DP Poland PLC Progress Update (5268I)
July 26 2012 - 2:00AM
UK Regulatory
TIDMDPP
RNS Number : 5268I
DP Poland PLC
26 July 2012
DP Poland plc
Progress update
DP Poland, the owner of the exclusive rights to develop and
operate Domino's Pizza stores in Poland with 13 stores currently
operating in Warsaw, today provides the following progress
update.
During 2012 we have been focused on driving towards profitable
store sales through a range of marketing activities, identifying
the optimal means of building the brand and promoting trial and
repeat initiatives. The key objective is to build a loyal customer
base for each store, allowing us to actively engage and encourage
repeat purchase.
With a critical mass of stores in Warsaw, we have been able to
commit central advertising funds to support our monthly promotions
and directly support the day to day marketing activity at
individual store level. This central advertising support commenced
with an outdoor poster campaign in February supporting our 'Full
Tuesday' promotion of any large pizza for the price of a small.
Tuesday sales saw a significant uplift during and after that
campaign and 'Full Tuesday' has now become a regular part of the
promotional mix.
In March we celebrated our 1(st) birthday in Warsaw with a
campaign of outdoor posters, posters and digital screens in trams
and underground, commuter press and radio and online advertising.
As well as accelerating sales growth we believe that this campaign
boosted our general brand salience in Warsaw.
In April we launched two special edition pizzas under the
campaign line 'Beauty and the Beast' which was supported by a
strong radio campaign and online advertising. Both pizzas were well
received and one has now become a regular on our pizza menu.
In May we introduced our any time Domino's Duo (2x medium) and
Domino's Super Duo (2x large) offers on radio and online. These two
offers have now become established as two of our most popular
promotional offers and drive a bigger average check at a good
margin.
June, which included the UEFA Euro 2012 competition co-hosted in
Poland, was our biggest trading month and included our two highest
trading days to date. Our campaign in June focused on speed of
service, communicating the message that customers would receive
their pizza within 30 minutes of ordering. This was of particular
relevance as many roads in Warsaw were closed to give fans
pedestrian access to the football stadium and as a result traffic
was predicted to be heavier than usual. We also launched two
special edition pizzas in June, Tropical Hot and Piquante, both of
which have been good sellers.
As well as monthly promotions we have also conducted a
significant number of one off promotions, including a Valentine's
Day promotion of Lava Cakes and numerous store specific events.
These short term promotions have proved very effective in driving
traffic, particularly when supported by text and email
communications to existing customers.
To mark the opening of our thirteenth store we introduced the
concept of a daily pizza at a promotional price, attracting
customers and encouraging them to try a particular pizza on
promotion, or to select from the full range on our menu. As a
result this store is already in the top five stores on a monthly
sales basis.
The proportion of online sales to total sales continues to grow
and the proactive management of our Facebook page has seen
significant increases in fans of Domino's Pizza Polska and a high
level of interaction from those fans on our page, a critical
indicator of engagement. We believe that online will become an
increasingly important sales channel and an increasingly important
part of the marketing mix. We intend to launch a state of the art
mobile app in the second half of the year.
At the heart of the Domino's Pizza brand is high quality pizza,
courteous service and speed, our average delivery time from placing
an order to the customer receiving it is less than 22 minutes. Our
customer research confirms the quality of our offer. Our franchisor
Domino's Pizza International confirms that the standard of our
operations, the image of our stores, the quality of our product and
the speed of our service are of the highest standards. Key to our
success is to powerfully market that proposition.
Peter Shaw, Chief Executive, commented:
"We have made significant progress in the effectiveness of our
sales and marketing effort and everything we are doing is
confirming our belief that there is huge potential for the Domino's
Pizza brand in Poland. As we grow we are gaining the benefits of
being a larger and more established business and this is creating
more opportunities across the board. We are now in a good position
and have the core marketing infrastructure and knowledge base in
place to take the business onto the next stage of its
development."
26 July 2012
Enquiries:
DP Poland PLC c/o College Hill: 020 7457
Peter Shaw, Chief Executive 2020
www.dppoland.com
College Hill
Matthew Smallwood / Jamie Ramsay 020 7457 2020
Seymour Pierce
Guy Peters 020 7107 8000
Notes to editors
DP Poland is the owner of the exclusive rights to develop and
operate Domino's Pizza stores in Poland, through its wholly owned
subsidiary DP Polska SA. The Company currently operates 13 stores
in Warsaw.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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