What the numbers say: Domino's leads in pizza chain sales with 30.8% of the market, followed by Little Caesars, Papa John's, and Pizza Hut. After the epidemic, delivery via Uber, DoorDash, and other third-party applications soared, accounting for 14% of pizza sales in the year ended May (up from 4% before the pandemic), with sales totaling $4.7B, according to Circana. Domino's Chief Executive Russell Weiner stated that by adding its menus to Uber's applications, Domino's hopes to create $1B in additional sales. Relevance: Domino's Pizza, previously opposed to partnering with food-delivery companies, has now struck a deal with Uber Technologies to make its menus available on Uber Eats as delivery apps continue to thrive amidst lockdowns and growing demand for delivery. Also, In April 2023, Domino's reported a 2% decrease in same-store U.S. delivery sales over the same period last year. Pizza Hut and Papa John's International, rivals of Domino's, have previously negotiated contracts with food delivery services. More data: After the COVID-19 outbreak struck, slice businesses profited from increased orders as individuals sought refuge at home, but their sales rise is now slowing. Sales for pizza chains totaled $29.7B in 2022, an increase of 2% from 2021, according to Technomic. Until the end of the year, Uber will advertise Domino's menu in 14,000 eateries, or around 70% of the chain's locations, as part of a partnership that may also apply to other applications. NOTE: Inside.com founder and CEO Jason Calacanis is an investor in Uber. |
