Engagement & Retention project | Jubilant FoodWorks*

Core Value Proposition

The core value of the Domino’s India App is delivering a fast, affordable, and convenient pizza experience through:

1. Flexible Ordering: Delivery, takeaway, and dine-in options, delivery to train for all occasions.
2. Speed and Reliability: 20-minute delivery promise with real-time tracking.
3. Affordability: Value-driven offers, combo deals, and discounts.
4. Seamless Experience: User-friendly interface, easy payment options, and customization.

Bottom Line: The Domino's app ensures that users have the best Domino's pizza experience.

https://www.youtube.com/watch?v=2hQR20akD2w

How do users experience this currently?

• By browsing Domino’s menu with curated options like vegetarian, non-vegetarian, combos, and sides.
• By viewing tempting images and offers to choose meals that suit their taste and budget.
• By finding nearby Domino’s outlets within a 5-10 KM range for faster delivery.
• By placing orders using offers, coupons, UPI, bank cards, or cash on delivery.
• By receiving pizzas on time with Domino’s 20-minute delivery promise, ensuring hot and fresh food.
• By customizing their orders, such as selecting crust type, extra cheese, or toppings.
• By resolving issues quickly, like delays or wrong orders, through Domino’s robust customer support.
• By pre-ordering meals for specific times, making it convenient for gatherings or events.
• By enjoying the flexibility of dine-in, takeaway, or delivery options, including unique services like delivery on trains.
• By tracking orders in real time for a seamless delivery experience.

Who is an Active User of the Domino’s India App?

An active user is any customer who places an order via the Domino’s India App within 90 days, regardless of the fulfilment mode:

• Delivery Orders: Placed through the app for home delivery.
• Takeaway Orders: Placed on the app for in-store pickup.
• Dine-in Orders: Placed via the app while dining at a Domino's outlet.
• Train Delivery Orders: Placed through the app for delivery directly to train seats.

What is the Natural Frequency of Using a Product?

The natural frequency of using a product refers to how often users typically engage with or consume the product, based on its relevance to their lifestyle, utility, and consumption habits. For a product like Domino’s Pizza, this frequency is influenced by how often consumers choose to have it in a given period.

Natural Frequency of Domino's Pizza App Usage

Domino’s natural frequency aligns with its product appeal as a casual or indulgent meal option, making it suitable for occasional or weekly use, depending on the user's habits. The following table outlines user segmentation based on frequency and spending:

Engagement Framework for Domino’s India App

Understanding how users engage with the Domino’s India app can be broken down into three dimensions: Frequency, Depth, and Breadth. These metrics help analyze user behaviour and identify areas to enhance the app’s overall user experience. Here’s an easy-to-read explanation:

1. Frequency

Definition: Frequency measures how often a user places an order through the Domino’s app within a specific period (e.g., weekly or monthly).
Why It Matters: Frequency is the most important metric for Domino’s, as it directly impacts customer retention and revenue. Regular orders show customer reliance on Domino’s for their food needs.
Example:

• Casual Users: 1-2 orders every 60 days for special occasions.
• Core Users: 1-2 orders per month for family meals or small events.
• Power Users: 3-4 orders per month, including frequent meals or office lunches

2. Depth

Definition: Depth measures how much money a user spends on the app per order or over time.
Why It Matters: While not the primary metric, depth helps Domino’s understand revenue potential from individual users. Spending more often unlocks better offers since discounts are usually percentage-based. This encourages users to spend more, thereby increasing their order value.
Example:

• A user spending ₹500 on sides and a pizza gets 10% off, but a user spending ₹1,000 might unlock a 20% discount.
• Higher spending could also mean adding sides like garlic bread, desserts, or beverages to the order, contributing to a better user experience while increasing Domino’s revenue.

