The company unveiled a fresh offer at the investor event, which BTIG analyst Peter Saleh said showed Domino’s was “now beginning to fight back more aggressively.” It’s a late-night offer meant to counter heavy promotional and marketing activity.
Domino’s is launching a 20 percent off promotion after 9 p.m. The deal specifically targets the post-dinner/late-night daypart where quick-serves generate a sizable amount of delivery sales, “and that Domino’s admittedly hasn’t captured as effectively and they would like,” Saleh wrote in a Monday note. It reached Domino’s digital marketing channels to start the week.
The brand also spoke about its autonomous vehicles with Nuro and e-bikes created by Rad Power Bikes. Saleh wrote the first presents a cheaper model for guests (no tip) but is also more burdensome as it often requires coming to the curb to retrieve food. That, to some degree, limits the bad-weather lure of delivery. The custom, unmanned vehicles, known as R2, are an opt-in feature for guests who receive a unique PIN code to unlock the compartment and grab their pizza. They’re set for a fall test in Houston.
E-bikes enjoy materially lower insurance and delivery costs and provide a wider pool of employees by not requiring car ownership. Domino’s announced in August it was bringing the e-bike platform national after tests in Houston, Miami, and New York.
Tom Curtis, Domino’s EVP of corporate operations, said pilots saw improvements in overall delivery and service, as well as labor benefits. Delivery employees don’t need licenses—a big deal in urban markets.
Curtis added that stores already delivering with traditional bikes witnessed improved employee satisfaction thanks to e-bikes. “Hundreds” of them are planned to roll out across company units throughout Miami, Salt Lake City, Baltimore, and Houston later this year.
Unlike regular bikes, these have small, integrated motors and can run 25–40 miles depending on the user before needing a recharge. Importantly, Domino’s custom built models to include front and rear insulated soft-sided cargo areas to hold Heatwave bags, drinks, sides, and dipping cups. A single e-bike can carry up to 12 large pizzas and hit a top assisted speed of 20 mph.
Additionally, Domino’s GPS tracking is expected to launch systemwide by the end of 2019—an innovation Allison said would “bring even further transparency to the experience of tracking an order.” It also helps operators manage efficiency around delivery operations better.
Domino’s voice-ordering system, DOM, is currently in multi-market tests (more than 40 corporate units).