This report focuses on the marketing activities by Pizza Hut, Dominos and Papa Johns as part of the fast food market. The article has looked at culturally diverse marketplaces being China, India, USA and Mexico. Considering the various civilizations through an etic procedure the report aim to convey the different degrees of standardization and version that companies have attempted to determine in international market segments. With the marketing activities which have been carried out by each company respectively, this article forms a reference to cultural theories by theorists like Hofstede and Hall with the aim to establish which company is standardized or either adapted.
In value to the advertising activities, each company has been alert to meet local civilizations in different countries. Eliciting replies that incorporate culture specific aspects like the Guan-xi and the Compadre in high context cultures and catering to the needs of low context cultures with increasing factual research in countries like USA, the preferred companies show their high levels of local responsiveness. Throughout the statement it is apparent that contain targeted their advertising with their standardized business design focusing on internal eating or a delivery system or even a standardized idea of the grade of products.
Sales promotions done by these businesses have brought to light the increasing elements of standardization as consumers are becoming increasingly technologically advanced in this mobile generation. Domino's has standardized its technical efforts gaining a competitive advantage giving customers the ability to see the exact location of these pizza during produce, customization of the pizza, online delivery etc. these companies are also quick to gain public attention through local public press portals.
Pricing affecting the level of standardization and version, as this information reflects. Suffering from differing financial levels in various countries along with the stage in the product life cycle come to affecting the amount of standardization. Customer personal preferences and their disposable incomes also play a substantial role on costing and through the use of companies like Domino's, Pizza Hut and Papa John's this record aims to talk these links.
With admiration to the brands of the three companies the survey sheds light on the several choices made by the company to maintain brand coherence and set up a meaningful relationship using their customers. With local adaptations the studies suggest branding advances a personality as time passes and when altered can result in negative attention. Branding when adapted correctly rises resonance the best level in the customer based brand equity pyramid.
This survey also brings to head the social aspects that link to websites being the initial contact point with customers and therefore must be very culturally delicate. Through the evaluation it is apparent that companies have adapted their websites in terms of understated characteristics such as shade, gestures displayed, images, information provision as these affect the degree of standardization.
Through this article the findings suggest that although standardization includes the great things about economies of level, generation of an improved brand image in the global market and easier operations by the business there can be an increasing need for adaptation as cultures although can be compared are greatly particular and have to be recognized for an organization to achieve a bunch country.
Introduction:
The report predicated on the junk food market targets pizza making brands Domino's, Pizza Hut and Papa John's. This survey concentrates on those activities completed by these brands throughout the world in countries such as the United states, India, Mexico and China studying how cultural variations influence each brand (Fig -1). Throughout the analysis of the amount of standardization and version adopted by these brands across diverse cultures the survey sheds light on the chosen companies activities: Websites, Sales Advertising, Advertising, Branding and Charges.
In the business environment could it be integral to understand the variations in cultures, attitudes, environments etc. that will require firms to view their companies through a variety of indices.
Standardization provides companies a growing advantage in conditions of economies of size along with common brand images as consumers have grown to be significantly mobile (Levitt, 1983; Craig, 1986, Yip, Loewe and Yoshino, 1988 as cited by Theodosiou and Leonidou, 2003). Domino's, Pizza Hut and Papa John's have attempted to internalize these benefits although as contended by Terpstra and Sarathy in 2000 (Theodosiou and Leonidou, 2003) these companies are damaged by factors like culture, purchasing vitality and consumer needs therefore encouraging adaptation.
This report seeks to investigate marketing activities in several economically developed market segments such as China and India owned by the BRIC nations, Mexico a growing country and USA a developed nation. These marketplaces give insights into differing price sensitivities impacting on the products for sale respectively.
Marketing Activities Analysis
Advertising
Pizza hut, Domino's and Papa John's generally make use of Television commercials to advertise their products surrounding the world. They use Television advertisements as it enables them to attain a large target audience to deliver their marketing and sales communications. This take strategy ties in with the business's budgets which is adapted to meet the local requirements of the countries in which they are viewed in in so doing promoting sales.
