DOMINO’S DFA – LAS VEGAS 2008

Calendar/Strategic Planning

Within your Budget

DOMINO’S DFA – LAS VEGAS 2008

Why Plan?

In Mack’ stores we run 9% total advertising…

= $2.88 Million

If you want to guess…go for it…

DOMINO’S DFA – LAS VEGAS 2008

Why Plan?

Reason #2 - Integration

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DOMINO’S DFA – LAS VEGAS 2008

Step One: Build Your Plan in Relation to Promotions

DOMINO’S DFA – LAS VEGAS 2008

DOMINO’S DFA – LAS VEGAS 2008

Build the plan and work backwards to the budget…

-Fill in dates, sponsorships, print purchases, niche marketing,

-Establish a real sales projection

-Make it work with vendors: long term commitments, lower pricing, etc.

Get the plan you want!

DOMINO’S DFA – LAS VEGAS 2008

Advertising Structure

National

Co-Op

Local

DOMINO’S DFA – LAS VEGAS 2008

Advertising Structure

Local Advertising:

1. Promotional SupportA. MailingB. Doorhangers/BoxtopsC. SamplingD. Local media (non-co-op) support

2. Niche MarketingA. Database

1. Lapsed Customers2. Service Issues3. Specific Customers – Ticket, etc

B. SchoolsC. Apartments

DOMINO’S DFA – LAS VEGAS 2008

Advertising Structure

Local Advertising:

3. SponsorshipsA. ProfessionalB. Collegiate

4. CommunityA. DonationsB. FundraisingC. Board Service

DOMINO’S DFA – LAS VEGAS 2008

TRAPS!

1. Not Knowing Your MarketA. Just Because you live there doesn’t mean you know itB. The population you see may not be the largest populationC. Would you target you

2. Un even community support spendingA. Determine Community Support by market sizeB. Don’t do it the same way as everyone elseC. Use your time and product, not advertising dollarsD. Get the team involvedE. Don’t regulate it to only what you like

DOMINO’S DFA – LAS VEGAS 2008

Results

First several years I was with the company we had yearly increases in the 1-3% range.

2005 Was first full year of integration and new budget approach:12% Sales Increase17% Order IncreaseUnder Budget $70K

2006 had a 5% sales increase

2007 had a 1% sales increase

2008….not so good

DOMINO’S DFA – LAS VEGAS 2008

Does it have anything to do with process?

Why the sales loss over the last year?-Massive competitive intrusion in high volume areas

76% of lost sales from 20% of stores-Non-pizza competition-Competitive situations in small address markets

-York, SC 4800 addresses, has PH, PJ’s in 2 weeks, Sales from $18K to $13K-Lake Wylie, SC 4200 addresses, has PH & PJ and hardest demo to reach-Indian Trail, NC 9800 addresses, LC & PJ’s within four months of each other, despite big pushes drop from $20K to $11K

-Loss of 555-Over discounting

DOMINO’S DFA – LAS VEGAS 2008

Do I change the process?

No…refine it.

1. Mass material offers inline with slight edge over competitionA. Weekly competitive offer review

2. Store versions for LSM print determined by demographicsA. Price SensitivityB. Number per householdC. Diversity SkewD. Hispanic PopulationE. OLO Sensitivity

3. Ease of orderA. Value Menu…re-brand it as the menu, no coupons neededB. Restructure phone scriptsC. Push more olo

DOMINO’S DFA – LAS VEGAS 2008

What about…?

1. Pricing…why do we seem to have to discount so much or do crazy weeks/deals to get customers moving and not all competitors do?

2. How do I utilize Pulse more effectively?

3. How do I make it easier for customers to order?

4. How do I get to know them better? No guessing!

DOMINO’S DFA – LAS VEGAS 2008

The Future

Right now is not business as normal…

Economic vomit…expels those who don’t belong

The Future is about…

Ease of order

Giving customers what they are looking for before they even know

DOMINO’S DFA – LAS VEGAS 2008

Contact

Damien CarperDomino’s Pizza, Charlotte9107-F South Tryon StreetCharlotte, NC 28273704-588-2611704-577-1312 Mobiledamien@prairiepizza.com