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PROJECT REPORT ON:

COMPARATIVE STUDY ON DOMINOS AND PIZZA HUT

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Title of the Project:

Comparative Study on Dominos & Pizza Hut

Submitted By

Registration No.:

Name of the College: Surendra Nath College

CU Roll No.: ………………………………………..

Supervised By

Prof. …………….………..

Name of the college: Surendra Nath College

Month and year of Submission

……………………………………………..

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Acknowledgement
This report is an outstanding prospect to convey my greatfulness to those
many people whose timely help and guidance went a long way in finishing this project
work from commencement to achievement.

I would like to express my sincere thanks to …………………….( Principal of our


College ) for giving me an opportunity for pursuing the project.

This project couldn’t be completed without the able guidance and support of
………………… (Head of the Department, Commerce) and ………………………………….
(Supervisor)

Last but not least would like to thank my friends, family members and all
those people who helped me for the completion and deeper understanding of the
concept of performance appraisal.

Working on this project has proved to be an enlightening experience for me.

------------------------------------------
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Student’s Signature Teacher’s Signature

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Supervisor’s Certificate
This is to certify that Ms Rishu Dixit a student of B.com. Honours in Accounting &
Finance of Shree Agrasain College under the University of Calcutta has worked
under my supervision and guidelines for her Project Work with the title
Comparative Study on Dominos & Pizza Hut which she is submitting, is her
genuine and original work to the best of my knowledge.

Signature:

Name: Prof. Dipankar Bera


Designation: Teacher

Name of the college: Surendra Nath College

Student’s Declaration
I hereby declare that the Project Work with the Title “COMPARATIVE STUDY ON
DOMINOS & PIZZA HUT” submitted by me for partial fulfillment of the degree of
B.com Honours in Accounting& Finance under the University of Calcutta is my
original work and has not been submitted earlier to any other
University/Institution for the fulfillment of the requirement for any course of study.
I also declare that no chapter of this manuscript in whole or in part has been
incorporated in this report from any earlier work done by others or by me.
However, extracts of any Literature which has been used for this report has been
duly acknowledged providing details of such literature in the references.

Signature:

Name: Ms Rishu Dixit

Address:

Registration No.:

Roll No.:

Place: Kolkata

Date:

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INDEX
Serial No Topic Page Number
1 Introduction 1

2 Background 2-3

3 Justification of the Project 4

4 Literature Review 5-6

5 Objective of the Project 7-8

6 Research and Methodology 9

7 Limitations 10

8 Introduction and Products of Pizza Hut& 11-14


Dominos

9 Advertisement Strategy 15-16

10 Swot Analysis 17-18

11 National and International Scenario 19-21

12 Analysis and Interpretation 22-32

13 Findings 33

14 Conclusion and Recommendations 34

15 Bibilography 35

16 Annexures and Recommendation 36-37

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INTRODUCTION

Background of Fast Food


Justification of the Project
Literature review
Objective of study
Research methodology
Limitation of study
Chapter planning

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INTRODUCTION ABOUT FAST FOOD

Common item
include , hamburgers, friedchicken, frenchfries,onionrings, chickennuggets ta
cos Fast food is the term given to food that is prepared and served very quickly, first
popularized in the 1950s in the United States. While any meal with low preparation time can be
considered fast food, typically the term refers to food sold in a  restaurant or store with
preheated or precooked ingredients, and served to the customer in a packaged form for  take-
out/take-away., pizza, Hot dogs and Ice Cream though many fast food restaurants
offer "slower" foods like chili, mashed potatoes, and salads.

STREET VENDORS AND CONCESSIONS

Traditional street food is available around the world, usually from small operators and
independent vendors operating from a cart, table, portable grill or motor vehicle.
Common examples include noodle vendors, Middle Eastern falafel stands, New York
City hot dog carts, are a feature of life. Commonly, street vendors provide a colorful
and varying range of options designed to quickly captivate passers-by and attract as
much attention as possible. India is blessed with one of the fastest growing fast food
market of the world The Indian fast food market is growing at the rate of 30-35% per
annum. Foreign fast food chains are aggressively increasing their presence in India for
e.g. –Dominos, Pizza Hut, KFC, McDonalds.

