DOMINO’S PIZZA FOCUS ON TAKEOUT IS PAYING OFF Domino’s Pizza reaffirmed its long-term outlook as it enters fiscal 2020 facing headwinds from higher food costs, foreign exchange and competition from third-party delivery services, like Uber Eats and Skip the Dishes. This past October, the pizza chain released a three-year outlook that had the company expect- ing U.S. same-store sales growth in a range of 2% to 5% and global retail sales growth of 7% to 10%.
DECADE DOES NOT END WELL FOR BOEING For the first time in decades, Boeing’s commercial airplane business lost orders over the course of an entire year, showing just how much impact the 737 Max crisis has had on the company. For all of 2019, Boeing lost orders for 87 commer- cial airplanes, meaning it had more cancellations than new purchases for the year, which has not happened at Boeing for over 30 years according to spokesperson for the company. The negative number is especially painful when compared with European rival Airbus, which logged orders for 768 new planes for 2019.
The rise of third-party delivery services has put pressure on Domino’s own sales as customers now have a wider range of food options. But the pizza chain focus on growing its carryout sales, seems to be working as it now represents 45% of its U.S. sales, and Domino’s believes that it can keep growing those orders, which are usually more profitable for its business.
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FEBRUARY 2020 • SPOTLIGHT ON BUSINESS MAGAZINE
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