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United Kingdom: Online Driving Growth At Domino’s Pizza

Britain’s biggest pizza delivery chain said sales at stores open a year or more rose 14.9% to £200m in the 13 weeks to 27 September.

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Fast-food chain Domino’s Pizza, which owns 47 outlets locally, has reported like-for-like sales in the Republic of Ireland for the third quarter that were up 14.1 per cent compared to the same period a year ago.

Revenue through digital channels in the United Kingdom was 35 per cent ahead of the third quarter in 2014 and more than 75 per cent of delivered sales in the year-to-date have been online in the United Kingdom, with more than half of thse placed through its dedicated mobile app.

Sales were helped by poor weather during the summer and by Domino’s sponsorship of the Hollyoaks soap opera, which has a young audience.

Domino’s is acquiring all 89 stores-comprising 12 corporate stores and 77 franchise stores-from Pizza Sprint owners Franck Guegan and Food Court Finance, Domino’s said in a statement today.

Domino’s shares opened 5% higher at $41.79.

The pizza maker said trading in its core United Kingdom business was “particularly robust”, driven by its continued investment in digital.

The group also updated its Europe long-term store count guidance to 1,500 stores from 1,350 stores, due to “the solid performance of the business in Europe recently, which is further enhanced through the acquisition of Pizza Sprint in France”. It said it was encouraged by its results in Ireland, where sales increased by almost 14% to €13.8m (£10.3m).

David Wild, Domino’s chief executive, said “We are delighted by this performance as our United Kingdom business goes from strength to strength, reflecting the success of our strategic and marketing initiatives”. “Our global businesses also continue to show encouraging signs of improvement”.

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He added: “We enter the final quarter of the year with good momentum, are confident of beating our previous expectations for the full year”.

US users can order food by tweeting the pizza emoji