3. Breadth

Definition: Breadth tracks the variety of app features that users engage with, like delivery, takeaway, dine-in, bulk ordering, or unique services such as delivery to trains.
Why It Matters: Breadth highlights how versatile the app is in meeting user needs beyond standard orders. Using multiple features indicates strong app engagement and reliance.
Example:

• A user might order delivery on weekdays, use takeaway for quick pick-ups, or place a bulk order for parties on the weekend.
• Features like app-exclusive deals (e.g., 1+1 offers, Everyday Value Meals) and coupons add further value and incentivize user engagement.

Engagement Framework Table

Why Frequency is Key

Frequency provides the clearest measure of customer loyalty and recurring revenue, making it the most actionable and impactful engagement metric. Depth and breadth are valuable but depend on users first ordering consistently. User psychology suggests that depth and breadth grow over time, but it all starts with users ordering regularly.

https://www.researchgate.net/publication/50231166_Boost_Customer_Loyalty_with_Online_Support_The_Case_of_Mobile_Telecoms_Providers

Retention measures how long users continue to engage with an app after their first use. It's critical for understanding loyalty and improving the user experience. Domino’s India retention data aligns with industry standards but shows room for improvement beyond Day 7.

Bird's-eye view

• Speed-Driven Legacy: Domino’s leads the instant delivery landscape, with 7 out of 10 orders delivered within 20 minutes, setting a benchmark even before 10-minute delivery became a trend.
• Exclusive Channels: 33% of online orders come from Domino's app and website, driven by exclusive offers that reduce reliance on aggregators like Swiggy and Zomato.
• Market Adaptability: Domino's embraced 20-minute delivery in 2023, outperforming competitors with optimized systems and pizzas ideal for quick delivery.
• Affordable Offers: Free delivery for orders above ₹150 (lower than competitors) has boosted small-ticket volumes while maintaining steady prices for over two years.
• Sales & Engagement Growth: Q1 FY 2025 saw an 8.5% sales growth (~₹1,400 crore) and a 17.5% increase in active app users to 12.1 million.
• Global Trends Alignment: With a focus on delivery and carryout, Domino’s adapts to changing consumer preferences, ensuring long-term growth in a competitive market.

Source: https://the-ken.com/tradetricks/dominos-is-playing-to-its-strengths/

The retention curve for Domino’s India App shows a steep drop from Day 1 (25.8%) to Day 7 (19.8%), with a slower decline to Day 15 (17.2%) and then a significant stabilization towards Day 30 (5.91%), This indicates a steep drop-off after Day 1, highlighting the need for strong early engagement strategies. Post-Day 7, users who stay show higher loyalty, offering a key window for reinforcing retention with personalized offers and rewards.

Retention Analysis: Domino’s vs Industry Benchmarks

Domino's India App demonstrates competitive retention performance with room for improvement in long-term engagement:

Industry Benchmarks for Food Delivery Apps: Day 1 (30-40%), Day 7 (15-25%), Day 30 (3-8%).

Key Insights:

1. Day 1 Retention: Slightly below benchmarks, indicating opportunities to enhance early engagement with better onboarding and first-order incentives.
2. Day 7 Retention: Strong at 19.8%, demonstrating effective short-term engagement tactics like push notifications and limited-time offers.
3. Day 15 Retention: Retention stabilizes at 17.2%, showing moderate user stickiness but room for increased mid-term loyalty programs.
4. Day 30 Retention: At 5.91%, Domino’s aligns with industry standards, though strategies are needed to extend user lifetime value.

Strategies for Improvement:

1. Day 1 & Day 7: Enhance onboarding with app walkthroughs, personalized welcome offers, and tailored notifications to boost early engagement.
2. Day 15: Introduce mid-term engagement strategies like gamified loyalty rewards or app-exclusive streak bonuses.
3. Day 30: Strengthen long-term retention with subscription-based meal plans, discounts for recurring orders, and exclusive deals.

Microscopic View

ICP Retention Insights for Domino's App

What channels drive the best retention?

What sub-features or sub-products drive the best retention?

