Burgalicious!!!!!

The Twitter , Instagram and other social media is abuzz with activity on  “BurgerPizza“. And to try this new sensation one has to travel half the world to India.

Domino’s Pizza India Private Limited recently launched a Pizza Burger Hybrid ‘Burger Pizza’. Dominos, a quick service restaurant (QRS) from Jubilant Foodworks has India as its second largest market after the United States according to the latest reports published in KyivPost. The report also points out that McDonalds, the greatest contender of Dominos worldwide is only half the size of Dominos in India, which probably gave momentum to the decision to venture into the kingdom of Burgers. What was Domino’s recipe of success? Was it just the market conditions or is it effective marketing strategy that has helped Dominos emerge as a market leader?

The process of successful market segmentation, selection of the right target market and the unique execution of positioning has helped Dominos to reach out to their customers and achieve a competitive advantage over its competitors including ‘Pizza Hut’ and ‘McDonalds’.

Segmentation Targeting Positioning: The three pillars of Marketing Strategy

The present day market situation makes it is difficult for companies to succeed if they adopt an undifferentiated marketing strategy. In fact successful companies are the ones that modify their marketing tactics and customise them according to the needs of their customers(Proctor, 2000).Dominos definitely owes its success in India to their
customer driven and customer centric marketing strategy which uses STP as the key marketing tool.

Segmentation

Segmentation helps companies to gain competitive advantage and focusing on a specific target group of customers will help reduce the overall cost(Maričić, B, & Đorđević, A 2015).

Dominos has seen a positive growth in the Indian fast food market by focusing on the segment of middle-class young consumers. These vibrant students and working professionals with little time on their hands to cook and with an attitude to experiment form the niche segment for Dominos. While pizzas are more of a meal time food often devoured with a group of friends or family burgers are in demand throughout the day by individual consumers. It is this segment of individual consumers that Dominos saw an opportunity to grow their  market share.

Targeting

Dominos has been successful in India by customising its menu to suit the Indian sense of taste by using local flavours and garnishing. The same approach has been adopted with the introduction of BurgerPizza. The target market for BurgerPizza will be the burger loving individual consumers and will serve as a quick meal to be had at any time of the day thus helping to target those infrequent customers they see throughout the day (Romaniuk, J 2012).

The television advertisement  shows a little boy asking for a burger at a Dominos outlet and a staff deciding to bake him one using the ‘GoodOven’ .Dominos definitively is targeting the little ones too who probably are looking  for fun-food for a munch thus opening up an option beyond McDonalds and Hungry Jacks for them.

Positioning

The BurgerPizza positions itself as unique and will retain the wholesomeness, mozzarella and ‘pizzaness’. The television advertisement boast of BurgerPizza as being made from handpicked fresh and pure ingredients.

Positioning has to be clear , customer oriented and specific(Shakhshir, G 2014). And this is probably where Domino’s may have gone wrong. The essence of a burger “PATTY” is missing  in the BurgerPizza,making it more of a sandwich than a burger leaving us to wonder if something had gone wrong with the basic product .
If they are really keen on diversifying into a different segment, probably they will need to reposition their offering.

Dominos thirty-minute delivery or money back policy has got a superior positioning compared to its competitors. But with respect to BurgerPizza they probably would have to work on the positioning part and reposition itself in the market.

Lessons to learn from Dominos

Dominos maintaining its core product offering of being a Pizza has ventured into a different segment of Burgers targeting the opportunity to diversify yet maintain their uniqueness by incorporating the looks of a healthy burger while retaining the essence of a freshly baked pizza.The Segmentation and Targeting marketing strategy that has helped Dominos grow  is definitely correct with respect to BurgerPizza too but how the market reacts to it’s Positioning is something that only time will tell.

References

Author unknown, (2016), JUBILANT FOOD WORKS, JUBILANT FOODWORKS Ltd, retrieved
5August,2016, <http://www.jubilantfoodworks.com >

Author unknown, (2016), Dominos Pizza India, JUBILANT FOODWORKS Ltd, retrieved 5 August ,2016, < http://www.dominos.co.in >

Author unknown, (2016),India: The 2nd Largest Dominos Market in the World, KyivPost, retrieved 5 August,2016, <http://www.kyivpost.com/article/content/business-wire/india-the-2nd-largest-dominos-market-in-the-world-405887.html >

Dominos India2016,’Welcome to the land of#TheGoodOven…..’, Youtube 18July,2016, retrieved 8th August,2016, <https://youtu.be/nJMIGMLITi4>

John Lucker, Dominos Burger Pizza Review retrieved 8th August,2016, <http://www.pizzafeed.org/dominos-burger-pizza/>

Maričić, B, & Đorđević, A 2015, ‘Strategic Market Segmentation’, Marketing (0354-3471), 46, 4, pp. 243-251, Business Source Complete, EBSCOhost, viewed 7 August 2016,<http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=117066736&site=ehost-live&scope=site>

Proctor, T 2000, ‘chapter ten: SEGMENTATION, TARGETING AND POSITIONING’, Strategic Marketing, pp. 188-211,<http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=17442297&site=ehost-live&scope=site>

Romaniuk, J 2012, ‘Five Steps to Smarter Targeting’, Journal Of Advertising Research, 52, 3, pp. 288-290, Business Source Complete, EBSCOhost, viewed 8 August 2016,<http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=79983816&site=ehost-live&scope=site>

Shakhshir, G 2014, ‘POSITIONING STRATEGIES DEVELOPMENT’, Annals Of The University Of Oradea, Economic Science Series, 23, 1, pp. 979-988, Business Source Complete, EBSCOhost, viewed 7 August 2016,<http://ezproxy.deakin.edu.au/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=bth&AN=97635655&site=ehost-live&scope=site>

Sonam Joshi,2016,Domino’s India’s burger pizza is the fast food mashup of your dreams,Lifestyle, retrieved 5 August,2016, < http://mashable.com/2016/07/15/pizza-burger-dominos-india/ >

Suraj Ramnath,2016,Why Domino’s decided to launch a ‘Burger Pizza’,afaqs, retrieved 5 August,2016, < http://www.afaqs.com/news/story/48555_Why-Dominos-decided-to-launch-a-Burger-Pizza >

Neetu Abey George

Student ID:215418227

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