Political:

Domino’s Pizza Economic:

• The Government putting a ban on advertising HFSS(food high in fat, salt and sugar)
during a specific time frame important to fast food companies(Mintel)
• Regulations which prohibit big and medium stores from using volume price promotion (
i.e. Buy 1 get 1 or buy 3 for the prize of 2) on HFSS products (GOV.UK 2021)
• OHID (Office for Health Improvement and Disparities) is making the reformulation
regulations to reduce the amount of sugar, salt and calories in the food and drink that
contribute to the intakes of children and adults.
• In January 2021, the government brought in a point-based immigration system that
resulted in many low-skilled EU workers being unable to meet entry requirements. This
system has created labour shortages for restaurants across the country.(IBIS 2023)
• Brexit caused the price of various goods and transportation to rise exponentially
(Bloomberg) Brexit is contributing to favour cooking meals at home over takeaway
and fast food. A surge in food prices as the country as the country heads into recession
(The Guardian)
• The revenue of the fast-food restaurant business is valued at £22.4bn (Nov 2023)
which is expected to increase by 3.9% in the upcoming 5 years (IBIS 2023).
• With people spending more time at home, online ordering volumes spiked, somewhat
compensating for the loss of sit-in revenue (IBIS 2023). However, due to inflation
many mid income Britons favour cooking meals at home over takeaway and fast food.

Social:
• Since the Covid-19 lockdowns, it has been said that ‘eating in is the new eating out’
(Finney, 2020)
• Many of the millennials are opting for meat less or vegan food, thus creating a new
market for it (Statista 2024)
• Rising consumer health consciousness affects pizza takeaways as consumers move
away from fried foods with a high fat content and towards healthier alternatives.(IBIS
2024).
• The new generation (mainly the Gen Z) is more mindful of healthy eating and focusing
more towards environmentally conscious and are more than willing to support brands
they perceive as honest.(IBIS 2024)
Technological:
• The New partnership between Dominos and Microsoft will transform the pizza industry
(mainly to deliver pizzas faster and improves the overall customer experience using AI)
(Medium 2023)
• The company is taking automated phone orders using Artificial intelligence. And it says,
they are on a path, that they can take all orders digitally (Kelso, 2019)
• Domino’s reinvented its website, giving a new and fresh approach to ordering. This new
website allowed people to create profiles and save ordering preferences, personalizing the
experience of ordering pizza – a move that was well ahead of its time.(proserveit.com), It
also plans to boost its marketing spend and invest around £20 million in its digital
acceleration over three years through 2025 (IBIS 2023)

