pizza
Online sales are the highlight of Domino's results

Online sales bolster Domino's Pizza results

Online orders double

Written by Angelica Mari

Financial results at Domino’s Pizza were a bright spot in the otherwise gloomy conditions of the retail sector, largely due to its positive performance in the online channel.

The food retailer saw an increase of 19.5 per cent to £170.2m for the 26 weeks ended 29 June, compared to last year’s figure of £142.5m. Profit before tax also increased by 32.7 per cent to £10.9m, compared to the £8.2m reported in 2007.

Advertisement

Total sales via Domino’s online platforms reached £25.3m, representing an increase of 85.1 per cent on the £13.7m reported last year. The company says its e-commerce operation now accounts for 21.8 per cent of delivered pizzas sold in the UK (in 2007 it held a 16 per cent market share) and generates a “higher than average” ticket value.

Last year, Domino’s invested heavily on a series of digital multi-channel retail platforms, including the launch of SMS and a virtual store on Second Life and has no plans to slow down IT investment geared at client-facing projects.

“If we were in a different business, we would need to look at the economics, but consumer-facing projects would be the last place we would look to reduce costs,” said Jane Kimberlin, IT director at Domino’s Pizza.

“You have to be strong enough to continue investment in that area even during an economic downturn, as the good times will come back and customers will be loyal to the business that has looked after them,” said Kimberlin.

Comments

White papers

Related jobs

More Accounting jobs

Spotlight

Ted Bell, Abel and Cole FD

Profile: Ted Bell, FD of Abel and Cole

The combination of the online shopping boom and a hunger...

Top 30 Accounting Networks and Associations 2008

The race to become the biggest firm on the planet...

Barack Obama Accountancy Age cover October 2008

Obama: asset or liability?

What an Obama presidency could mean for you

Find your next job

Find your next job
Salary Checker

Job of the week

More finance jobs

Newsletters

Sign up here for the very latest news delivered to your inbox. Choose from the following options:

Your next job

Have your say

Will proposed tax cuts help to stimulate the economy?
Yes
No

Advertisement

Search white papers

Search white papers

Advertisement