50% off is back for today only and until 9pm only, use code 974663. The previous 50% off deal ended 9pm Saturday but they've released a new code again for today at least, we'll see if they extend it again tomorrow onwards. If you needed to order after 9pm tonight you can use the usual 35% off code which is 160714.
*Online Only. Excludes Value Range Pizzas. Discount applies off menu price pizzas. Valid until 9pm 13/02/2017.
So $50,000 instead of $100,000?
Yes it seems the Domino's company is just ripping off the franchisees - much like 7-Eleven.
They are just forcing their employees into the spirit of the bargain by also slashing their wages by 50%.
I just read the article, the guy who was put up as the "Franchisee success story" starts out the story as how he loves and cares for all his staff and they love him back.
Two paragraphs later he starts saying how bad his staff are, staff dont clock in and out on time, come to work not to work but hang out with thier friends, go on deliveries and never come back.
Good read, thanks.
Excludes Value Range Pizzas
Only discount for non-value pizzas , hmm…
What, do you expect to get a pizza for $2.50? Are you serious?
tailor the Hawaiian @ $8.95 for your inexpensive pizza
IMO, for organizations like these people should quit using their services/products on moral basis… and this should happen on a mass level through a site or an FB page so the company understands the effect..
Most people couldn't care less, they just want their $5 pizza.
Apple is just as despicable and yet people line up like sheep for their products.
Hi Scab, elaborate on the Apple thing please. Just want to know, no comment war intended
Products made in sweatshops, overcharging for overhyped products all the while dodging tax.
@Scab: Where do you think Sony and Microsoft's products are made then? In a factory where employees are serenaded by angels?
Well… I think due to the struggles that these franchisees have, every time I use the discount codes, I always end up with minimal toppings on the pizzas… They taste just like pizzas and whatever sauce they have.
Its hard to give anymore money to this franchise… I'd rather spend my money on the local pizza shops.
I don't know, boycotting sounds like a good idea, but in the short term it will just put stress on the franchise owners and cause them to go bust. We all know the cause is having low prices, so what if every time you bought a pizza from dominos, you simultaneously put the extra money you would've paid if they were operating fairly into a special fund. Then if everyone did that, putting a dollar or two for every pizza they bought, after a while the fund would have enough money in it to purchase a missile and blow the head office up, making all the other scumbags fall in line like dominos.
I think given the situation, boycotting dominos would be akin to shooting the dying dog now so it suffers less than to support them with more unprofitable sales to extend the inevitable pain of closure down the road.
Remember franchisees make no money from $5 pizzas, head office makes a sales royalty. Dominos just wants more sales, franchisees want a profit.
Don't mix up fixed costs and marginal costs. The ingredients cost much less than $5.
Fanchisees do make money from $5 pizzas indirectly. They make money that pays for rent, electricity, wages, etc. These costs need to be covered. The more expensive pizzas bring the profits.
hmmm … i wonder what will happen if on mon to wed they dont sell enough expensive pizzas, nor do they sell enough $5 pizzas per hour.
@LurvinOZB: Its irrelevant when they sell them. Business is a long term game.
They can shut up shop at quiet times if their contract allows them.
Sorry, I can't say I have mixed up marginal and fixed costs.
If you read the article, you will see a break down of the costs. I'll sum it up for you.
Cost of the $5 pizza is approx $4, after all ingredients( assuming no wastage) and labour ( which I calculated to assume labour handling to be 1 minute per pizza, very generous assumption by Fairfax)
This excludes power and says nothing about cost of payment processing.
Now if u add a more realistic assumption of labour to be around 3-4 minutes of labour handling time per pizza on a weekday, you end up with, not 25c per pizza, you get closer to $1.
And bang, no more $1 profit per pizza.
Just as a FYI, in case you don't see where my labour costs come in( cause Fairfax doesn't provide the mathematical break down):
Fairfax says labour is 25c per pizza at $15 per hour.
That means, $15 per 60 mins. 25c per min. Each pizza only requires one whole minute of handling time. I call BS on that.
Actually it is very relevant when and how many pizzas and how much they sell them. To say business is a long term game, you would need to put it in context and also often it isnt as easy as "oh yes business is a long term game".
And no, if you want do engage in franchise/ retail business, you do not have much of a say on opening or closing hours. And for small operators, they often would rather cut back on labour and keep the store open (A) to satisfy lease agreement and/ or franchise agreement, (B) hope that there comes a few good orders. Besides "shut up shop" and forgoing any trading opportunity isnt the principle of negating fixed costs. Closing up shop just because its assumed to be quiet times works against offsetting fixed costs.
PS: —To effectively turn profitable per Domino's business model, you need to move volumes of pizza. Coming from Domino's, its a straight forward formula coupled with assumed good business sense, customer service and what not. but the basis of profitability does not stray and its always about volume so you can bank it in. Close shop early, one or two or ten pizzas are missed opportunities so works against "closed shop early mentality"
One minute per pizza is close but very doable all ingredients are already pre prepared and just need assembly and handling like how you see it at at subway
But yeah 25c per pizza is peanuts but the kind of person who works in fast food already knows that.. still not fair imho
From prep/ make table to the oven really is less than 1 min to be honest.
