The phone is ringing less and less in Domino’s pizza areas, but demand for the company’s cake remains inordinately high, according to CEO Ritch Allison. More than 75% of Domino’s sales are actually generated through digital channels, up from 70% prior to the Covid pandemic, and it’s not that the pattern will reverse, advised CNBC’s Allison Jim Cramer Thursday.
“If we’re happy, these are the movements that took place during Covid that we don’t think will return,” he said in a Mad Money interview. “As soon as customers switch to digital orders, they no longer call restaurants by phone.” Based in Ann Arbor, Michigan, the company has invested heavily in the company over the past decade to carry it into the age of know-how.
With the investment, Domino’s increases the dependency of its retailers and uses new applied science to make ordering and receiving meals earlier and easier. In Houston, the company is testing an autonomous vehicle delivery system in collaboration with Nuro.
“We feel very well positioned from a technology standpoint, and with the market still so fragmented, we believe there is a lot of share to be gained in the overall market,” said Allison.
Dominos reported first quarter results on Thursday morning. Global retail sales rose 16.7% year over year, while sales in the same store in the United States rose 13.4%. Domino’s shares fell 3% on Thursday to trade at $ 415.98. The stock is up 8.48% so far this year.