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Domino’s plans aggressive mobile coupons

Fast food chain Domino’s Pizza is taking on competitors Papa John’s and Pizza Hut and adding mobile coupons to its mobile ordering service.

Through a new partnership with mobile couponing firm Air2Web, Domino’s fran­chises nationwide can add mobile coupons to its marketing mix. Domino’s sends cou­pon codes via text message to consumers who have opted in. Customers can use the coupons when they place orders online at www.dominos.com or from the Domino’s mobile WAP site at mobile.dominos.com.

This is the first push to promote the mobile ordering service, which Domino’s debuted in beta about a year ago.

“With the launch of the iPhone and smart phone technology developing, in general, we recognized that this is a rapidly growing space. It is going to be the future,” said Rob Weisberg, VP of multimedia marketing, for Domino’s Pizza. “Without even promot­ing it, 1% of orders were coming from the mobile site. Mobile consumers were obvi­ously out there looking for it, so now we are promoting it to extend that reach.”

Last year, Domino’s had 1 million cus­tomers opt in to receive mobile messaging from the brand, without the promotions.

The mobile coupons will be available to all Domino’s franchises, which can use the platform to create their own special offers. Domino’s corporate will recommend ideas for coupons, but it is up to the franchises to choose offers based on geographic targeting and personalization and track time-of-day redemptions. The main strategy is that these offers will be more aggressive than through any other channel.

This year, Domino’s plans to further expand its mobile coupon campaign and add new ordering features to the mobile WAP site. The company also will continue to test metrics such as frequency and offers to gauge customer response. But Domino’s will remain strict about only messaging those who have opted in.

“Mobile can be an intrusive medium if you don’t use it correctly,” Weisberg said. “You are asking consumers to have trust in your brand by asking for their number.”

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