Domino's Taps DoorDash for Delivery Boost Amid Slow Sales

Domino’s is teaming up with DoorDash to expand its delivery footprint across the U.S., marking another strategic shift from its long-standing in-house delivery model. This move aims to win over customers in rural and suburban areas while addressing stagnant sales and rising competition in the fast food delivery space.


Devdiscourse News Desk | Updated: 02-04-2025 17:28 IST | Created: 02-04-2025 17:28 IST
Domino's Taps DoorDash for Delivery Boost Amid Slow Sales
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Domino’s Leans Into DoorDash to Win the Delivery Wars

Once the proud holdout against third-party delivery apps, Domino’s is changing course again—and this time, DoorDash is in the passenger seat.

The global pizza chain announced Wednesday it will partner with DoorDash to deliver pizzas ordered directly through the DoorDash app, a move that could bring Domino’s to the doorsteps of customers who might never have visited the company’s own platforms. The partnership is already rolling out in select U.S. locations and is slated to go nationwide in May, with Canada to follow later this year.

Unlike typical DoorDash deliveries, however, these pies will still arrive in Domino’s style—via uniformed Domino’s drivers, preserving the company’s operational model while tapping into DoorDash’s vast user base.

A $1 Billion Opportunity—And a Strategic Recalibration

CEO Joe Jordan didn’t mince words when laying out the stakes. In a prepared statement, Jordan called the shift to third-party apps a “$1 billion opportunity,” particularly in rural and suburban markets where Domino’s brand recognition remains high but digital visibility lags.

Until recently, Domino’s famously resisted third-party platforms like DoorDash, Uber Eats, and Grubhub, opting instead to maintain full control of its delivery ecosystem. That philosophy shifted in 2023 with the company’s quiet yet significant partnership with Uber Eats, which now accounts for around 2.7% of Domino’s total orders—a modest but meaningful start.

Now, by adding DoorDash to its arsenal, Domino’s is signaling that exclusivity is no longer the goal. Growth is.

Slow Sales, Fierce Competition, and the Race for Relevance

The partnership announcement comes on the heels of underwhelming first-quarter sales, with Domino’s reporting lower-than-expected same-store growth in February. Executives cited a strained consumer environment and increased competition in the fast food space—a landscape where app loyalty often trumps brand loyalty.

The DoorDash deal could help Domino’s broaden its reach without compromising the logistics model it’s honed over decades. Unlike traditional third-party arrangements where delivery staff are contracted by the app company, Domino’s will retain its driver network, effectively using DoorDash for visibility rather than labor.

RBC Capital Markets analyst Logan Reich noted back in February that a DoorDash tie-up could significantly widen Domino’s customer base. Investors took that message to heart—and the latest news may prove them right.

Franchisees and Future Footprints

With more than 7,000 stores across the U.S.—the majority operated by franchisees—Domino’s faces the delicate task of balancing national strategy with local operations. Franchisees have historically played a key role in delivery logistics, and this hybrid model allows them to maintain that control while still benefiting from DoorDash’s marketplace.

That’s especially critical in a market saturated by delivery choices and squeezed by inflation. In the race to remain relevant, Domino’s appears to be betting that visibility equals viability.

For customers, the takeaway is simple: their favorite pizza chain is now one tap away, even if they’ve never downloaded the Domino’s app.

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