Domino’s Pizza coming to Zambia

4
Domino's Pizza
Domino's Pizza

In an effort to develop its international footprint, Domino’s Pizza, Inc. (DPZ) signed a 15-year license agreement with Taste Holdings. The agreement, which includes a 15-year renewal alternative, pertains to the development of Domino’s brand in seven Southern African countries — South Africa, Lesotho, Swaziland, Namibia, Botswana, Zimbabwe and Mozambique. Thereafter, Zambia and Malawi will follow, if certain conditions are fulfilled.

(adsbygoogle = window.adsbygoogle || []).push({});

Johannesburg-based Taste Holdings operates almost 150 restaurants under the popular brands of Scooters Pizza and St. Elmo’s Pizza in Africa. As part of the agreement, most of the franchise stores of Taste Holdings will be converted to Domino’s Pizza outlets.

(adsbygoogle = window.adsbygoogle || []).push({});

Domino’s stepped into the Africa continent with a debut in Nigeria in collaboration with its master franchisee, Eat ‘N’ Go Restaurant Group, in 2012. The company has since then been successfully operating in the region, fuelled by competitive pricing and adapting its menu to the local culture and food.

Taste Holdings’ agreement with Domino’s comes on the back of a Sub-Saharan Africa economic renaissance, which is fueling an investment drive by fast-food joints looking to capitalize on the continent’s growing middle class income. Further, with growing political and economic stability, foreign fast-food brands are approaching the region with renewed optimism.

According to a 2012 report by consulting firm, McKinsey & Company, consumer-facing industries across Africa are expected to grow about $410 billion by 2020. Of this, roughly 45% or $185 billion is expected to come from apparel, consumer goods and food businesses.

In fact, Domino’s Pizza has become the top pizza company in several international markets like India, South Korea, Turkey, Australia and France. The company’s international operations have an outstanding record of 20 consecutive years of positive same-store sales growth. In our view, Taste Holdings stands to benefit from the solid performance and expertise of Domino’s’ international business.

Domino’s Pizza is not the only fast-food joint seeking to tap into the economic boom in the Sub-Saharan region. In 2013, Yum! Brands, Inc. (YUM) — the parent brand of KFC, Taco Bell and Pizza Hut — announced plans to expand into Tanzania, Uganda and Zimbabwe. Additionally, the company has plans to strengthen its footprint in South Africa.

Among others, Burger King Worldwide, Inc. (BKW) also started operations in South Africa in May, last year, while McDonald’s Corp. (MCD) is already an established brand in South Africa.

Domino’s, currently, carries a Zacks Rank #3 (Hold).

(adsbygoogle = window.adsbygoogle || []).push({});

4 COMMENTS

  1. The poly tunnel retains warmth and moisture and this enhances better growth.

    t forget to include hardscape features such as fences and other garden decorations.

    Do not use fabric softener because it has a large proportion of sodium-based
    compounds.

  2. These are just a few of the strongest and most effective homemade hair coloring ideas.
    Here are a few hair coloring tips for various skin types:
    . You can choose the latest outfits from fashion forward brands such as SKY, Laguna Beach,
    Bulzeye, True Religion, Bertigo and Savee Couture, among others.

  3. Тhis is the right bkog fօr everyoone who hopes to find out about this toρic.

    You realize so much its almost touǥh to argue with you
    (not that I really would wɑnt to…HaHa). You definitely put a fresh spin oon a topic that’s been written аbout for a lng timе.
    Excellent stuff, just great!

LEAVE A REPLY