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Internet helping giant pizza chains destroy the little guys

Big pizza chains use Internet ordering to crush the little guys

| Internet & Websites News | Posted: Feb 9, 2014 2:34 pm

Major pizza chains are able to use customized online ordering systems to woo Internet users, while mom and pop shops are having trouble trying to keep up. Papa John's, Domino's Pizza, Pizza Hut, and other large chains are able to support online ordering using automated systems tested across multiple locations - but smaller local pizza shops traditionally need to use walk-in and telephone orders to handle customer interactions.

 

TweakTown image news/3/5/35347_01_internet_helping_giant_pizza_chains_destroy_the_little_guys.jpg

 

Younger customers are more inclined to order delivery through mobile or online services ,with smart TV and game consoles giving customers the chance to easily place orders.

 

"Most of the small and regional chains who still continue to sell the majority of the pizza in the U.S. simply aren't able to play on these technology platforms with the level of sophistication that we have," said Patrick Doyle, Domino's CEO, during an investor's financial call.

 

Local pizza shops often provide lower prices, better service and higher quality pizza, but trying to compete with organized online ordering is difficult. However, services such as Eat24 level the playing field, though larger corporations can more easily afford to pay the commission per order. Even so, the larger chains tend to be able to provide bigger online ordering coupons and discounts, making it more appealing for those just looking for a quick meal.

NEWS SOURCESBlogs.wsj.com, Huffingtonpost.com

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