Domino

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Words: 670

Pages: 3

Category: Business and Industry

Date Submitted: 02/14/2011 09:00 AM

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Problem : Domino’s Pizza must reconsider its promotional campaign in light of the fact that it is facing several lawsuit from families of dead employees.

Situation analysis : Domino’s has advertised that a pizza will be delivered in 30 minutes or less or you can get $3.00 off. In the last year 10 employees have died making deliveries and auto speed has been a factor in their deaths. Now the families of the deceased are filing lawsuits against Domino’s.

Dominos is a service provider which brings the service (pizza delivery) to the customer. Pizza delivery has a high degree of customization. People are able to order a variety of different sizes of pizza with different toppings. Pizza delivery would be viewed probably as a low contact service in that there is only a brief minute or two of interaction between customer and service provider. However the customer does have to be present in order to pay for the pizza. Fluctuation of demand for pizza delivery might vary by hour , one would suspect that more deliveries would occur at night and on weekends. The duration of benefits to the customer is only short term. Once the pizza is consumed and hunger is satisfied, the service is ended. If backstage operations are not sufficient and up to par then the front stage performance will suffer. Thus, if the pizza is undercooked or burnt in the kitchen this will affect the tip that the delivery person receives. Dominos tries to shape demand by offering coupon deals and discounts to customers. A supplemental service that Domino’s offers is fast delivery and uses this to differentiate itself from competitors. Domino’s is a multi site service provider and uses franchising to try and standardize the quality of its pizzas. Domino’s delivery service might be thought of as possession processing in that the customer does not have to be physically present at the pizza place. This is an informal and discrete relationship. Customers order pizzas whenever they want and do not...