Home' Trinidad and Tobago Guardian : June 15th 2017 Contents JUNE 15 • 2017 guardian.co.tt BUSINESS GUARDIAN
NEWS | BG5
bet on pizza franchise
On May 31, two enterprising
young, local businessmen---
Daniel Fakoory and Omar
Hadeed---signed a deal that
allowed them to assume the
local ownership of the Dom-
ino's Pizza franchise which currently has three
locations: Diego Martin, Ariapita Avenue and
The new owners of the franchise say that
Domino's, one of the most successful interna-
tional franchises in the world, has struggled to
replicate that same success here in Trinidad,
but that's about to change.
Domino's is a large American pizza restau-
rant that was founded in 1960 and generated
2016 revenue of US$2.47 billion and profit of
US$214.7 million, which was down 30 per cent
The shares of the fast-food restaurant chain
declined by 7 per cent between the end of April
and June 9, according to an article on the Mot-
tley Fool's website.
"Although sales rose on an annual basis, they
missed the analyst consensus, and even worse,
earnings similarly fell short of expectations,"
according to Mottley Fool, which attributed the
company's performance to rising competition,
both within the pizza space and the fast food
world in general, and rising labour costs in its
main market, the United States.
The new owners have big plans for the fran-
chise. "Being current owners of another suc-
cessful franchise, Pita Pit, we know that the
model works. When a franchise fails to work,
more times than not, it's because of ownership.
You need to be involved, carefully manage every
aspect of the business to ensure each customer
gets what they expect,'' Fakoory explained.
Acknowledging that labour and forex short-
ages are major issues in Trinidad, causing some
other franchises to close their doors, the duo
believes that all problems have a solution and
they are intent on making Domino's a fun place
where employees will want to work.
Hadeed also explained, "The franchisor is
also very committed to our success and has
been making accommodations for us, under-
standing the shortage of US dollar currency.
We expect to rely heavily on their support to
further guarantee the success of the brand here
Questioned on why would they take over an-
other franchise, which will drain T&T's foreign
exchange, when they had the opportunity to
establish their own brand and retain more of
the value locally, the business partners said:
"The reason we chose to take over another
franchise was exactly that, because it was a
franchise. We choose to follow models that
have proven to be successful internationally
and adapt them here to our local market.
"From a businessman's point of view, the
opportunity to buy into a franchise like Dom-
ino's with support second to none, far out-
weighs the opportunity to develop our own
brand and expose ourselves to that learning
curve and risk.
"Furthermore, what made the Domino's
acquisition attractive to us was that we in-
herited an ongoing business with three stores
already in operations, if we had to set up these
stores from scratch we would not have been
Forex shortage's not an issue
They also said that the lack of foreign ex-
change on the local market was not going to
prevent them from grabbing the opportuni-
ty, especially as "the franchisor is prepared to
work with us through these challenges."
Asked which ingredients would the new
Domino's franchise import directly from the
franchisor and which ingredients would be
sourced locally, the entrepreneurs said: "In
2009/2010 Domino's did a complete overhaul
of their products and the ingredients that make
up these products.
"Since that time, the franchise is very firm
about buying from their approved supply
chain. This will ensure consistency with prod-
uct quality throughout the franchise network.
"Therefore, we intend to adhere to these pol-
icies and purchase the proprietary ingredients
that are responsible for the taste of the pizza
from Domino's recommended supply chain,
items such as the premix for the dough, pizza
sauces, cheeses and meats. Other ingredients
that are standard in taste can be sourced locally,
mainly the vegetables, such as mushrooms,
pineapple, sweet peppers, onions and so forth."
The way forward
When asked what can customers expect to
see differently from Domino's, the duo list-
ed some of their immediate focus points for
• Improved customer service is top of mind,
with further training of staff being necessary
to ensure the level of service expected by Dom-
ino's International is received.
• Faster and more reliable delivery with fur-
ther investments to increase their delivery fleet
with more delivery specialist to ensure drivers
are always on standby ready to deliver.
• Ensuring product quality by importing
through the Domino's approved supply chain
ONLY, instead of using substitutes. We are 100
per cent committed to this. We will ensure
that when you taste our pizza, it will be the
very same taste as any other Domino's pizza
worldwide. This is of paramount importance to
us. Expect new recipes and ingredients being
used in every pizza to ensure high quality and
great tasting products.
• Great value deals, we are known inter-
nationally and locally for our Two for One
Tuesday specials, we are looking to build upon
value combos like this and possibly add other
promotions to the lineup as we continue to
search for additional locations nationwide to
eventually serve the entire nation.
• Ensuring product availability, Domino’s
has a very robust network of suppliers, to en-
sure their franchisees always have access to
stock. When substitute suppliers usually run
low on certain stock, Domino's supply chain
always has, which is yet again another benefit
of sticking with their supply chain.
• Expanding our menu by introducing new
items such as pastas, salads etc. These new
items are very popular internationally, as it
gives much needed variety to the menu.
• Renovation of existing stores to the new
pizza theatre look as well as expansion to stra-
tegic locations nationwide.
Domino's pizza has over 14,000 locations
worldwide and has been the fastest growing
pizza franchise over the last decade. A lot of
their success came from their complete over-
haul of the product in 2010, as well as invest-
ments in technology, which has left the com-
petition in the dust. Domino's online ordering
platform makes ordering a pizza from your
phone, tablet or computer, so easy and fun.
The technology behind their online platform
has won awards internationally and has been
recognised as the best in the market.
The question of when online ordering would
be made available to customers here in Trini-
dad, both smirked and exclaimed, "It's already
on the way, standby!''
Fakoory added, “Going forward, customers
can expect to get a top quality, great tasting
pizza when they order from Domino's, and
further, they can expect to get this pizza de-
livered to them faster than anyone else. We
are known internationally as the pizza delivery
experts and now it's about time for Trinidad
to know why. ''
The new owners of the
Domino's Pizza franchise
in Trinidad, Omar Hadeed,
centre left, and Daniel
Fakoory, centre right,
pose for a photograph
with their employees at
the Diego Martin branch
of the operation.
Despite forex, labour shortages
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