Voluntary Churn:
Voluntary churn occurs when customers actively decide to stop using the Domino’s India App due to factors that are within the company/product's control. These factors often stem from dissatisfaction with app performance, user experience, pricing, product value, or availability of superior alternatives.

Involuntary Churn:

Involuntary churn occurs when customers stop using the Domino’s India App due to uncontrollable factors that are beyond the company’s control. These are typically external circumstances like unserviceable locations, technical failures, or personal health-related issues.

Negative Actions to Look For:

Negative actions refer to specific behaviours exhibited by users that indicate a decline in engagement, satisfaction, or loyalty toward the Domino’s India App. These actions can directly impact revenue, customer retention, and overall business performance.

Resurrection Campaigns

Resurrection campaigns are part of the product lifecycle aimed at reactivating users who no longer engage with the app. Resurrecting inactive users is crucial because it’s more cost-effective to retain existing users than to acquire new ones. Additionally, successful reactivation enhances customer lifetime value, ensuring long-term loyalty and higher returns.

Campaign 1: Power to Core Campaign

Campaign 2: Core to Casual Users

Campaign 3: Casual to Less Frequent Users

Campaign 4: Hibernating Users

Campaign 5: Birthday Special Treats

Additional Campaigns

6. Lapsed Festive Buyers

Segmentation: Users who ordered during special occasions but haven’t returned.
Pitch: "Celebrate every day like it’s a festival—special treats await!"
Offer: Festival-inspired combos with flat 25% off.

7. Weekend Boosters

Segmentation: Casual users are likely to order on weekends.
Pitch: "Make your weekend extra cheesy with Domino’s!"
Offer: Free dessert on all weekend orders above ₹599.

App users whose notifications are disabled

App Nudge for Ressurected Users:

1. Users who have uninstalled the app: A nudge in the PWA to download the app. A banner was placed in the session to nudge to download the app.

Additional Strategies to Resurrect Users

Dine-In Strategies

1. Promote App Downloads:
2. • If the user doesn’t have the app, store staff can inform them about app-exclusive discounts and offer free sides (e.g., garlic bread or Choco Lava Cake) upon downloading and placing their next order.
   • Provide QR codes on table tents or receipts for quick app installation.
3. Reinstallation Incentives:
4. • For users who uninstalled the app, staff can encourage reinstallation by highlighting offers like a 10% discount or free sides on their next purchase.
5. In-Store Engagement:
6. • Staff can guide users to explore app features like pre-ordering or customization, showing its ease of use and additional benefits.

Aggregator Order Strategies

1. Physical Discount Cards:
2. • Include discount cards with every aggregator order (delivered by Domino’s riders) to incentivize users to order directly from the Domino’s app next time.
   • Discounts could range from 10–20% or free sides for direct app orders.
3. Aggregator-to-App Transition:
4. • Add QR codes on discount cards linking directly to the app’s download page or promotional deals to make switching platforms effortless.
5. Exclusive Rewards for App Orders:
6. • Inform users via packaging or promotional inserts that app orders offer loyalty points, better deals, or combo discounts unavailable on aggregators.

Cross-Channel Strategies

1. Loyalty Rewards Integration:
2. • Implement a unified loyalty program across dine-in and online channels, rewarding users for every interaction, whether in-store or via the app. It would help if the users could get access to other Jubilant FoodWorks brands like Popeye's, Dunkin or Hong'S kitchen
3. Event Invitations:
4. • Invite users who’ve interacted offline (e.g., dine-in or aggregator orders) to exclusive events or promotions via SMS or email, with app download incentives included.
5. Feedback for Rewards:
6. • Encourage users to leave feedback on their experience and reward them with app-only perks or discounts, creating a seamless re-engagement loop.

Engagement Campaigns

Before diving into the campaigns, let’s first explore what drives engagement in Domino’s app—insights gathered through user interviews and supported by secondary research.