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1.1 BACKGROUND OF THE PROJECT

Pizza Hut

Pizza Hut was founded in 1958 by brothers Dan and Frank Carney in their
hometown of Wichita, Kansas. When a friend suggested opening a pizza
parlor--then a rarity--they agreed that the idea could prove successful, and
they borrowed $600 from their mother to start a business with partner John
Bender. Renting a small building at 503 South Bluff in downtown Wichita
and purchasing secondhand equipment to make pizzas, the Carneys and
Bender opened the first Pizza Hut restaurant; on opening night, they gave
pizza away to encourage community interest. A year later, in 1959, Pizza
Hut was incorporated in Kansas, and Dick Hassur opened the first franchise
unit in Topeka, Kansas.

In the early 1960s Pizza Hut grew on the strength of aggressive marketing of
the pizza restaurant idea. In 1962, the Carney brothers bought out the
interest held by Bender, and Robert Chisholm joined the company as
treasurer. In 1966, when the number of Pizza Hut franchisee units had
grown to 145, a home office was established to coordinate the businesses
from Wichita.

Two years later, the first Pizza Hut franchise was opened in Canada. This
was followed by the establishment of the International Pizza Hut Franchise
Holders Association (IPHFHA). It aimed at acquiring 40 percent of the
company's franchise operations, or 120 stores, and adding them to the six
outlets wholly owned by Pizza Hut.

The acquisitions, however, brought turmoil to the chain. Varied accounting


systems used by the previous franchise owners had to be merged into one
operating system, a process that took eight months to complete. In the
meantime, sales flattened and profits tumbled.

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Dominos
Dominos Pizza is the second largest franchised pizza chain in the U.S.A.,
and the history of Dominos Pizza is similar to its rival Pizza hut; two
brothers started it with borrowed equity in the sixties. Tom and James
Monaghan bought a small Michigan Pizzeria called Dominick's, which was
jointly run by them until James traded his share for a second hand car. Tom
revitalized the image by changing the name to Dominos.
By the late seventies there were over 200 franchise pizza businesses in the
States and Dominos Pizza was ready to go International. In 1983 Dominos
Pizza opened its doors in Winnipeg, and in the same year opened its one
thousandth store. Later that same year Domino's corporate history was to
begin in Australia with its first franchise in Brisbane, on the East coast.
The locations for Dominos Pizza grew quickly from here as they sprung up in
all sorts of diverse places including Bogotá. Despite Domino's Pizza
springing up diverse locations, they were still a very traditional company.
Domino's Pizza menu had been kept very simple and streamlined; they only
sold one type of pizza crust which they named the regular pizza. Domino's
Pizza dough was shaped by tossing the dough and pulling it into shape. The
pizza menu included just two sizes of dough, it was not until much later
that competition forced them to add a medium and extra large sized pizza.
There were no such things as side orders you could have Pizza, pizza or
Pizza and you could only drink a Coke with it.
In 1989 the history of Domino's Pizza was to change when the Deep Pan
pizza was introduced, for the first time in twenty five years the company was
being forced to react to market demand. This move consolidated the
financial base and ensured the growth of Domino's Pizza , as the same year
they opened their five thousandth store.
The wind of change had started and by 1992 they were to introduce the first
non pizza item to their menu, this was obviously a reluctant move as it was
bread sticks. Domino Pizza dough was already on hand and the making of
bread sticks is not so different.
For many years the company had advertised that if the delivery of their
pizzas took longer than thirty minutes then the pizza would be delivered free

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1.2 JUSTIFICATION OF THE PROJECT