Domino's
Table - 1
Country
Tagline
Language of advertisements
Snap Shot of the Tagline
India
USA
China
Mexico
Yeh hai rishton ka time ("This is the Time for Associations")
"Oh Yes We Did!"
"30 minutes fast warm up delivery".
Hindi
English
Chinese
Surce: (Dominos. co. in, 2012)
Analysis on Domino's Pizza
Domino's Pizza has differentiated itself by advertising and placement itself differently in several countries. Having altered their advertisements to local dialects Domino's can communicate in a much better way to their customers. Though their standardized move advertising strategies (Ghauri and Cateora, 2010) the business has generated increased levels of interest in the consumers and Domino's continues to do this through their modified sales deals. Domino's also have adopted an identical advertisement in two of our chosen countries being USA and Mexico, wherein the commercial speaks about the merchandise changes that have been manufactured in order to enhance the quality of the pizzas. This global prototype advertising has been adapted locally being locally responsive (Ghauri and Cateora, 2010). Domino's in addition has used a standardised design throughout its procedures in different countries although there are components of adaptations that can be seen through their differing taglines etc. Domino's in addition has been alert to meet cultural imperatives in countries like Mexico and China in conditions of "compadre" and "guan-xi" as the commercials focus on interactions and friendships being set up with the brand, this will favorably effect sales (Ghauri and Cateora, 2010). Another interesting finding has been the fact that Domino's throughout its businesses in both international and home markets have concentrated their attention to their fundamental delivery model as they gain a competitive gain from delivery in the pizza business.
Pizza Hut
Table - 2
Tagline
Language of Advertisements
Snap Shot of the Taglines
India
USA
China
Mexico
Pizzas and far More
Make it great
Pizza and More
Hindi
English
Chinese
Analysis on Pizza Hut
Pizza hut has been advertised in a way to meet up with the requirements and the likings of different countries. Throughout the advertisements that are lay out by Pizza Hut it is noticeable that their emphasis has been on their in-house eating out experience. Generally in most commercials there are snapshots of the waiters, the mood, the furniture etc. This standardisation with local adaptations in terms of these different products that focus on local consumer preference preferences displays the business's focus on their internal dining services instead of their delivery. Mexico on the other hand portrays commercials including different settings on the dispatch, or at a rock concert and even in consumers' homes. This can be linked to the proven fact that Pizza Hut will not cater to the web market but suits customers over the phone (Pizzahut. com. mx, 2008) (Fig - 2. 10). This can be regarded as a decision to cater to the economical condition of the marketplace, as Pizza Hut has adapted their delivery route (Theodosiou and Katsikeas, 2001).
Fig - 2. 10 Pizza Hut advertisements in Mexico
Papa John's Pizza
Table - 3
Tagline
Language of Advertisements
Snapshots of Taglines
India
USA
China
Mexico
Better Materials Better Pizza
Better Elements Better Pizza
Better Materials Better Pizza
Better Ingredients Better Pizza
Hindi
English
Chinese
Spanish
Source: (YouTube, 2010)
Analysis on Papa John's
Papa John's runs on the standardized tagline for Indian, Mexican, USA and Chinese language marekts. Papa John's have effectively used their CEO and produced high performing advertisements. Consumers have perceived these advertising to be "authentic" and "genuine" (Kelso, 2012) giving Papa John's consumers an image wherein the company cares and is approximately real people creating an individual connect with the buyer.
Overall Analysis:
As advertising is a basic necessity in the marketing mixture of a global brand, the chosen companies Domino's, Pizza Hut and Papa John's have translated the needs and needs of the local consumers. Through the use of adapted symbols these businesses have also aimed to meet the social needs of local consumers. We've also seen that the companies have designed their languages in various countries, which is intrinsically linked to different cultures (Ghauri and Cateora, 2010). Domino's and Pizza Hut have equalized their ramifications of both standardisation and version, which is evident in their advertising and their information to react locally. Papa John's on the other side have used pattern advertising, which is often from the idea of "thinking globally, acting locally" (Ghauri and Cateora, 2010), as the brand has the mission to provide "Better Elements Better Pizza", but still has adapted its advertising strategies in several marketplaces. Through this example it is obvious that B2C advertising is greatly heterogonous as the moving success across different countries is ever more difficult and for that reason must be adapted.
