Domino’s Pizza Enterprises Ltd [ASX:DMP] have had consistent share growth since the beginning of the year.
Strong results from all its divisions have played a key role in the overall success of the franchise.
Its return of equity has been one of its highest growth rates, increasing by a staggering 32.6%.
The franchise shows no signs of slowing down, while it capitalises on its positive figures.
How did Domino’s accomplish such strong growth rates?
With every division of Domino’s doing well, many segments of the business have prompted to grow.
Network sales growth has gone up by 7.1% due to expansions and business innovation.
This is due to many new stores being opened across Australia and New Zealand, allowing Dominos to drive more sales in key regions.
10 new organic stores have also been opened in Japan, enabling Domino’s to expand its network.
With Domino’s further enhancing its online platform, they were able to grow sales results quicker than sales gained from its offline services, with online sales growing by 13%.
Domino’s has managed to improve its delivery time, ensuring its customers that its delivery services are consistently efficient.
On its market presentation, Domino’s reported:
‘Using cutting edge technology, Domino’s improved upon its existing Global weekly record average time, to 5 minutes and 43 seconds.’
Domino’s are currently experimenting with online and offline differentiated prices in the Nagoya market, which will help enable the company to properly analyse the competition while continuing to drive sales.
Domino’s management believe there is potential for further growth across the next seven years.
For Money Morning
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