CHALLENGES
With the launch of delivery apps like Deliveroo
and Uber eats, people have started to
experimenting out of Dominos and Pizza Hut
(The Guardian)
Fast food is a volatile industry and people
taste change every coming year
Domino's Pizza has worldwide delivery
driver shortage (Apex Insight 2022)
SWOT ANALYSIS
RECOMMENDATIONS • Strength:
For a business that is highly dependent on competitive 1. Low Volatility
pricing and promotional offers, Dominos should try to 2. Low Imports
create a brand image and a loyal customer database, as Gen
• Weaknesses:
Z are more loyal to the brand they trust (National Research
Federation) 1. Low & Increasing Barriers to Entry
Fast-food franchises must move fast to adapt quickly or risk 2. High Competition
diners going elsewhere for their weekly fast-food treat. • Opportunities:
Moreover, since pizza is considered a fast food, people
expect to pay less for it (IBIS 2023) 1. High Revenue Growth (2018-2023)
2. High Performance Drivers
To address this delivery people shortage, dominos should • Threats:
invest in drone deliveries, as the company also tries with 1. Low Revenue Growth (2023-2028)
jetpack (NDTV)
2. Real household disposable income
(IBIS 2023)
1. Mintel, 2021. Fast Food Restaurants - UK - 2021. Available at: https://reports-mintel-com.ezproxy.mdx.ac.uk/display/1097627/?fromSearch=
%3Ffreetext%3Dfast%2520food [Accessed 2 March 2024].
2. Department of Health and Social Care (2021) Promotions of unhealthy foods restricted from October 2022, GOV.UK. Available at:
https://www.gov.uk/government/news/promotions-of-unhealthy-foods-restricted-from-october-2022 (Accessed: 01 March 2024).
3. Office for Health Improvement and Disparities (2024) Sugar, salt and calorie reduction and reformulation, GOV.UK. Available at:
https://www.gov.uk/government/collections/sugar-reduction#:~:text=OHID%20now%20leads%20on%20the,intakes%20of%20children%20and
%20adults (Accessed: 02 March 2024).
4. ibisworld (2023) IBISWorld - industry market research, reports, & statistics, IBISWorld Industry Reports on Full-Service Restaurants in the UK
UK I56.101. Available at: https://my-ibisworld-com.ezproxy.mdx.ac.uk/uk/en/industry/i56.101/external-environment (Accessed: 01 March 2024).
5. Dhingra, S. and Partington, R. (2022) Brexit has fuelled surge in UK food prices, says Bank of England policymaker. Available at:
https://www.theguardian.com/business/2022/dec/03/brexit-has-fuelled-surge-in-uk-food-prices-says-bank-of-england-policymaker (Accessed: 03
March 2024).
6. IBISWORLD and Dinev, K. (2023) IBISWorld - industry market research, reports, & statistics, IBISWorld Industry Reports. Available at:
https://my-ibisworld-com.ezproxy.mdx.ac.uk/uk/en/industry/i56.103/at-a-glance (Accessed: 03 March 2024).
7. kinney, clare (2020) Eating in is the new eating out: How to make the most of restaurant takeaways, Eating in is the new eating out: How to
make the most of restaurant-style takeaways. Available at: https://www.independent.co.uk/life-style/food-and-drink/restaurant-quality-food-
delivery-coronavirus-a9423136.html (Accessed: 01 March 2024).
8. Statista (2024) Target audience: Vegans in the United Kingdom. rep. London: Statista Consumer Insights.
9. IbisWorld (2024) Pizza Delivery & Takeaway in the UK UK SP0.132 Gaetana Mak Analyst London Published: Feb 2024, IBISWorld Industry
Reports. Available at: https://my-ibisworld-com.ezproxy.mdx.ac.uk/uk/en/industry-specialized/sp0.132/at-a-glance (Accessed: 01 March 2024).
10. Garg, D. (2023) The Ai Slice: Domino’s and Microsoft Transforming the pizza industry, Medium. Available at: https://medium.com/predict/the-ai-
slice-dominos-and-microsoft-transforming-the-pizza-industry-8af8086a7d60#:~:text=In%20addition%20to%20implementing%20AI,data
%20combined%20with%20AI%20algorithms. (Accessed: 02 March 2024).
11. Kelso, A. (2019) How becoming ‘a tech company that sells pizza’ delivered huge for Domino’s, Forbes. Available at:
https://www.forbes.com/sites/aliciakelso/2018/04/30/delivery-digital-provide-dominos-with-game-changing-advantages/?sh=10f2cec07771
(Accessed: 04 March 2024).
12. Deliveroo orders double as appetite for takeaways grows (2021) The Guardian. Available at:
https://www.theguardian.com/business/2021/aug/11/deliveroo-orders-double-as-appetite-for-takeaways-grows (Accessed: 04 March 2024).
13. ProServeIT (2023) Technology framework & roadmap: Domino’s pizza success story, ProServeIT. Available at:
https://www.proserveit.com/blog/technology-framework-and-roadmap-dominos-story (Accessed: 02 March 2024).
14. Watch: Domino’s UK attempts world’s first pizza delivery using jetpack (2023) NDTV Food. Available at: https://food.ndtv.com/news/video-of-
flying-domino-s-agent-delivering-pizza-on-jetpack-goes-viral-4165848 (Accessed: 04 March 2024).
15. Editor (2022) Dominos Pizza has worldwide delivery driver shortage, Apex Insight. Available at: https://apex-insight.com/dominos-pizza-has-
worldwide-delivery-driver-shortage/ (Accessed: 04 March 2024).
16. Aldrick, P. (2023) UK takeaway prices jump as inflation reduces savings from eating in at home, Bloomberg.com. Available at:
https://www.bloomberg.com/news/articles/2023-05-03/uk-takeaway-prices-jump-as-inflation-reduces-savings-from-eating-in-at-home?
leadSource=uverify+wall (Accessed: 03 March 2024).
17. SWOT ANALYSIS:Ibisworld (2023) IBISWorld - industry market research, reports, & statistics, IBISWorld Industry Reports on Full-Service
Restaurants in the UK UK I56.101. Available at: https://my-ibisworld-com.ezproxy.mdx.ac.uk/uk/en/industry/i56.101/external-environment
(Accessed: 01 March 2024).