit a fast food giant?

a) 2-3 times a week b) Weekly c) Monthly d) Less

than above

2. How much do you usually spend on fast food on a monthly basis?

a) <500 b) 500-1000 c) 1000-2000 d)>2000

3. What factors make you choose a fast food brand? (Multiple responses allowed)

a) Convenient location b) Brand loyalty c) Quality of service

d) Hygiene
4. What is your most preferred fast food among the following?

a) Burger b) Pizza c) Sweets d) Chaat

e)Fries f) Noodles g) others

5. Out of Pizza Hut & Dominos, which one do you prefer?

a) Dominos b)Pizza Hut c) Both

6. How many names of the following brand names products can you easily recall?
Dominos: a) 0 b) 1-3 c) 3-5 d) 5-7
Pizza Hut: a) 0 b) 1-3 c) 3-5 d) 5-7

7. Do you find the products offered are value for money?

Dominos: a) Yes b) No c) Partially d) Can’t say
Pizza Hut: a) Yes b) No c) Partially d) Can’t say

8. Whose ambience you like the most/ would prefer to dine-in again?

a) Dominos b) Pizza Hut c)Both d)None

9. How satisfied are you with the variety of your preferred food giant?

a) Very Satisfied b) Satisfied c) Neutral

d) Dissatisfied e) Very Dissatisfied

10. Rate the food joint in terms of taste:
Dominos: a) Excellent b) Above average c) Average d)
Below Average e) Poor
Pizza Hut: : a) Excellent b) Above average c) Average
d) Below Average e) Poor
11. Do you think that the brand advertising is better than its competitors?
Dominos: a) Yes b) No c) Can’t say
Pizza hut: a) Yes b) No c) Can’t say