REPORTING SEGMENTS: Domino’s Pizza Business Model
DOMESTIC STORES
- More than 90% of stores are franchised
4,475 Franchise Stores
ROYALTY
INCOME
- Company-owned stores utilized as
454 Company-Owned
Stores
STORE
PROFITS
• Liquid market for acquisition/ divestiture of stores, as appropriate
• P
roving ground for products,
technology and operational
testing
• Source of earnings to company
INTERNATIONAL
4,422 Franchise Stores
6 Company-Owned
Dough Manufacturing &
Supply Chain Centers
ROYALTY
INCOME
- We primarily use a master
franchise model in which master
franchisees can sub-franchise and/
or directly operate stores
- International distribution centers
are primarily franchisee-owned
INTERNATIONAL - Similar store model to U.S. stores,
with modified menus
SUPPLY CHAIN
PROFITS
- Currently, Domino’s has no
Company-owned stores in
international markets
SUPPLY CHAIN SERVICES
17 Dough Manufacturing
& Food Distribution
Centers
1 Equipment & Supply
Facility
- Ensures quality and consistency
- Leverages purchasing power across
the system
SUPPLY CHAIN
PROFITS
1 Vegetable Processing
Center
WORLD RESOURCE CENTER
- Enhances partnerships with franchisees through 50% profit- sharing program
- Allows stores to focus on sales and customer service
Administrative resources for our worldwide system of stores:
•Accounting
•Communications/Public Relations
•Finance
•Franchise Development
•Franchise Operations
•Franchise Services
•Human Resources
•Information Technology
•Investor Relations
•Legal
•Marketing
•Operations Training
•Purchasing/Supply Chain
•Quality Assurance
•Real Estate Services
•Safety and Security
Three business segments drive sales and profits, supported by the World Resource Center in Ann Arbor, Michigan.
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