Technology driving Domino's growth at home and abroad

Pizza chain Domino's said this week that its like-for-like (LFL) sales in its home US market grew 7.7% year on year during the third quarter, while its international division reported a 7.1% jump in revenue.

Net income of $35.6 million was reported for the three-month period, which represented a 16.3% increase on last year and was said to be driven by domestic and international same store sales growth, the opening of more stores and increased supply chain volumes.

Patrick Doyle, the group president and CEO, and UK and Europe CEO David Wild have both commented on how Domino's deployment of technology is driving the business forward, too.

"Great people, food, service and technology have helped us deliver another strong quarter of global sales and profits," Doyle explained this week.

"Our franchisees continued to drive vigorous store growth worldwide."

Earlier this month, in a separate trading statement, Wild credited the organisation's digital strategy for a continued growth in sales figures. It is a strategy that has contributed to Dominos now recording 83 consecutive quarters of international like-for-like revenue growth.

Some 70.9% of UK delivered sales were conducted online, with 49.3% of sales involving a mobile device – highlighting the wide consumer adoption of Domino's website and app.

"We are delighted with the like-for-like performance in our core UK business and remain on track for our targeted new store opening programme," said Wild.

"We are building on our success online with the roll-out of our new website and a series of enhancements to continue to make it easy for our customers to order Domino's."

In the 13 weeks to 28 September 2014, UK sales totalled £165.7 million and LFLs were up 12.9% compared to the same period last year. Republic of Ireland and Switzerland also recorded LFL growth, but Germany's comparative sales were down 9.9% as the business continued to realign its store portfolio in the country.

Domino's opened a net 160 stores across its global estate in the third quarter, with 13 opening in the UK alone. Between 40 and 50 stores are expected to be added to the UK portfolio this year.