WEBSITES
PIZZA HUT INDIA
PIZZA HUT CHINA
Source: (Pizzahut. com. cn, 2012)
PIZZA HUT USA
Fig-3. 10 Food allergies and sensitivities
Fig-3. 12 E book it page
PIZZA HUT MEXICO
Fig-3. 16 Nutrition
ANALYSIS
Pizza Hut USA has a red backdrop which in most western cultures indicates Xmas as it is generally celebrated across USA and Mexico uses brown which means useful, down-to-earth and comfortable (Empower-yourself-with-color-psychology. com, 2009) this motivates customers to make purchases and are attracted to the websites. Pizza Hut India website also has a red history because of its homepage and its delivery page. Red in India symbolizes Indian wedding ceremonies and the Indian bride-to-be (Empower-yourself-with-color-psychology. com, 2009) therefore getting the Indian customer. China has a light yellowish history which depicts royalty and honour in Chinese culture reflecting the typical of service provided by the company in China, being in comparison to a 5* experience. (Empower-yourself-with-color-psychology. com, 2009).
DOMINO'S PIZZA INDIA
Source: (Dominos. co. in, 2012)
DOMINO'S PIZZA CHINA
Source: (Dominos. com. cn, 2013)
DOMINO'S PIZZA USA
Fig-3. 27 Tracker Page
DOMINO'S PIZZA MEXICO
ANALYSIS
Dominos has standardized designs of its websites throughout the world with white as its track record colour. White symbolizes weddings and brides in america, and is symbolic of calmness and purity in Mexico, India and China (Geert-hofstede. com, 2013) thereby motivating a purchase as customers feel laid back when on the page. However, adaptations have been made to fit the different markets and bridge the social gaps (Ghauri and Cateora, 2010)
PAPA JOHN'S INDIA
PAPA JOHN'S CHINA
PAPA JOHN'S USA
Fig-3. 44 Buyers Page
PAPA JOHN'S MEXICO
Fig-3. 45 Homepage
ANALYSIS
Overall, a certain level of standardization is seen in Papa John's websites across countries. Web sites in all four countries follow the colorings of the logo design. Green symbolizes new beginnings and white is indication of peace and purity in every four cultures (Empower-yourself-with-color-psychology. com, 2009), which subtly stimulates purchases. There is also a degree of adaptation displayed in web sites. Sales promotions, adverts and dialects are designed in framework to the social values of every country.
OVERALL ANALYSIS
Domino's Pizza has a relatively higher degree of standardization in its website structure in every four countries when compared with the websites of Pizza Hut and Papa John's Pizza. Domino's website history colour is principally white in all four countries unlike Pizza Hut and Papa John's that have adapted their qualifications colours in accordance to the culture of the individual countries. Pizza Hut India has adapted its website layout in line with the country's high-context culture. It shows an employee using various non-verbal communication techniques to promote its products, which is not shown in web sites of the other three countries. However, Pizza Hut does not supply the option of creating your own pizza and pasta, which is offered, by Domino's and Papa John's. Finally, Papa John's goals to make a reference to its customers by displaying pictures of its founder and brand ambassador, John Smith on the homepages of most four countries. Therefore, although there is certain degree of standardization in web sites of Pizza Hut, Papa John's and Domino's, there's also certain adaptations that contain been made in account of the ethnical dissimilarities in each country. Websites being progressively important in creating a web link with the customers, as it is a primary portal between the brand and the customer, they need to be increasingly modified to accommodate ethnic differences. Websites also have reduced the obstacles between customers and the company as it has become increasingly accessible over the Internet in multiple countries.