Campaign 1: Enjoy Free Paneer Garlic Bread or Choco Lava

• Why This Cohort?
  The campaign targets all users to encourage engagement across the board. It appeals to Casual Users seeking occasional treats, Core Users who regularly order, and Power Users who enjoy additional value.
• Psychological Phenomena:
• • Reciprocity Effect: Users feel rewarded with a free item, creating positive reinforcement.
  • Loss Aversion/FOMO: Missing out on a free item encourages users to meet the minimum order value.
• User Insights:
• • Many users hesitate to order without a compelling reason; free items provide a tangible incentive.
  • Add-ons like garlic bread or Choco Lava Cake are consistently top-performing items, making them ideal rewards.

This campaign leverages user preferences and psychological triggers to increase engagement, order frequency, and AOV.

Campaign 2: Get One Plus One at ₹99

• Why Targeted Cohort? In Danger users and casual users need strong incentives to come back.
• Psychological Phenomena:
• • Reciprocity: Offering a second pizza at ₹99 feels like a reward for placing an order.
  • FOMO: Limited-time nature creates urgency, prompting action.
• User Insights:
• • Cart abandonment is common in this segment, so a low entry price motivates them to complete transactions.
  • Price-sensitive users respond well to value-based deals.

Campaign 3: Domino’s Flash Sales

• Why Targeted Cohort? Casual Users are prone to impulse buying, especially during limited-time sales.
• Psychological Phenomena:
• • Scarcity Principle: Limited time drives immediate decisions.
  • Temporal Discounting: Users prioritize instant gratification with quick, discounted offers.
• User Insights:
• • Users frequently browse but hesitate to place orders due to cost; flash sales overcome this barrier.
  • Time-sensitive discounts align with users’ craving-driven behaviours.

Campaign 4: Enjoy Your Favorite Pizza at 20% Off

• Why Targeted Cohort? Core Users, Loyalists, and Busy Working Parents frequently order but seek value-driven incentives.
• Psychological Phenomena:
• • Loss Aversion: Discount creates a perception of saving money, encouraging immediate action.
  • Anchoring Effect: Highlighting 20% off positions the deal as a high-value offer.
• User Insights:
• • Users appreciate discounts that lower perceived meal costs without compromising their choice of pizza.
  • Many users prioritize offers over standard pricing, increasing engagement with promotions.

Campaign 5: Customize Your Pizza and Get 20% Off!

• Why Targeted Cohort? Core Users are already engaged with the app but find customization confusing.
• Psychological Phenomena:
  • Endowment Effect: Personalized orders feel more valuable to users.
  • Ease of Use: Streamlining the process with a discount lowers friction and encourages exploration.
• User Insights:
  • Users prefer customization but find it unclear; an incentive motivates them to try again.
  • Feedback highlighted the need for simpler customization options.

A product hook is a feature or benefit that grabs users’ attention, keeps them engaged, and encourages repeat usage of the product. It aligns with user needs and expectations while offering a unique or compelling reason to choose your product over competitors.

Goal:

To reduce dependency on food aggregator platforms, attract users and habituate them to Domino’s app, and establish Domino’s as the most cost-effective and user-friendly platform for ordering pizzas.

Success Metric

• 10% increase in repeat orders within three months of launch.
• 5% reduction in cart abandonment.
• Improved Net Promoter Score (NPS) and Customer Satisfaction Score (CSAT)
• User Interviews with Cohort (Qualitative Data)

Problem Statement

Customers often compare Domino's pricing with competitors, leading to hesitation in placing orders and higher cart abandonment rates. During user interviews, users prefer ordering Domino’s through aggregator apps like Zomato and Swiggy due to:

• Monetary Benefits: Flat discounts (₹50/₹100) and higher percentage savings on cart items.
• Convenience: User-friendly interface and seamless payment options.
• Extra Perks: Zomato Gold offers free delivery, additional discounts, and premium access, making it a one-stop solution.

