1. ECONOMICS PROJECTTopic: Pizza Hut v/s DominosPresented by: NIDHI DEDHIA FYBBI - Roll No. 5 For the academic year 2011-2012 MITHIBAI COLLEGE 2. IntroductionFast food is one of the world’s largest fast growing industrytypes. India’s fast food industry is growing by 40%. The 6000corer fast food retail industry is mainly dominated by themultinational players and the key players which are active inthe research of the food retailing. Because of the availability ofraw material for fast food, global chains are flooding into thecountry. The percentage share held by foodservice of totalconsumer expenditure on food has increased from a very lowbase to stand at 2.6% in 2001. Eating at home remains verymuch ingrained in Indian culture and changes in eating habits are very slow moving with barriers to eating out entrenched incertain sectors of Indian society. The growth in nuclear families, particularly in urban India, exposure to global mediaand western cuisine and an increasing number of womenjoining the workforce have had an impact on eating out trends. 3. Major players in fast food are: McDonald KFC Pizza hut Dominos pizza Café coffee day Barista Subway Papa John’s Smokin joe’s 4. Market shares and major playersIndian taste buds are demanding more and pizza industry – oneof the most intensive industry is all gearing on. People acrossthe country are consuming over three million pizzas a monthcurrently, and the monthly sales figures are projected todouble in the next four years. According to industry data, of thetotal branded quick service restaurant market make a sale ofover Rs 1,200 Crore, the pizza chains contribute around 50 percent of the sales i.e. worth Rs. 600 Crore.Market share as on 1999 PIZZA CHAIN MARKET SHARE (%) Pizza Hut 46.42 Dominos 21.67 Others 31.91 Source: Financial ExpressMarket share as on 2000 Pizza Chain 2000 Market Share (%) Pizza Hut 18 Dominos 70* Others 12 Source: Business Standard, As claimed by the company 5. Current Market Shares Branded Pizza Market Share Pizza Hut Dominos OthersThe major market players are Pizza Hut and Domino’s with marketshare of 45% and 35% respectively and other shares 20% of themarket. 6. PIZZA HUT Good time start with great Pizza It entered India (Delhi) in June 1996 By Jan 2001 pizza hut had 19 outlet across India Presently it has 142 outlets in 32 cities in India Pizza Hut is the world’s largest pizza chain with over 12,500 restaurants across 91 countries. Employing more than 300,000 people. Pizza Hut is one of the flagship brands of Yum! Brands, Inc., which also has KFC, Taco Bell, A&W and Long John Silver’s under its umbrella. 7. DOMINO’S PIZZA Hungry Kya ? It entered India (Delhi) in 1996 through a franchise agreement with VamBhartia Corp. Speedy growth (1 outlet in 1996 & 101 outlets in Feb 2001) Emphasis on home delivery Today Dominos Pizza India has grown into a countrywide network of more than 300 stores with a team of over 9,000 people. According to the India Retail Report 2009, Domino’s were the largest Pizza chain in India & the fastest growing multinational fast food chain between 2006-2007 and 2008-2009 in terms of number of stores. Dominos believes strongly in the strategy of Think local and act regional 8. SWOT ANALYSIS OF PIZZA HUT
9. SWOT ANALYSIS OF DOMINO’S
10. Competitors of the Pizza Hut and Dominos • Pizza corner • McDonald’s • Barista • Cafe coffee Day • Subway • Papa john’s • KFC Pizza Hut and Domino’s competitor analysis 11. 4P’s of Pizza Hut AND DOMINO’S 1. PRODUCT PIZZA HUTThe customer value hierarchyFrom the above diagram we can see that pizza hut has enjoyment as abasic product but it provides food for it. Thus a person having a basicneed of enjoyment can go to pizza hut and have pizza which is thecompany’s core product. Hot pizza and good taste are his expectation.Thus the company should ensure this by providing good pizza. Thevalue adds services refer to the overall dining experience, the servicequality, ambience etc. 12. Domino’sThe customer...
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