SALES PROMOTION
Dominos India
Dominos Mexico
Fig - 4. 8 ONLINE-ORDER DEALS
Analysis:
Domino's has standardised its sales advertising in three of the four countries - USA, Mexico and India through Facebook - uploading coupons, unveiling new items, put into their menu. These promotional items being designed from their local operations are culturally accepted in the countries where they feature and therefore have increased sales and adoption rates in short periods of time (can sales deals go global). Dominos in both USA and India have used an adaptive approach for their sales campaign through Mobile Applications. China and Mexico both do not have a Mobile Program option for his or her customers. In USA the app. , shows the Pizza Tracker option in which people can trail their order progress status (Domino's, 2012). Within the Indian app. , they have got not implemented such design of service to the clients and maintained it easy to place an order. Domino's mobile applications technology provides company a cutting edge benefits as 80% of smartphones have purchasing software (Dominosbiz. com, 2008). In countries like China and India, Domino's has introduced its "thirty minutes or Free" sales promotion. This effective sales advertising attracts clients as a way of increasing sales in a short span of energy.
Furthermore, both Dominos USA and India have used the Electronic and Vinyl cards option for their customers, whereby, they can send themselves handmade cards or vouchers by email or post for consumption in Domino's. Mexico & USA have used another system of merging few options to provide to customers who come in several 2 or 3 3 to 5 5. They can thereby decide on a kind of pre-fixed menu which differentiates with India and China Domino's.
Papa John's India
Papa John's China
Papa John's Mexico
Papa John's USA
Analysis:
Papa John's Pizza does not have a mobile request (standardised for the global market) because of its sales market in virtually any of the countries, they just keep it normal by online or cellphone orders.
Taylor Swift being one of the most top and famous performers of USA came up to an contract with Papa John's Pizza of her record RED to be sold along with a Large Pizza as a promotion.
Papa John's, USA started out Papa Rewards, something special Shop and an E-Gift credit card facility in mere one country which elicits brand understanding through these sales offers thus increasing sales.
American Soccer being one of the most popular sport of USA (Usatourist. com, 1998), Papa John's came up with a two million free pizza program in cooperation with NFL - concentrating on the local sport-freak customers (adaptive).
Pizza Hut India
Pizza Hut USA
Pizza Hut Mexico
Fig - 4. 27 Online Deals Targeted Soccer Followers
Pizza Hut China
Analysis:
Pizza Hut has integrated the same pre-fixed selections in all countries chosen (India, Mexico, China & USA). They have got modified these to meet communal and ethnical norms. In India, Mexico and China they cater to a smaller group of men and women starting with 2 individuals, whereas in USA they focus on a larger group of people starting with 8. This aspires to target sets of customers.
Due to the recession period, the lower-priced chains gained sales and the bigger chains lost theirs sales. To gain some of its lost market show, Pizza Hut launched a $ 10 advertising by which customers could easily get any pizza, any crust and any topping for $ 10 therefore stimulating an instantaneous increase in their sales (Franchisedirect. com, 2010).
Mexico and USA have used an identical procedure towards their customers by arranging a competition of winning a double trip to Basketball finals and Gamer Getaway of Maxim Journal Party Area respectively since Football is perfectly known and famous in both the countries. The Gamer Holiday contest is organised mainly to catch the attention of the teenage category customers and influencing them to buy more drinks so that they can build the game pieces. Gift credit cards available in USA and India have been modified to meet up with the local market style through the personalisation of information. In Mexico & China they don't have this type of feature. Pizza Hut's mobile application enables customers to put orders online, which has been modified only in their two big market segments USA & China.
Pizza Hut China has designed its Children's Party theme with a South African theme and a London theme as the children are very fascinated with the international countries thus getting seduced by such birthday parties (Pizzahut. com. cn, 2012)
Overall Research:
Sales Campaign/marketing activities are contained to entice customers and promote their products (Ghauri and Cateora, 2010).
