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Domino's Pizza

A look at a key feature of Domino's business

The Future Foundation Report (2003) was commissioned by Domino's Pizza to analyse the social, economic, demographic and technological factors likely to impact on the UK pizza delivery and takeaway market for the remainder of this decade. The following are some of the key points raised by the report:

Lack of time - the research shows that, on average, adults in the UK eat out and/or eat delivered/take-away meals around 80 times a year. The Foundation looks at the impact of freeing up time normally spent on preparing food at home, as 'creating a time oasis'.

Higher levels of disposable income - real disposable household income is expected to increase by nearly 12% over the next five years resulting in more opportunity for expenditure on home delivered food.

Demographic change - over a twenty to thirty year period, the numbers of older people will continue to increase. The research suggests that firms in the home delivery market can benefit from this by building and keeping brand loyalty amongst a generation of people who have grown up as pizza consumers and whose incomes and affluence are likely to grow.

In addition, there is expected to be a decline in the traditional family structure, which coupled with increasingly individualised tastes, will result in fewer 'formal family meals' at home.

Leisure activities - the next decade will see more choice of a greater range of leisure activities. The research suggests that spending on home-delivered food and take-aways will continue increasing by 2.5% a year on average during the next five years.

Technology - In the short term, (the five years from the date of the report), more people will have access to interactive technologies, up from 70% today to 90%, and the number of broadband users will rise. These people will become better at and more confident about e-commerce and buying food online. The report indicates that home food delivery firms already active in this area are likely to be especially successful.

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