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Pizza Hut vs Domino’s. (860) :Ate pizza for the 3rd time today, can't decide if that's disgusting or an amazing aspect of American culture. Sabina Dossaliyeva Brianna Gilstrap Blair Lawrence. Background. Pizza Hut Founded in 1958 in Kansas
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Pizza Hut vs Domino’s (860) :Ate pizza for the 3rd time today, can't decide if that's disgusting or an amazing aspect of American culture. Sabina Dossaliyeva Brianna Gilstrap Blair Lawrence
Background • Pizza Hut • Founded in 1958 in Kansas • In 1971 became the number one pizza restaurant in the world in terms of sales and number of restaurants • In 1972 started expanding internationally • 1986 started their delivery service • In 1994 became the first national pizza chain to offer delivery over the internet • In 2001 became the first pizza company to deliver to space (?!)
Background • Domino’s • 1960 Domino’s was founded in Michigan • 1983 started expanding internationally • 1993 starts focusing solely on their “Total Satisfaction Guarantee,” which states they will remake or refund your pizza if you are dissatisfied for any reason • 1998 Domino’s HeatWave is introduced to keep delivered pizzas warm all through delivery • 2007 was introduced online and can be ordered through the mobile
Pizza Hut vs Domino’s:Who Delivered the Best Marketing Strategy? • Rates various aspects of each company’s strategy on a 5 star system • Both companies increased their advertising media budget in 2009 • Pizza Hut leads with 18% of pizza sales while Domino’s has 10 % of the market • The companies were compared on all aspects of their marketing strategies, such as TV advertisement and social media
Social Media • Advantages: User selects product information, interactive relationships, direct selling potential • Disadvantages: Technology limitations, websnarl, few valid measurement techniques • Overall, Pizza Hut has a broader and more extensive social media strategy
Television Advertising • Advantages: Mass coverage, high reach, low cost per exposure • Disadvantages: Short message life, low selectivity, high production costs • Generally Pizza Hut focuses more on product quality and celebrity spokespeople, while Domino’s focuses on price and humor strategies • Pizza Hut also came out with a campaign specifically containing comparative ads in 2007
Verdict: Domino’s Delivered • The article states that Domino’s did a better job with their media strategies by focusing on value-based offers in their TV advertisements, which worked really well in the recession • Although Pizza hut had better social media strategies, with a website that is easy to navigate and more interaction with consumers on Facebook and Twitter, this particular category is more driven by TV promotional activity • 30 Minute Guarantee
References • Young, A. (2009, September 16). Pizza Hut vs. Domino’s: Who Delivered the Best Media Strategy?. Advertising Age.