Tuesday, September 8, 2009

Domino’s Pizza - Mobile commerce growing at astounding rate

Domino’s Pizza is driving traffic to its newly optimized mobile Web site with mobile advertising and seeing a surge in revenue from its mobile commerce platform.

While the pizza franchise continues to invest heavily in traditional media, it has seen significant growth from its mobile initiatives and plans to increase its investment in the mobile channel going forward. In addition to promoting its mobile site on Dominos.com and via email blasts, the company partners with mobile ad networks and with publishers directly to run banner ads across most of the top 10 mobile Web sites in the United States, including Pandora, ESPN and CNN.

“Mobile is a rapidly growing segment of our business, one that we expect to grow for years to come,” said Rob Weisberg, vice president of multimedia marketing at Domino’s Pizza, Ann Arbor, MI. “A major growth agent for our company over the last few years has been online ordering in the digital space. “A lot of what we get to see that’s occurring in our Asian markets and places like Iceland—mass consumer adoption of mobile commerce—it’s a crystal ball for what’s to come in the U.S. market.”

Mobile coupons have been increasingly relevant for consumers—and thus an increasingly effective tool for brands—during the current recession. Domino’s mobile coupons are tailored to consumers’ ordering history and are often time-sensitive. “We send out coupons via SMS that are relevant to you as an individual, an offer that’s strong and takes you to the site and all you have to do is hit confirm,” Mr. Weisberg said. “As far as our system-wide average, 85 percent of our business is delivery, and because of that, we know who you are, your name, address, phone number and what you’ve ordered in the past..

“By opting-in to receive these communications, you’re ensuring that you’ll receive the strongest deals Domino’s has to offer, mobile coupons that link directly back to our mobile ordering site,” he said. “In terms of ease and convenience of the transaction, mobile commerce can’t be beat.”

Domino’s believes that the importance of the mobile channel for its bottom line will only continue to grow.
“What gets us excited about the mobile space? You walk out of your home with your wallet, your keys and a third-screen—the three screens are TVs, computers and smartphones with a data plan,” Mr. Weisberg said.
“People are taking that third screen wherever they go, and mobile phones are one of the few things that aren’t shared, so we know exactly who we’re talking to via that mobile device,” he said. The hectic pace of modern life also makes mobile an indispensible channel for businesses. “Consumers are time starved, and as far as making meal decisions, 72 percent of consumers don’t know what they’re going to have for dinner at 4:30 p.m.,” Mr. Weisberg said. “Most people don’t plan that far ahead because of the time-starved nature of the world today, so our goal is to connect with consumers around that time of day, which is a major objective for quick-service restaurant companies like us. “The mobile screen is an opportunity to engage with them in a way that is relevant to them via SMS offers, mobile coupons,” he said. From Mobile Marketer at http://bit.ly/16Otap

For more information contact Andrew at damico@zipstripe.com

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