Domino’s Pizza (DPZ) Oppenheimer's 24th Annual Virtual Consumer Growth and E-Commerce Conference summary

Market positioning and value strategy

• Maintains strong value perception, especially in carryout, due to disciplined pricing and focus on profitability, resulting in transaction growth across all income cohorts in early 2024.

• Strategic price increases in 2022 and 2023 were followed by a hold on further hikes, supporting franchisee profitability and customer satisfaction.

• Expects continued transaction growth for the remainder of 2024, leveraging the Hungry for MORE strategy focused on transaction growth.

Growth algorithm and strategic pillars

• Targets at least 7% annual retail sales growth, 3%+ same-store sales, 1,100 net new units, and 8%+ operating profit growth.

• U.S. growth driven by loyalty program relaunch and expansion into third-party aggregator marketplaces, with Uber Eats as the initial partner.

• International growth underpinned by the MORE pillars and strong performance in India and China, despite short-term headwinds in Europe and the Middle East.

Loyalty program and third-party delivery

• Loyalty program relaunch in late 2023 is driving accelerated membership and frequency, with multi-year growth potential based on historical compounding effects.

• Enhanced redemption options and lower transaction thresholds are increasing engagement and acquisition.

• Uber Eats partnership aims for a 3% sales mix by year-end 2024, with plans to add more partners after the exclusivity period ends in Q1 2025.