User Insights:

• “Zomato’s discounts and delivery charges are better—it’s more attractive overall.” - 25M, Delhi
• “Zomato Gold offers free delivery and 20% discounts—it’s convenient and cost-effective.” 29F, Mumbai

Current Alternative

• Price-sensitive customers manually compare prices across platforms or opt for discounts on aggregators like Zomato and Swiggy.
• Prefer lower price point pizza from brands like OvernStory, and other Pizzaries.

User Insights

Segmentation targetted for this :

1. Core Users: Regular customers who have shifted to food aggregators for better deals and convenience(better UX).
2. Price-Sensitive Users: Customers whose ordering decisions are primarily influenced by discounts and free delivery offers.
3. Occasional Users: Those who only order during promotions or specific occasions, often swayed by aggregators' variety and competitive pricing.

Key observations:

• Perceived Monetary as well as better cleaner UX benefits are the primary motivation for aggregator usage.
• User-friendly interfaces and convenience contribute to higher aggregator preference.
• Delivery charges and the availability of better coupons make Zomato and Swiggy more appealing.

Solution

1. 2x Refund if You Find a Better Price Than Domino’s
2. • Builds trust by guaranteeing Domino’s has the best price, with a bold promise to double your refund if proven otherwise.
3. Weather-Proof Prices
4. • No surge pricing during rain or bad weather, making Domino’s the dependable option when others hike their rates.
5. No Late-Night Fees
6. • Order at midnight without worrying about extra charges. Convenience, without the extra cost.
7. No Platform Fees
8. • No hidden fees like aggregators charge. What you see is what you pay.
9. App Exclusive Rewards
10. • Unlock loyalty perks, bonus points, and special discounts only on the Domino’s app.
11. Low Packaging Fees
12. • Transparent, minimal packaging costs so you save even more.
13. Free Delivery @ ₹149
14. • Hit the sweet spot on savings with free delivery on orders above ₹149.

Why It Works

• Solves the price complaints users have with other platforms.
• Makes Domino’s app feel like the smarter, more rewarding choice.
• Keeps users loyal with clear savings and exclusive perks.

User Flow

Reinstallation and new users

Homepage

Menu> Cart>Post order

Ramp Up Milestones

1. Awareness (Month 1): Launch in-app banners, emails, and social media ads; track CTR and impressions.
2. Adoption (Month 2): Monitor feature usage; target a 10% increase in repeat orders.
3. Behavioural Impact (Month 2-3): Reduce cart abandonment by 5% and track app usage vs aggregators.
4. Retention (Month 3-6): Improve NPS, and CSAT, and grow core/power user segments.
5. Optimization (Ongoing): Collect user feedback and A/B test to refine engagement strategies.

How to Make This Feature Fail-Proof

• Experiments: Conduct A/B testing for messaging (e.g., "Best Price Guarantee" vs. "Lowest Price Assurance") to determine the most effective language.
• User Research: Interview 15-20 users of the cohort to validate the feature's appeal and address concerns about credibility.
• Pilot Testing: Start with a small audience segment and measure response to refine the feature before scaling.
• Usability Tests: Test the end-to-end process to ensure customers can easily understand and claim the guarantee.
• Iterative Approach: Make incremental improvements based on feedback and usage data.

Note: "Fail-proof" does not mean the initiative cannot fail but ensures steps are taken to increase the likelihood of success and improve iteratively.

Goal

To enhance post-order engagement, increase repeat purchases, and create a rewarding user experience by offering scratch card coupons immediately after order completion.

Success Metric

• Increase in repeat orders by 15% within 30 days.
• 25% user engagement rate with scratch cards (e.g., scratched and redeemed).
• Reduction in user churn post-first order by 10%.

Problem Statement

Users often place an order and disengage after completing it. There is minimal incentive for them to return and order again, leading to reduced repeat purchase rates.