Its a different story if you add morning dough runs such as doing up the dough, cutting the dough, weighing the dough, washing and oiling the pans, spreading the dough on the pans, pin-rolling the dough, moving the pans with the dough into the cold room for next day operations, and moving the dough pan onto the make table.
And not forgetting the pizza coming out of the oven, drizzling whatever sauce the order is, cutting the pizza and chucking the pizza onto the hot cabinet. If handling time is define as from raw materials to "on the customer's hands", it will be longer for delivery orders too.
So probably not a min of handling time =)
One min per pizza is doable only if u get, uniformly, 60 pizza orders per hour per employee. Hunger levels of people are not that uniform.
So there will be hours where u don't get enough pizza orders to satisfy the 2-3 employees u have.
Thanks. I hadn't read the article.
I don't think a bit of flour, some cheese, tomato paste and a a little ham costs $4. Maybe $1. Frozen pizza must lose money, too.
$4 must include other costs.
@cloudy: so true I was only talking by about unrealistic ideal fantasy conditions aka max efficiency output etc haha lol.. just the other night there was maybe like only 3 people at night at my local dominos for the whole night
Inside the article is a few videos, in one of them is a detailed break down of cost for the pizza. It's interesting to see the cost of the pizza to the franchisee.
Instead of a "special fund" which could potentially lead to mis-management fracas, why not have ASIC do their job and stem down on unscrupulous practices such as selling a dream and inflated OE costs.
Franchise systems should be regulated as almost every point of the supply chain; the franchisor makes a profit off it. Perhaps instead of regulating the franchisor's profitability, enforce the franchisor to guarantee a minimum profitability for franchisee.
Afterall, the franchisee paid a tidy sum of money to secure franchise rights. If the franchisor cant guarantee a minimum profitability for potential franchisor, whats the point of fluffing all the salesman talk about how great their systems are or how strong their branding is; when they are not even confident in making that guarantee! Its selling something without any conscience and having none of the legal repurcussions.
You know his special fund was to buy a missile to blow up head office.
@kasp: it was meant to be a landing point to touch on actual matters, so yes I do know. But thanks for pointing it out =)
"put stress on the franchise owners and cause them to go bust."
Perhaps that will actually put pressure on Dominos head office to reduce their fees, so that franchise owners can start making money.
But lets be honest, some own 5 or 6 franchises so lets not pull at the heart strings too much. I mean at worst they will just have to sell another Aussie citizenship for $100k.
there's actually some truth to it … some store owners do own 3-4-5 to even 10 stores. favourites they are, or in head office's eyes "very competent operators". tend to get good negotiation power when it comes to new territories near their chains as opposed to new operators.
when you go multi-stores (which is probably the dream of every single operator), you get economies of scale in terms of labour rotation and vehicle usage. sometimes you also get away with stock transfers when one store gets hit hard or stock rotation etc.
"sell another Aussie citizenship for $100k" <—- huh?
Interesting the downvotes - apparently people think the franchisees are ALL fantastic people, especially those whom own multi-stores (the same ones who were attacking their employees - as shown by psyclone1982 posts) and while I'm sure some are, I think one has to look at the economics of it.
If I am a 'good' franchise, I struggle along trying to pay the right wages and do the things head office tells me to do. Or, I could take a shortcut, and decide to reduce my wage bill (illegally). Suddenly I have more profit, or perhaps a loss making store can go into profit (it seems the biggest franchisee has found keeping labour costs down to 27% to be the secret ingredient). I then go and buy another store (for all the reason LurvinOZB suggests), but let’s say I get a marginal one - well to maximise profit I am going to again try and play around with my employees’ wages to make the profit I require for my investment. Soon I am doing really well that HQ offer me more stores where I can work my 'magic'
Of course judging by the number of downvotes I am completely wrong about this… unless you consider the 7-11 case, which shows I am completely right.
"sell another Aussie citizenship for $100k" <—- huh?
Domino's scandal: franchisee selling visas
Basically franchisees are selling visa's for $30k to $150k. If they get a job in regional Australia its quite possible after 2 years they qualify for permanent residency.
The great thing about the 187 scheme is that franchisee can apparently charge $100k and the migrant worker only has to live in a regional area for two years, then after wait 2 more years (working in Sydney, or Melbourne) and you qualify for Aussie Citizenship. So in a way franchisees are selling Aussie citizenship to unskilled workers (unless we consider pizza making and delivery driving a skill).
Right now the illustrious Craig Thompson is doing something similar (organinsg Nepalese workers to work for regional employers)
smh.com.au Article
Perhaps the downvotes are people who like to see people like Craig Thompson succeed (and so they would agree with him not paying back the funds from the HSU)?