Fast food is one of the world’s largest fast growing industry types. The 6000
corer fast food retail industry is mainly dominated by the multinational
players and the key players which are active in the research of the food
retailing. Eating at home remains very much ingrained in Indian culture and
modern society is on the go and there is plenty of demand for a quick bite at
all the times of the day. Fast food franchising opportunities exist in the
“traditional” spaces like burgers and pizza, but are also sprouting up in
healthy and unique ways as well. Fast food franchises focus on high
volume, low cost and high speed product. Consumers enjoy being able
to get a familiar meal in each location, and menus and marketing are
the same in every location .The growth in nuclear families, particularly in
urban India, exposure to global media and western cuisine and an
increasing number of women joining the workforce have had an impact on
eating out trends. Major players in fast food are: McDonald, KFC, Pizza hut,
Dominos pizza, Café coffee day, Barista Subway.

The content of my project will be:

Introduction
Company Profile
Literature Review
Research Methodology
Presentation of Data
Analysis and Interpretation
Findings
Conclusion and Recommendation
Bibliography

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1.3 LITERATURE REVIEW

REPORT ON PIZZA HUT BY RANDY CLERK: The delivery segment


accounts for only 20% of the $12.7 billion pizza market, but it is growing
rapidly, while the eat-in segment has recently seen very slow growth. A
change in consumer preferences has led to the increased purchases in the
delivery segment. Pizza Hut has decided it is necessary to move into the
delivery segment. Its attempt to attain system-wide acceptance has not been
well received by its franchises. Pizza Hut franchisees are predominantly
large powerful organizations, two-thirds of which own more than 10
restaurants each.

REPORT ON PIZZA HUT BY SALIM ZEESHAN: Pizza Hut is an


American restaurant chain and international franchise that offers different
styles of pizza along with side dishes including salad, pasta, wings,
breadsticks, and garlic bread. Corporately known as Pizza Hut, Inc., it is a
subsidiary of Yum! Brands, Inc., the world's largest restaurant company.

REPORT ON PIZZA HUT BY SEMINAR FLOWER: Pizza Hut was founded in 1958
by brothers Dan and Frank Carney in their hometown of Wichita, Kansas.
They chose the name "Pizza Hut" since the sign they purchased only had
enough space for nine characters and spaces. In 1964 a unique
standardized building appearance and layout was established for franchised
and company-owned stores, creating a universal look that customers easily
recognized.

REPORT ON PIZZA HUT AND DOMINOS BY JASEELATI: The study on


the basis of the comparative service of Pizza Hut and Dominos. Delivering
quality of service is extremely important. This study is based, to check the
quality of service and the comparison between the two pizzerias, finding the
coefficient with the GPA. Through this study, we wanted to demonstrate the
ease of using SERVQUAL instrument in the case of the University, indicates
that the questionnaires can be easily reproduced and adapted to any
organization. Therefore this model to be applied in the Organization's future
and the dramatic improvements.

REPORT ON PIZZA HUT AND DOMINOS BY ZEITHMAL &


BERRY: “SERVQUAL: A Multiple-Item Scale for Measuring Consumer Perceptions of
Service Quality.” Journal of Retailing developed the original 22 item Servqual scale with
questions intended to assess five specific dimensions (tangibles, reliability,
responsiveness, assurance, and empathy). [Parasuraman et al. (1985)] identify the 10
core components of service quality as reliability (consistent performance
and dependability), responsiveness (willingness/readiness to serve), competence
(possessing knowledge and skills).

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1.4 OBJECTIVE OF THE STUDY

This Project is based on comparative study of consumer’s behavior towards


PIZZA HUT AND DOMINOS. The objectives of the study are mentioned as
below –

To find out the comparative analysis between Pizza hut and


dominos-pizza.
To check out the preferences of the people / or the customers.
To find out which factors are more preferred by the customers.
To know about the strategies adopted by both the companies.
To know which type of taste like in pizza
To know which type of pizza is liked by most of the customers
To know the visit of the customers in the week days.

