Domino’s Case Study on Delivery in Record Time Using AWS for Predictive Ordering
We all know what Domino’s is to us Pizza lovers but have you guys thought how it got so big in the global pizza business ? Certainly not ! Which is why I am here to help you through. Domino’s Pizza Enterprise Limited, or commonly known as Domino’s, maintains a network of more than 2600 stores globally and is based in Brisbane, Australia.
Domino’s has got it’s digital business increasing like anything as 70 percent of sales come from online orders itself. But it wasn’t the same always right ? Remember how inefficient the delivery used to be before ?
Have a look at what Michael Gillespie, chief digital and technology officer has to say about it,
“Our investment in technology is a key ingredient to our growth as a business. We strive to use it to reduce pickup and delivery times, because we’ve identified that the sooner we can get a pizza to our customers, the more satisfied they are with their meal.”
Project 3TEN Proposal
To ensure faster pickup and delivery, the company recently launched Project 3TEN, an initiative that aims to have a pizza ready for pickup within 3 minutes or safely delivered within 10. This was possible through increasing efficiencies in cooking and transportation methods which could be solved by installing more stores closer to customers.
How to tackle this problem ?
The company used Predictive Technologies to help reduce pizza making and delivery times. According to Gillespie, “We can use technology to increase the speed of our ovens, and we can give our drivers more efficient technology like e-bikes or scooters, but we also needed to look at how we can help stores anticipate what customers order”.
When AWS hits in….
Sooner than later Domino’s realised that they needed smarter, more accurate system and thus they chose to turn to Amazon Web Services (AWS). With the AWS Partner Network (APN), they created a predictive ordering solution that would give their stores a glimpse into the future by predicting what pizzas would be ordered next.
The company created a data lake consisting of key order information by taking advantage of Amazon Simple Storage Service (Amazon S3) for data storage and AWS Glue for data querying. It also uses Amazon SageMaker to build and train machine learning models to predict the likelihood that an order will be placed, so a store can begin making that order right before it is placed.
This approach was first deployed in Australian Store. Store employees could view an ordering screen displaying specific pizzas pizzas with various color indicators corresponding to the likelihood of those pizzas being ordered. So finally this helped them by not leaving the pizzas in a box for half an hour but helped them all line up, as they came out of the oven, ready to be placed as ordered.
The company enhanced the solution and a rollout on a wider scale in different countries stores such as New Zealand, France, Netherlands, Japan and Germany took place.
How the AWS Solution Impacted the Delivery
AWS helped Domino’s to give it’s stores a tool to help drive down pickup and delivery times for customers. In 2019, a Domino’s store in Australia recorded an average delivery time of under 5 minutes, from order to doorstep, across an entire week.
“Customers are getting their pizzas faster, hotter, and fresher because of the improvements we’ve put into place with Project 3TEN. The predictive ordering solution we developed by using AWS is a big part of that.”
Michael Gillespie
Chief Digital and Technology Officer, Domino’s Pizza Enterprises Limited
Domino’s main market differentiator was the Agile Decision Making. They believed that what impresses the customers most is faster delivery. Where many competitors were taking 45 minutes to an hour to deliver a meal they were doing it under 10 minutes already. This was the main reason Domino’s got competitive advantage in the marketplace.
Easy and Fast Deployment
Another advantage that Domino’s had was that they didn’t waste time to be trained on the developing technology. They wanted the technology in use to be accessible and easy to implement as they knew if they had barriers in deployment it would be real challenging to roll it out.
Domino’s made sure the Developing Team worked hand in hand with the Operations Team with the new processes seamlessly combining well with the existing operations.
Customer Impression
The solution proved to be a boost in customer’s satisfaction. During the Analysis, they found that the stores with faster pickup and delivery times had higher customer satisfaction scores and those customers were more likely to come back and recommend the brand to others.
Today, Domino’s has deployed the solution in a number of countries.
“AWS has been a great company for us to work with because it’s helping us provide a new, unparalleled level of service to our customers. In addition, we hope to take what we’ve achieved with AWS so far and push it to new heights in the future.”, says Gillespie.
Benefits of AWS
- Assists Domino’s stores in achieving goal of pizza delivery in 10 minutes or less
- Deploys accurate, predictive ordering solution quickly and easily
- Enables fast, easy deployment for franchisees
That’s all for today ! Thanks for the read guys !
