“Personalized marketing is the key,” DiFrisco, managing director at Guggenheim Securities, said on “Power Lunch” Friday.
“They’re combining the digital investment with value proposition and also a tremendous amount of menu innovation,” he said. “They’ve combined that with the connectivity that digital allows them to have with their customer base.”
DiFrisco pointed out that 85 percent of the pizza chain’s menu falls under the $5.99 price point and has been added to the menu since 2010, the same year current Doyle became CEO.
On Sunday, Richard Allison, currently president of international business for Domino’s, will take over as CEO, leaving some investors wondering about the company’s continued growth prospects.
In the eight years Doyle has been chief executive, the company’s stock has risen nearly 2,000 percent. Domino’s overall market share in the pizza category went from 9.7 percent in 2010 to 16.4 percent in 2017, according to analysts at BTIG. The company’s market share in the pizza delivery category has also increased by about 10 percent since 2008.
In April, Domino’s beat earning estimates by nearly $100 million, causing its shares to surge by more than 7 percent. Domino’s credited investments in technology, such as Hotspots and artificial intelligence voice-ordering systems, as growth drivers.