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1.5 RESEARCH METHODOLOGY

Data Collection:
PRIMARY SOURCE:

The primary source of data is through Questionnaire.

The main reason for selecting the questionnaire method for the study is:

•Respondents have adequate time to give well thought out answers.

•The time of the study was also a limiting factor.


SECONDARY SOURCE:

The secondary source of information is based on the various details


retrieved from Journals, Websites and Magazines. Secondary data will
consist of different literatures like books which are published, articles,
internet, the company manuals and websites of company .Data from
existing records created for other purposes (secondary sources) .

METHODOLOGY USED FOR DATA ANALYSIS:

The methodology used for data analysis consist of pie chart, Tabulation, Graphic
Representations, percentage analysis etc are used in the analysis of data.

SAMPLING TECHNIQUES:

The sampling technique adopted for the purpose of the study is convenience sampling.
As the name implies a convenience sample means selecting particular units of the
universe to constitute a sample.

SAMPLE SIZE:

In order to accomplish my study I had choosen a sample size of the study is 80. This
sample is considered as representative

•The finding of the survey is strictly based on the responses of the respondents. it is difficult to
find the euthenics be true, so we are assuming them to be true.

•Chances of some biasness could not be eliminated.

•A Samples size of Eighty has been use due to time limitations.

•The study does not represent classes of managerial Professionals not interviewed, such as those
from educational institutions, health-related industrieos, law enforcement, or global businesses.

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1.7 CHAPTER PLANNING

The Project is on A COMPARATIVE STUDY ON CONSUMER’S BEHAVIOR TOWARDS


PIZZA HUT AND DOMINOS. For the proper and complete enhancement of my project
certain chapters have been planned. The chapter planning of the project is given below:-

Chapter 2 Conceptual Framework / National and


International Scenario

Chapter 3 Presentation, Analysis and Findings

Chapter 4 Conclusion & Recommendation

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CONCEPTUAL FRAMEWORK/ NATIONAL AND INTERNATIONAL
SCENARIO

Introduction about Pizza Hut


Products of Pizza Hut
Introduction about Dominos
Products of Dominos
Advertising strategy of Pizza Hut And Dominos
The scenario of Pizza in India
The International scenario of Pizza

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INTRODUCTION OF PIZZA HUT
Pizza Hut was founded in 1958 by two University of Wichita students, Frank
and Dan Carney, as a single location in Wichita, Kansas. The oldest
continuously operating Pizza Hut in the world is in Manhattan, Kansas, in a
shopping and tavern district known as Aggieville near Kansas State
University. The first Pizza Hut restaurant east of the Mississippi was opened
in Athens, Ohio in 1966 by Lawrence Berberick and Gary Meyers.

Pizza Hut's international presence includes Canada and Mexico in North


America, India, Bangladesh, United Kingdom, Costa Rica, Ecuador
Nicaragua, Pakistan, and its Southeast Asian presence includes Vietnam,
Thailand, Malaysia, Hong Kong, and Macau.

Pizza Hut was one of the first American franchises to open in Iraq.

Pizza Hut entered India in 1996, and opened its first restaurant in
Bangalore. Since then it has captured a dominant and significant share of
the pizza market and has maintained an impressive growth rate of over 40
per cent per annum. Pizza Hut now has 95 outlets across 24 cities in India;
and employed nearly 4,000 people by end of 2004. Yum! has invested about
US$ 25 million in India so far; this is over and above investments made by
franchisees. Yum! Brands Inc is the owner of the Pizza Hut chain worldwide

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2.2 PRODUCTS OF PIZZA HUT

Pizza Hut experiments with new products frequently, discontinuing less successful
ones. In North America, Pizza Hut has notably sold these: "Stuffed crust" pizza, with the
outermost edge wrapped around a cylinder of mozzarella cheese; "Hand-Tossed", more
like traditional pizzeria crusts; Thin 'N Crispy, a thin, crisp dough which was Pizza Hut's
original style; Dippin' Strips pizza, a pizza cut into small strips that can be dipped into a
number of sauces; and its largest product, the Bigfoot pizza.