Pizza companies use value dishes and deals/rebates to entice budget minded customers (Franchisedirect. com, 2010). These demonstrations do significantly well in less financially developed countries where prices are out of the reach of customers. (Can sales promotions go global)
Dominos quoted that technology is playing an important role in their daily sales as it is convenient for users and customers can make use of it in their own time because they are more relaxed in ordering within the app. It added thousands and thousands in revenue for Dominos just via the mobile app.
Pizza Hut also quoted that it boosted its sales by $ 1 million in an interval of five calendar months from July to November 2009 (the initial period of introduction) (Franchisedirect. com, 2010).
Papa John's hasn't yet adopted any kind of mobile application business for their customers.
Facebook and Twitter are becoming a vital medium of sales promotion for the chain of stores. It has been quoted that 85% of the Pizza-chain sales are through deals and discounts received through these cultural media websites in line with the Citigroup Global Marketplaces (Franchisedirect. com, 2010). The previous version of sales campaign had not been effective enough since it could not concentrate on any specific group. Furthermore, these interpersonal press portals are more cost effective ways of marketing and promoting the merchandise (Baker, 2012) India, USA and Mexico have aggressively promoted their products via Facebook and Twitter nowadays while China continues to be lacking behind this procedure due to federal government regulations which prevent overseas social multimedia and micro-blogging websites. In order to meet the growing dependence on social mass media and microblogging in China the government has launched an inter-country communal press and micro-blogging websites such as Weibo. com, e. t. qq. com, renren. com that includes different sales promotion as stated below (Stand - 1).
They limit these websites to avoid any hypersensitive issues to be discussed publically and become a revolt against the government officials (Branigan, 2009).
Table - 1
Websites:
e. t. qq
renren
Social Media
Micro-blogging
Micro-blogging
Micro-blogging
Social Media
Dominos
India, USA and Mexico
India, USA and Mexico
Pizza Hut
India, USA and Mexico
USA and Mexico
China
China
China
Papa John's Pizza
India, USA and Mexico
India, USA and Mexico
China
With the benefits of a variety of sales deals companies are able to significantly increase short-term sales encourage repurchase and increase buyer moving over between brands. (can sales promos go iglobal)
Pricing:
Domino's Pizza:
Dominos USA:
General Research:
At Dominos, by implementing a standardized strategy to their supply chain and dough developing operations Domino's has been able to control price escalations (Fig - 5. 3). Their "One Brand - One System" insurance policy (Dominosbiz. com, 1983) comes with firms using the same main products and proven suppliers maintaining steadiness and quality specifications across different countries. This standardization in addition has given go up to increased buyer power from the company providing them with a competitive edge in terms of prices of equipment and non-food items.
Dominos in addition has lowered their syndication costs by employing a shorter internalized syndication channel. Dominos has a set of Grasp Franchisers who further written agreement Sub - Franchisers adapting itself to meet ethnic differences impacting the deeply rooted programs offering increased localized information. (Fig - 5. 4)
Fig - 5. 4 Get better at Franchisers and Sub Franchisers
Domino's have also standardized their business model that solely caters to delivery and 'carry out' pizza (Doctoroff, 2012). In developing countries although Domino's has incorporated dining tables in their outlets. Its purpose is not to change its business model towards in-house kitchen but in truth to cater to local market needs. This does not have an impact on prices, as high assets in the delivery of something don't need to be incurred by the business.
Papa John's Pizza:
Papa John's China
General Analysis:
Papa John's is aware of the disadvantages of competitor centered pricing and hence have centered their costing strategy by reaching a "high quality price" (Morrison, 2012). Papa John's boasts that their products are targeted at get together the needs of these who want to get products providing them with value and better quality as their label line implies- " Better Elements. Better Pizza. " (Papajohns, 2013). This standardized way that has been adopted has been able to keep Papa John's global coordination. Their prices have been arranged higher than rivals prices interacting the recognized value of the merchandise although they never have been placed at a level where they do not make sales as Papa John's is area of the 'big four' pizza franchisers (Franchisehelp. com, 2013). Papa John's have influenced their prices by standardizing their admittance modes into international countries by way of a franchising model as their products are perishable and have to be located near to the consumer and intake of the product.
