Question

5. Please answer the following questions with respect to PLC Theory (8) a. Which phase of the PLC is the pizza business? What indicators can you list? b. Given the phase of the PLC you indicated at part a: 1. What marketing mix strategies would you expect Dominos to be using? il. What marketing mix strategies is Dominos actually using? Ill. What disconnects, issues or questions arise from parts I and il above?

Answer 1

a. Which phase of the PLC is the Pizza business? What indicators can you list?

The phase of product Life Cycle is the growth phase as the findings of the business reveals. This is evident by adding 141 stores by Dominoes in quarter four. Dominoes also opened 1106 restaurants and this reveals that the business is expanding. Therefore, the Dominoes Company intends to spread the business to various locations.

b. Given the phase of the PLC you indicated at para:

i. What marketing mix strategies would you expect dominos to be using?

Marketing mix strategies that Dominoes can use in the growth phase of the business are explained. The company can improve the features and quality of Pizza and may introduce new varieties of Pizzas. The company can enter into many new customer segments. The third thing expected from Dominoes Company is to strengthen the distribution network. Another expectation from Dominoes company is to enhance its efforts to promote products through advertising, sales promotion, outdoor advertising, public relations, etc.

ii. What marketing mix strategies are dominoes actually using?

         Marketing mix strategies that the company uses are explained. The company primarily focuses to improve its distribution of Pizzas. With the strengthened distribution system, the carryout orders accounted for 45 percent of the total domestic order. The company also takes initiatives to shrink delivery radiuses and improve delivery times. Thus with the efficient distribution system, the company reduces the delivery time by 2 minutes. With this, the product is customized by the company. Pie pass technology adds personalization elements for the customers. Customers do not have to queue in line when they use Domino’s app. The convenience factor to order Pizza is improved as well. Technology adoption by Dominoes to improve its services to the customer is also evident by its practice. GPS facility is provided to the drivers as well as training to improve the delivery system. But it also reveals that Dominoes Company does not introduce any new menu of Pizza in the growth phase that can be more beneficial for it.

iii. What disconnects, issues or questions arise from parts I and ii above.

Analysis reveals that Dominoes does not introduce a new menu or products to provide more profits to the franchisees. This issue can limit the earning potential of the business. Therefore, this issue must be addressed by Dominoes Company. It should try to introduce new product varieties in Pizzas as well as other products that complement the sales of Pizzas.