The Stuffed Crust pizza was introduced in March 26, 1995. By the end of the year it had
become one of their most popular lines.

There are regional differences in the products and bases sold. The company has
localized to Southeast Asia with a baked rice dish called Curry Zazzle.

On May 9, 2008, Pizza Hut created and sold in Seattle, Denver, and Dallas, "The Natural",
featuring organic ingredients. This was discontinued on October 27, 2009 in the Dallas
market.

Pizza Hut developed a pizza for use as space food, which was delivered to the
International Space Station in 2001. It was vacuum sealed and about 6 inches (15 cm) in
diameter to fit in the Station's oven. It was launched on a Soyuz and successfully eaten
by Yuri Usachov in orbit.

INTRODUCTION OF DOMINOS
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Dominos Pizza is the second largest franchised pizza chain in the U.S.A. In
the 1960’s Tom and James Monaghan bought a small Michigan Pizzeria
called Dominick's, which was jointly run by them until James traded his
share for a second hand car. .
By the late seventies there were over 200 franchise pizza businesses in the
States and Dominos Pizza was ready to go International. In 1983Dominos
Pizza opened its doors in Winnipeg, and in the same year opened its one
thousandth store. Later that same year Domino's corporate history was to
begin in Australia with its first franchise in Brisbane, on the East coast.
Domino's Pizza menu had been kept very simple and streamlined; they only
sold one type of pizza crust which they named the regular pizza. Domino's
Pizza dough was shaped by tossing the dough and pulling it into shape. The
pizza menu included just two sizes of dough, it was not until much later
that competition forced them to add a medium and extra large sized pizza.
There were no such things as side orders you could have Pizza, pizza or
Pizza and you could only drink a Coke with it. In 1989 the history of
Domino's Pizza was to change when the Deep Pan pizza was introduced, for
the first time in twenty five years the company was being forced to react to
market demand. This move consolidated the financial base and ensured the
growth of Domino's Pizza , as the same year they opened their five
thousandth store. The wind of change had started and by 1992 they were to
introduce the first non pizza item to their menu, this was obviously a
reluctant move as it was bread sticks. Domino
For many years the company had advertised that if the delivery of their
pizzas took longer than thirty minutes then the pizza would be delivered
free. In 1993 Domino Pizza discontinued this policy and stated that if a
customer was unhappy they could have a new pizza or a refund. By 1994
Dominos Pizza marketing policy widened as chicken wings were introduced
to the menu. At the same time the company hit the African continent as
they opened a store in Egypt . By 1996 Dominos Pizza website was
launched and the company declared global sales of nearly $3 billion.

2.4 PRODUCTS OF DOMINOS:

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The first menu expansion occurred in 1989, with the debut of Domino's
deep dish or pan pizza. Its introduction followed market research showing
that 40% of pizza customers preferred thick crusts. The new product launch
cost approximately $25 million, of which $15 million was spent on new
sheet metal pans with perforated bottoms. Domino's started testing extra-
large size pizzas in early 1993, starting with the 30-slice, yard-long "The
Dominator".

Domino's tapped into a market trend toward bite-size foods with spicy
Buffalo Chicken Kickers, as an alternative to Buffalo Wings, in August 2002.
The breaded, baked, white-meat fillets, similar to chicken fingers, are
packaged in a custom-designed box with two types of sauce to "heat up" and
"cool down" the chicken.

In August 2017, Domino's announced its first new pizza since January
2015, the Philly Cheese Steak Pizza. The product launch also marked the
beginning of a partnership with the National Cattlemen's Beef Association,
whose beef Check-Off logo appeared in related advertising. Domino's
continued its move toward specialty pizzas in 2018, with the introduction of
its Brooklyn Style Pizza, featuring a thinner crust, cornmeal baked in to add
crispness, and larger slices that could be folded in the style of traditional
New York-style pizza.

