New Domino's Pizza Recipe Doubles Quarterly Profits

According to the New York Daily News, “Admitting the bland truth, then cooking up a strong campaign about its new pizza recipe helped Domino’s ring up better-than-expected profits and sales.”

“Curious customers trying out the new pizza taste helped quarterly profits more than double to $23.6 million. Execs have said the chain decided to start overhauling its recipes more than 18 months ago after mounting criticism from focus groups and on social media sites. In a series of documentary-style spots, Dominos admitted that its old recipe left customers complaining its pizza crust tasted like cardboard and its sauce was reminiscent of ketchup. The company began promoting its new pizza pie, which has a new sauce and cheese combination and herb- and garlic-flavored crust, in December. That helped sales grow to $462.9 million from a year-ago’s $428.2 million. In the U.S., sales grew 1.4% on higher traffic, while overseas sales – which comprises nearly half of global retail revenue – they increased 3.9%.”

Read more: http://www.nydailynews.com/money/2010/03/03/2010-03-03_a_recipe_for_success.html#ixzz0hDdiu1Za