Domino’s Ponders Consolidation Of Regional Advertising and Promotions

ANN ARBOR, MICH. – Domino’s Pizza Inc. officials apparently want to breathe new life into local promotions and put up to an informal vote whether or not it should consolidate its regional advertising – now split five ways – with one agency.
A Domino’s spokesperson confirmed last week that at a recent marketing meeting with franchisees Domino’s officials asked a ‘hypothetical question’ of the attendees how they would feel about using one agency to handle local marketing.
‘About half the people liked it, and half didn’t like it,’ a spokesperson said. ‘No plans are in place to change the system. It was just a topic for discussion.’
The estimated $18-20 million business is split up regionally: Ross Roy Advertising/Bloomfield Hills, Mich. handles the largest portion in the Midwest; Eisaman, Johns & Laws/L.A. handles in the West; Point Communications, Dallas, handles business in the Southwest; The Joey Reiman Agency, Atlanta, handles in the Southeast; and Freed & Associates/Baltimore handles the East.
Grey Advertising/N.Y. handles Domino’s $60 million national business.
But insiders say that Domino’s, which has struggled from competitors Little Caesar’s and PepsiCo’s Pizza Hut, has been trying to create uniform promotions to use throughout its network with little success. And insiders say that the company may eventually try to put the question up to a more formal vote in an effort to boost sales.
Insiders say Ross Roy, which had the national business for 16 years through its Group 243 unit until 1991, would be in line for any consolidation, mainly because of its heritage on the business and its work in the Midwest region.
Domino’s insiders say sporadic local spending was one reason Bayer Bess Vanderwarker/Chicago dropped the Midwest local business last year.
Copyright Adweek L.P. (1993)