In 2012, Domino's once again branched out into non-pizza fare, offering
oven-baked sandwiches in four styles, intended to compete with Subway's
toasted submarine sandwiches. Early marketing for the sandwiches made
varied references to its competition, such as offering free sandwiches to
customers named "Jared," a reference to Subway's spokesman of the same
name.

In December 2018, Domino's Pizza, in Israel, unveiled its first vegan pizza,
which uses a soy-based cheese substitute.

After a stock low point in late 2009, the company's stock had
grown 233 percent by late 2018. Even as the American
economy has suffered and unemployment has risen,
Domino's has seen its sales rise dramatically through its
efforts to rebrand and retool its pizza.

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2.5 THEADVERTISEMENT STRATEGY OF PIZZA HUT AND
DOMINOS

OFFERING VALUE FOOD

Employing economies of scale, Pizza Hut has made its offerings more
affordable. Its delivery offer of US$ 4.4 for four personal pan pizzas has been
very successful, helping it grow the business by 25 per cent. They have
recently introduced a range of vegetarian personal pan pizzas for US$
1.1.Most Pizza Hut restaurants are located in the metros and smaller metros
In taking long strides across the country, Pizza Hut is consolidating its
position by opening more restaurants in the metros where it already has a
presence as well as opening outletsin new markets.

AGGRESSIVE MARKETING AND TIE-UPS

WITH LOCAL AND POPULAR BRANDS

Pizza Hut has increased its visibility by launching a well-received TV


campaign aimed at the young crowd .It has formed partnerships with
recognized brands such as Nestle and Pepsi. It also holds regular
promotional campaigns targeted at children and uses these alliancesto
offer packages during these campaign

DEVELOPING THE LOCAL SUPPLY CHAIN

The local supply chain for Pizza Hut was developed by Yum! And
currently 95 per cent of the ingredients they use are locally produced.
They now import very few specialty items like pepperoni.

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OFFERING MORE THAN THE INTERNATIONAL MENU

International food chains typically offer only a few localised products


in other parts of the world. However, Pizza Hut’s local menu is as large
as the international one. According to Pizza Hut, the Indian food
heritage is very rich, and hence Indians like local flavours . The
Tandoori range of pizzas, which was developed locally, has a menu mix
of over 20 per cent.

DOMINOS

30 MINUTES AND DOORBELL!


The first thing that comes to your mind after hearing HUNGRY KYA! (Are you
hungry….?) Is of course Domino’s? Domino’s managed to become the “PIZZAS KING” of
South Asia. Revealing how they are able to ensure delivery within half an hour? they
prepare master plan to reach the destination within time. “They send out their senior
managers on bikes and check high traffic hours and calculate the actual time of delivery,
“all their employees are duly trained to deliver pizza safely. “They do scientific survey of
city traffic to ensure delivery of
our pizza within 30 minutes.”
“Even changes in traffic scenario,
like construction of bridges and
closing of passengers are taken
into account and the schedule is
changed accordingly.” they are
able to deliver pizza within 30
minutes in 99 percent cases, else
is give free to the customer. Here’s
another surprise“That is why they
call them Safe Delivery Persons (SDP). Informing that they have 3,000 bikes on the
Indian roads for delivering pizza, Slogan before leaving for delivery:

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SWOT ANALYSIS OF DOMINOS:

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SWOT ANALYSIS OF PIZZA HUT

STRENGTH :

A leading Market in specializing pizza.


Has full service restaurants as well as delivery services
Strong franchisee network

Weakness:

High Overhead cost due to large number of restaurants.


High price.
Internal Conflicts among Franchises

Opportunity:

Expansion through online ordering System


Introduction of innovative pizza
Venturing into senior citizen market

Threats:

The differentiation strategy adopted by pizza chain is adopted by


all pizza industry players
Main threat from Competitors

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