Post #4400446

'In a bid to protect profit margins against rising inflation, DPE intentionally cut back on lower-margin discount promotions. However, the tactic backfired. Instead of driving bigger profits, it killed off customer order volumes entirely. 'As a result of that, they’ve actually had a reduction in order counts where the ticket increase has not been able to compensate it. 'With new leadership taking the reins at DPE, the US headquarters is expecting an aggressive return to value-focused deals down under to entice budget-conscious Aussie pizza lovers back through the door. 'It’s a squeeze [stressed economy] that ... is piling immense pressure on an industry that is seeing the second worst rate of collapses, behind only the construction industry. 'By contrast [to chicken], pizza’s share has been under pressure. In the high-inflation environment that we have at the moment, a whole pizza can sometimes be expensive for a smaller household compared with burgers or chicken. And sometimes the supermarket ready meals or their ready pizzas can be a cheaper alternative to what a traditional pizza can be'. '[FY 2025] was their [Domino's] worst in over 20 years ...' https://www.news.com.au/finance/business/retail/dominos-scraps-5-deals-closes-stores-in-major-shakeup/news-story/108f5f22ec83f457c5a0a68241700946