Domino’s Pizza has established a strong competitive moat through its digital-first approach and franchise model excellence. The company’s digital sales now represent 85% of U.S. revenue. What’s more, the recent DoorDash partnership opens access to incremental customers, particularly in suburban and rural markets, while leveraging an already-robust delivery network.
A proven franchise model shields the firm from direct operational costs while generating consistent royalty streams and supply chain revenues. This creates predictable earnings even during challenging economic periods.
DOMINO’S PIZZA (New York symbol DPZ; www.dominos.com) operates the world’s largest chain of pizza stores offering takeout and delivery, with 21,358 outlets, in the U.S. and 85 other countries. Franchisees run most of these stores.
In the three months ended March 23, 2025, the company’s sales rose 2.5%, to $1.11 billion from $1.08 billion a year earlier. Same-store sales fell 0.5% in the U.S.—but rose 3.7% internationally. The pizza chain had a global net store decline of 8, including 17 net store openings in the U.S. and 25 net store closures internationally. Earnings per share rose 20.9%, to $4.33 from $3.58.
Domino’s Reach Expands Through Strategic Third-Party Delivery Partnerships
Domino’s added the DoorDash app for delivery orders across the U.S. starting in May 2025; it plans to expand the service to Canada later this year.
DoorDash orders are now being delivered by Domino’s drivers. Domino’s didn’t specify which cities are in the program so far, but has about 7,000 locations in the U.S. The company also uses the Uber Eats app.
The partnership should help Domino’s bring in more customers. It, like other restaurant chains, has been hit by weaker consumer spending. In the latest quarter, same-store sales for its U.S. company-owned locations declined 0.5% from the year before.
As more diners choose delivery, third-party aggregators have become an important channel. Domino’s and Uber Eats have had an agreement for over a year now. Currently, Uber Eats accounts for 3% of Domino’s sales, which totalled more than $19 billion in 2024. Domino’s charges a slight premium across its entire menu on Uber’s platform.
Meanwhile, Domino’s continues to innovate and add new products to attract and retain customers.
For instance, it recently launched its first-ever stuffed-crust pizza by adding a Parmesan-stuffed pizza to its permanent menu. The new menu item is made with a “buttery-flavoured crust,” stuffed with mozzarella, and topped with sprinkled Parmesan cheese and garlic seasoning.
To celebrate the launch, the company gave away $250,000 worth of free Parmesan stuffed-crust pizzas through its “Cheat Receipts” giveaway.
All in all, the pandemic was a boon for top pizza chains like Domino’s as consumers avoided public spaces and instead opted for delivery and curbside pickup. That boosted Domino’s, which was already outpacing rivals given its commitment to tech-enabled carry-out and delivery. Meantime, those moves are still paying off.
Domino’s raised its quarterly dividend by 15.2% with the March 2025 payment, to $1.74 from $1.51. The shares yield 1.5%.
All this bodes well for Domino’s profits—and future share price gains for investors.
Recommendation in Power Growth Investor: Domino’s Pizza is a buy.