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New Delhi, Nov. 18: Domino's Pizza India Ltd, which came to India seven years back, has achieved breakeven and its profitability will be reflected in the current financial year.
“We have achieved breakeven this year. Business is growing and there is a likelihood that we will be listed in the next two to three years and offer equity options to our employees,” Domino’s Pizza India CEO Arvind Nair said.
Equity options are becoming quite popular in the service-driven food and hospitality industry. Barista and Amalgamated Coffee Beans — owners of Cafe Coffee Day has already offered stock options to their employees. Domino's has 1,800 employees, of which about 400 are part-timers.
Domino’s Pizza India is the master franchisee for India, Nepal, Bangladesh and Sri Lanka. It is promoted by the Bharatiyas of the Jubilant Organosys group who have a 62 per cent stake. The remaining 38 per cent is owned by investment banker J. P. Morgan. Domino’s Pizza India is also in the process of opening its maiden outlets in Bangladesh and Nepal in a year, Nair said.
Internationally, Domino's is a $3.54 billion behemoth with over 7,096 owned and franchised stores in the US and 64 international markets. Worldwide Domino's is famous for its ‘delivery’ model and not for ‘sit-ins’. In India, too, they follow the same model, though some ‘sit-in’ joints are thrown in, if the location is right.
In India, Domino's has 90 outlets in 24 cities with a population of five lakh plus. Speaking of expansion plans, Nair said, “In the next one year, we will like to open about 10 new outlets. All outlets of Domino's are company-owned and the properties are taken on lease.”
While Domino’s focus is exclusively on pizzas, it has now launched Cinnastix, a cinnamon-flavoured sweet side order. This will involve a marketing spend of Rs 2 crore. Last year, it had launched garlic breadsticks in India.
Domino’s offer around 20 varieties of pizzas and they are available in a price range of Rs 69 to Rs 339.
The pizza market in India is estimated to be growing at a rate of 10 per cent. Pizza is part of the rapidly growing quick service sector, which is estimated to be about Rs 400 crore. Nair said, it is difficult to gauge the only pizza market.
Some key players in the retail pizza business include Domino's, Pizza Hut, Pizza Corner, Pizza Pizza, apart from the plethora of fast food joints which offer pizza on their menu.