Current Alternative

• No immediate post-order engagement on the app screen.
• Offers are sent through push notifications or emails, which have lower visibility and engagement rates.

User Flow

Solution

Summary:
Introduce interactive scratch card coupons on the post-order screen that offer discounts or rewards for the next purchase, encouraging users to stay engaged and return to the app sooner.

Detailed Version with User Flow:

1. Trigger: The user successfully places an order.
2. Post-Order Screen: A scratch card appears with messaging like:
3. • "Congratulations! Scratch to reveal your next deal!"
4. Scratch Interaction: The user scratches the card to reveal a reward (e.g., ₹100 off, free side item, 10% off next order).
5. Reward Storage: The reward is automatically stored in the user’s wallet or promotions section.
6. Redemption Flow:
7. • The user places a new order and applies the reward at checkout.
   • Automated reminders for reward expiry create urgency.

Why It Would Work?

1. User Insights:
2. • Behavioural Insight: Users feel a sense of achievement and excitement with gamified interactions like scratch cards, enhancing the post-order experience.
   • Retention Insight: Immediate rewards motivate users to place repeat orders sooner. Studies show gamification increases app engagement by up to 30%.
   • FOMO (Fear of Missing Out): Scratch cards create a sense of exclusivity and urgency to redeem offers.
   • Emotional Connection: The surprise element of scratch cards adds a layer of fun, making users associate positive emotions with the Domino’s app.
3. Market Trends:
4. • Competitor apps like Swiggy and Zomato have successfully implemented gamified rewards to drive repeat orders.
   • Gamification aligns with millennial and Gen Z preferences for interactive app experiences.

Metrics to Track

• Engagement Rate: Percentage of users interacting with the scratch card.
• Redemption Rate: Percentage of revealed rewards redeemed in subsequent orders.
• Repeat Purchase Rate: Increase in orders placed within 30 days of the initial order.
• Churn Rate: Decrease in users disengaging after their first order.
• Average Order Value (AOV): Impact of scratch card offers on user spending.

Ramp-Up Milestones

1. Phase 1: Pilot with a small user segment to test engagement and redemption rates (first month).
2. Phase 2: Expand to all users with additional reward tiers and gamification elements like surprise rewards (second and third months).
3. Phase 3: Integrate personalized rewards based on user behaviour (e.g., frequent users get higher-value coupons).

How to Make It Fail-Proof

• User Testing: A/B test rewards and UI to ensure appeal and ease of use.
• User Research: Identify the most attractive offers (e.g., discounts, free items).
• Personalization: Tailor rewards to user preferences and order history.
• Technical Readiness: Ensure smooth functionality during peak times.
• Nudges: Add reward expiry reminders to drive urgency.

Advanced Segmentation:

Other User Insights:

Core Problems Identified:

1. Information Overload: The app presents too much content, overwhelming users.
2. Complicated UX and Navigation: Finding offers and navigating the app is challenging compared to aggregator platforms.
3. Ease of Use on Aggregators: Users prefer aggregators for simplicity, even if it means paying more for the pizza.
4. Lack of Unique Value Proposition: The app doesn't provide a compelling reason for users to choose it over alternatives.
5. Low Recall: Users often forget the app is downloaded, leading to low engagement.
6. Lack of Guidance: No support for users in selecting or building their pizza.
7. Customization Issues: Customizing pizzas is cumbersome, unclear, and time-consuming.
8. Delivery Tracking Gaps: Delivery status updates are not always accurate or user-friendly.
9. Poor Notification Strategy: Notifications feel spammy or irrelevant, failing to drive engagement.
10. Limited Personalization: Users don't feel the app understands their preferences or ordering habits.
11. App Performance Issues: Slow loading times and occasional crashes frustrate users.
12. Offer Visibility: Discounts and offers are not highlighted effectively, making them harder to use.
13. Redundant Features: Some features are unused or unnecessary, adding to the clutter.

*Source: User Interviews and app session mapping.