Domino’s Pizza, Inc. (NYSE:DPZ) Q2 2023 Earnings Call Transcript

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And so, Pinpoint Delivery is a great example that we just launched right now. It’s a technology innovation. We call those types of innovation tech-quity drivers, it drives our technology equity. But what it does too is it shows our consumers from an innovation standpoint, how incredibly obsessed we are with delivery. And whenever we do that, whether it’s, in this case, with Pinpoint, we built our own vehicle. If you remember years ago with the DXP, we have the electric vehicle launch earlier this year. When we show our customers that we are obsessed with the delivery process or even the ordering process, there are 20 different ways to order on those pizza, they realize and recognize that means we’re obsessed with every piece. And what that does is it drives long-term brand love.

And that’s why we are and we have to be delivering these aggregator orders, right? We are obsessed with delivery. We do have Pinpoint Delivery. We do have fleets of vehicles out there. And we do it because we think there’s a competitive advantage to owning the entire customer experience. And so that is why we’re really leaning in and making sure we were the delivery that us as the delivery experts, we’re delivering the pizzas that we’re getting through this platform were really important. So, you had a one-part question. I gave you a four-part answer to your one-part question. But as you can tell, we’re really excited about delivery here at Domino’s Pizza.

Dennis Geiger: That’s great. Thanks, Russell.

Russell Weiner: Sure.

Operator: Thank you. One moment for our next question. And our next question comes from the line of Gregory Francfort from Guggenheim. Your question, please.

Gregory Francfort: Hey, thanks for the question. Russell, my question is just around the data in terms of the new agreement with Uber and what you’re going to get. I think you put in the release a comment about getting sufficient data. What did you go into the negotiations wanting to have that relationship look like? And kind of what did you end up — what’s going to be the go-forward arrangement? Thanks.

Russell Weiner: Yes. Sure, Greg. On the data standpoint, it was really important for us to get the data that we need to have in order to analyze the incrementality of the platform. And so, we are getting that. We appreciate that in the partnership. The other thing and it probably hits you over the head, of course, but we are delivering the pizzas. And if we deliver the pizza, that means we need every piece of information in order to deliver that pizza, which is the customer’s name and address and contact information. And so maybe those two things, the ability to analyze the incrementality and the fact that we’re delivering the product, hopefully gives you a sense of what kind of data we’ll be getting here.

Operator: Thank you. One moment for our next question. And our next question comes from the line of Andrew Strelzik from BMO. Your question, please.

Andrew Strelzik: Hey, good morning. Thanks — excuse me, thanks for taking the questions. I guess this is a question really about value, but also about food costs. And I’m curious if you expect to continue realizing food deflation going forward? And I guess where I’m coming from is if the broader environment for delivery is pressured by price sensitivity or something like that, I mean, do you see an opportunity to maybe leverage deflation to alleviate some of those consumer pressures, or how do you think about that? Thanks.

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