Domino's prices keep rising. America's biggest pizza restaurant announced domestic sales growth but bad news for those on a budget.
Domino's third-quarter same-store sales gained 2% in the U.S. and revenue jumped 7.1%, a stronger showing than in the company's
second quarter when it had labour shortages, especially among delivery drivers. Domino's says pricing rises this year boosted sales.
In January, $7.99 carryout became digital-only. In March, the pizza giant hiked its Mix and Match delivery pricing from $5.99 to $6.99. Now, carryout prices will also rise.
Domino's CEO said raising delivery mix-and-match from $5.99 to $6.99 was the appropriate choice. Given inflation, our analytics suggest we price our nationwide carryout package.
During inflation, the corporation bets on carryout over delivery.
Due to fees and gratuities, inflation would affect delivery more than carryout, the business informed investors.
The numbers show: Domino's carryout sales climbed 20% in the third quarter, but delivery sales fell 7.5%.
The firm has been "aggressively recruiting" carryout diners for years and thinks this leg of its business would thrive during inflationary times when shoppers seek value brands.
The Mix & Match deal offers medium pizzas, pastas, and sandwiches for $5.99 each. On October 17, prices will rise.