You may not be surprised to learn that pizza production at Dominos hasnt changed much in the 57 years since the company was founded. Its still essentially hands on the dough and in the cheese. Theres been only one important advance: the spoodle, a ladle with a flat bottom that allows workers to spread the sauce evenly and quickly. A franchisee came up with the idea in 1985, and its become a restaurant industry essential…
As the company has built up its tech cred, its financial fortunes have been rising. Since the end of 2008, when Dominos was threatened by declining sales and distressed franchisees, its share price has increased 60-fold. The company is now worth $9 billion. The second-biggest U.S. chain has also been stealing customers from rivals, notably from the biggest, Pizza Hut Inc. Dominos went from having a 9 percent share of the pizza restaurant market in 2009 to 15 percent in 2016, according to research firm NPD Crest. Sales at established locations in the U.S. increased every year during that time, last year rising 10.5 percent, the fastest growth rate among the top 10 quick-service chains. Customer loyalty is also the highest among pizza chains, according to consultancy Brand Keys. Dominos makes money from the royalties paid by its franchisees, who own about 97 percent of the restaurants, and from the ingredients it sells them. In 2016 global sales for the chain, including franchisees, were $10.9 billion; revenue for Dominos itself was $2.5 billion.
