Mobile App Drives Dominos Sales

Remember when the hallmark of high-quality customer service was using a phone to connect with a human representative? Domino’s Pizza is living proof that that age has come and gone.

The ubiquitous pizza chain’s U.K. arm has focused on revamping its mobile and eCommerce operations in recent months — and to great effect. In Domino’s Q3 earnings call, CEO David Wild said that the simple addition of mobile and online ordering has caused a 35-percent annual increase in overall sales.

“We are delighted by this performance as our U.K. business goes from strength to strength, reflecting the success of our strategic and marketing initiatives,” Wild said. “It represents the eighth consecutive quarter of double-digit like-for-like sales growth as we continue to focus on delivering great food with great service, using our best-in-class digital platforms.”

BBC reported that more than 75 percent of Domino’s U.K. orders were placed online, and more than 50 percent of those were initiated solely through the retailer’s mobile app. In the last year alone, Domino’s launched an ambitious mobile order and payment system and even started processing orders placed through the Apple Watch. The stunning success of its eCommerce improvements caused group sales to rise by 15.6 percent compared to Q2 to arrive at a running tally of £641.2 million (roughly $980 million).

Domino’s online success is also translating into growth on the physical level. Wild explained that Domino’s opened 12 new stores in the U.K. since their last earnings call, and the chain plans on opening at least another 50 by the end of 2015. Though few orders will likely be placed in these new locations, the dynamic of online and mobile orders will still leave them functioning just as Amazon’s fulfillment centers do: customers place orders remotely and physical locations handle the rest.

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