Or perhaps people don't see the 187 visa as being a great way of extracting big payments from one of the most at risk group in Australian society. Yay them.
You don't count because you do not have a wool coat ;p
Thanks for the deal OP, but I can't in good conscience give my business to this store right now.
A while ago someone said why bother with frozen pizza when for the same price you could get hot dominos without the hassle of having to prepare it yourself.
Back to frozen pizzas for me (and if they reveal similar conditions for the frozen pizza factories, Ill probably make my own)
Hey man, check out the frozen Coles ones which are a little more dear than the crappy cheaper ones, around the garlic bread area. They are delish. You can get them for $3-odd when they mark them down to get rid of them.
I havent had this pizza in months but now i sure i wont have it in future as well after reading the article..
@ Scab: But i do agree most people wont even care
The same goes for those asian places in the city who use cash in hand to pay. Hell the same with small car washes
u meant to say its similar across all small food retail businesses (moms and pops)?
so what are the root causes? unsustainable wages? high tax rates? prices (retail) too low? there isnt alot in the equation, something gotta give … control the cost and small business owners gets stressed and tempted to take the dodgy way. pull up the prices and there's gonna be another retailer taking advantage with lower prices while the small business owners struggle to stay afloat.
and the winners? at least in this instance —> Domino's. Create a brand, sell the brand, sell the dream. Where to earn? Through the franchise fee, through the inflated shop fitout, through the ridiculously "marketing and royalty fee", through the food and paper supplies, through the use of their IT systems, through their controlled leases, through their ever crazy fanciful IT/ tech add-ons that gets forced down franchisee and so on.
those asian places dont make record multi million $$$ profits year after year from stepping on the necks/lively-hood of people to get ahead to claim #1 chain.
Thanks, pre-ordered for dinner.
My thoughts:
- I agree very greedy centrally controlled corporation and way overpriced on the stock market.
- Long term you cannot run a business without looking after franchisees. Many were wanting in on the success story but secret is now out on the reality.
- As far as today goes the store owner should make a few more cents on my 7 pizzas. They were probably doing not much at 5.30pm anyway.
- If I was opening a pizza store now would definitely start my own store instead of a silly franchise.
I will never buy dominos again because of the scams they do but if I get a good voucher I may think about that one
When it comes to life or death I choose life.. always
Better close down Ozbargain if we are to be ethical consumers.
Cheap prices and high standards don't often mix.
Actually they can, its just that even more greed gets in the way.
Can, but generally don't. Higher prices give employers the option to pay workers higher salaries. They may not do it, but they might.
Low prices mean it's practically impossible.
This is absolute bull. I was salivating over the code all the way till Sunday from about 3 days ago and come Sunday there is no 50% off code. It then starts up again the next day!!!
Why is that Bull? Of course they discount during otherwise quiet times. ie Monday, Tuesday. They're not going to discount on Sunday night when its their busiest day. Its a way of spreading out the total number of pizzas sold over the week.
Thanks OP. Finally be able to afford and try their Chicken and Prawn range.
Without vouchers it seems the pricing discrepancy between a value pizza and the average traditional pizza is disproportionate ($5 vs $12.95). You can get more than two-and-a-half value pizzas for the price of one traditional. And there's nothing "traditional" about their so-called traditional pizzas. "When I was a kid" you didn't get baby spinach or feta or elephant tears on a Domino's pizza and none of the beef was pulled or pushed. And I had to walk fifteen miles to the nearest Domino's, barefoot in the snow. Uphill both ways!
But those kids with broken taste buds can still get a Hawaiian for only $8.95…
Just ordered 2x pizzas + chips + salted mousse + 10 pack chicken kickers + 4 pack churros for $22.89 delivered through the combination of several coupons (including this one). Good times.
People actually eat this crap?
Go to KFC for crap.
Ew no thanks.
I'd rather cook myself and if I'm going to eat unhealthy foods at least make it worthwhile, not a $5 special. Lol
I like how you concluded with a "Lol". Basically laughing at your own "joke"? Also, everyone has a different taste and preference. May not be worthwhile for you but worthwhile for others. Why are you here again?
If I was filthy rich I would still eat at KFC (everyday)
Watch your cholesterol guys before its too late.
The voucher 974663 is not accepted by your selected store.
This is prompt I got.
That's weird, haven't seen that in the previous 40/50% off deals, I tried 3 stores in SA/VIC/NSW and all good, and it's not yet 9pm so can't be that.
Maybe use a $7.95 code for traditional/chef's best or use the 160714 35% off code if no good?
Thanks a lot.
Pizza night tonight! Thank you. :)
Still working in W.A. :)
There's another 50% off code today 264435 however it doesn't appear to work at many stores so I've expired the deal.
Alternatively you can use the 35% off code 886845
Thanks Hamza.
I just put the code in and it offered me a discount Australian visa with my cheesy crust.