Pizza Hut:
Pizza Hut India:
Pizza Hut Mexico:
Source: Nytimes. com, 2010
General Evaluation:
Pizza Hut has standardized their business design and seeks to meet high standards through their progressively more important service scape. Their restaurants give consumers a 5 celebrity feel, which has been replicated throughout their procedures in both domestic and international markets. This more and more high standard with their service scape has increased their costs, as they need to meet a range of standards in terms of personnel, furniture, cutlery etc. These significantly increase costs and are reflected through in the charges strategies. By adapting their prices strategies at Pizza Hut they have got been able to gain a competitive advantage assembly the growing diversity in the food market. Pizza hut also sources their materials and equipment locally which helps manage price escalation.
Branding
Papa John's
Analysis:
Brands today have an increasingly important role because they are termed to be the "most effective investments companies have" (Ghauri and Cateora, 2010 p. 286).
Domino's and Pizza Hut have modified a their brand over time to match a vibrant market. This is seen through their change in logo design and presentation respectively. Pizza Hut received a negative response of their consumers as the brand had formed a solid relationship with them. Domino's has benefitted using their company change plus they have followed this change throughout their businesses in USA. Papa John's a getting a transferrable emblem has had the opportunity to standardize its logo design throughout their operations (USA, India, Mexico and China) providing important associations as the brand is designed to provide customers with better quality products.
Looking at countries like India, China, Mexico and USA companies like Papa John's, Dominos and Pizza Hut have aimed to further improve their brand image with affiliations with other brands like Coca- Cola and Pepsi, which shows (Stand - 1) the different beverages employed by the pizza companies.
Conclusion:
Despite the serious benefits helped bring by standardization this record lays emphasis on the actual fact that in the junk food industry- the pizza market, companies have to be increasingly careful using their marketing activities, as standardization cannot bring long-term benefits for the business in an international boundary. This is affected by the actual fact that cultural variations play a significant role on the success of a product in an international country.
Looking at the evaluation in the report advertising has been greatly afflicted by subtle distinctions as advised by Edward Hall in this theory of High Context or Low Framework civilizations. The chosen companies have adapted their advertising initiatives to incorporate visuals, music and information by being locally responsive. Advertising in a B2C environment must be significantly heterogeneous as copy of success is becomes greatly difficult.
Looking at the sales marketing promotions adopted by Domino's, Pizza Hut and Papa John's in order to get a short-term response in more sales these companies have been greatly responsive to differences in ethnic norms, their target markets and federal government restrictions in dissimilar markets
Pricing in addition has been a determinant in the success of a corporation within an international country. The studies suggest that prices must be aware of accommodate national customer purchasing powers. Different stages in the progression of the PLC in chosen countries like China, India, Mexico and USA also greatly influence the pricing of your company thereby leading to the success or failing of the brand.
Marketing activity that comes with branding analyses the actual fact that with a standardized brand in international limitations like Papa John's provides increased brand coherence and it is easily transferrable into an international markets. Pizza Hut on the other palm having created a personality using its customers could not alter its brand and custom logo, as customers were not accepting of the theory.
Having placed significant amounts of focus on the closest form of contact between customers and the business, Pizza Hut has used an innovative concept wherein a guy books customers through the Indian website getting together with subtle cultural organizations in conditions of gestures and cosmetic expressions. Domino's have also been ground breaking adapting their websites to meet up with the growing technologically savvy customers and also have introduced new checking techniques etc, offering customers a definite knowledge of where their pizza is through the production and just how long it will take.
Owing to these marketing activities analyzed in the article it is evidently clear that companies although concentrate on sales campaigns being short-term, in order to get long term benefits the company must modify itself get together local requirements. These companies as seen provide enough standardization so as to reap advantages from brand salience and resonance.
