(Domino’s franchise business image courtesy of Wikimedia)
Domino’s Franchise: Learn How To Own A Domino’s
Did you know that Domino’s is one of the largest pizza franchise businesses in the world? Check this out.
Domino’s (as of the second quarter of 2018), operated a network of more than 15,000 franchised* and company-owned stores in the United States and over 85 international markets.
*In the United States, 93% of Domino’s are franchises.
Additionally, 90% of the franchise owners started their careers as pizza makers and/or delivery drivers etc.
And speaking of Domino’s franchise owners, if you buy a Domino’s pizza franchise, you’ll be provided with in-store and classroom training that’s focused on operating your franchise smoothly and profitably. That’s part of the cost of a Domino’s franchise.
Finally, and this is big, Domino’s stores sell 3 million pizzas a day.
So, are you ready to learn how to buy a Domino’s franchise?
Domino’s Franchise History
The Domino’s franchise empire began in 1960, when Tom and James Tom Monaghan purchased “DomiNick’s,” a pizza place in Ypsilanti, Michigan. By 1965, Tom was the sole owner and renamed the business “Domino’s Pizza.”
By 1967, Domino’s Pizza became a franchise business, and (interestingly enough) the first franchise location opened its doors in…Ypsilanti, Michigan.
- By 1983, Domino’s was on a major roll.
- The 1,000th Domino’s store opened
- Domino’s first international store opened in Winnipeg, Canada
- The company opened their first Australian location
- And to top things off (pun intended) by 1995, Domino’s was the fastest-growing pizza company in the U.S.
(Domino’s delivery vehicle image courtesy of Wikimedia)
A Business Glitch
Without exception, fast-growing companies experience problems.
That said, sometimes these problems are larger than life-literally, as was the case with Domino’s, way back in 1973. Here’s what happened.
In a surprising move, Domino’s decided to offer a “30 minutes or it’s free” pizza delivery guarantee.
Specifically, if the Domino’s pizza delivery driver didn’t deliver your pizza to your home in 30 minutes or less (after ordering), your pizza would be free.
To be sure, the guarantee did help the Domino’s Pizza brand get known for it’s fast delivery. But it wasn’t without consequences.
Pizza Delivery Becomes Dangerous
In 1992, an Indiana woman was killed by a speeding Domino’s delivery driver, and her family sued Domino’s. Domino’s lost the suit, and ended up paying the family $2.8 million.
Following that, a woman who was injured when a Domino’s delivery driver ran a red light and collided with her vehicle. She sued Domino’s in 1993, and was awarded almost $80 million (she ended up accepting $15 million). The end result? The 30 minute guarantee was dropped.
Still Delivering Pizza
Even with the horrible things that happened, the team at Domino’s franchise headquarters made the decision to remain in the pizza delivery business. They’re just more careful about how they go about doing it. And how they word their guarantees.
(Pizza image from Wikimedia)
Owning A Domino’s: Cost Of A Domino’s Franchise
Here are the initial costs of a Domino’s franchise business.
- Initial Investment: $119,950 to $461,700
- Liquid Cash Requirement: $75,000
- Franchise Fee: $25,000
- Royalty Fee: 5.5%
- Ad Fund: 3%+
Additionally, franchisees cannot go below 51% ownership and they must oversee store operations personally.
Domino’s Theater Concept
Domino’s franchising has come up with a new store design, and it’s sharp. Look:
All in all, Domino’s looks like it will continue dominating the delivery side of pizza.
In conclusion, if you’re thinking of owning a pizza business, and brand recognition is a major part of why you want to get into the business, Domino’s certainly has it. Plus, pizza is popular, and will remain so for years to come.
So, do you think a Domino’s franchise is right for you?
Domino’s Franchise Score
This pizza franchise is worth a look. Because:
1. Domino’s branding is off-the-charts.
2. This franchise dominates pizza delivery.
Furthermore, I suggest buying 3 or more units, so you can make a serious go of this franchise business opportunity.
Domino’s sells around 3 million pizzas a day.
Domino’s is one of the largest pizza franchise businesses in the world, with 15,000 franchised and company-owned stores around the world.
Domino’s opened their first franchise in 1967, in Ypsilanti, Michigan.
If the Domino’s pizza delivery driver didn’t deliver your pizza to your home in 30 minutes or less (after ordering), your pizza would be free.