Domino's Pizza in the United States advances into Italy, but withdraws in just 7 years



Domino Pizza, a US-based delivery pizza chain, is one of the world's most successful delivery pizza chains, with 18,000 stores around the world, including Japan. In 2015, it finally entered Italy, the home of pizza, but it is reported that it will withdraw in just seven years.

Domino's Pizza Stores in Italy Close Down as Traditional Margherita Wins - Bloomberg
https://www.bloomberg.com/news/articles/2022-08-09/domino-s-pizza-leaves-italy-as-traditional-margherita-wins

Domino's Pizza is leaving Italy after failing to win over customers
https://www.cnbc.com/2022/08/09/dominos-pizza-is-leaving-italy-after-failing-to-win-over-customers.html

In 2015, when the number of stores worldwide exceeded 12,000, Domino's Pizza entered Italy through a franchise agreement with ePizza SpA, which is headquartered in Milan, Italy. In addition to appealing the use of locally produced ingredients, we will differentiate ourselves from local companies by offering American-style toppings such as pineapples and a systematic nationwide delivery service. Initially, we will invest with the goal of opening 880 stores in Italy. was proceeding.

However, in 2020, the pandemic of the new coronavirus infection (COVID-19) occurred, and local pizzerias began partnering with third-party delivery services to deliver pizza to customers' homes. Bloomberg points out that this has made Domino's ambitious expansion plans difficult.



Domino's Pizza in Italy has shrunk from its peak in 2020 and has closed 29 stores, and the remaining 13 stores have stopped delivering from the website as of July 29, 2022. In its fourth quarter 2021 financial results investor report, ePizza SpA said, ``This problem is due to the increasing competition in the food delivery industry, the mix of organized chains and independent stores, and the pandemic. This may be due to the later services and restaurants reopening, as well as the increase in consumers going out.”

And on August 9th, it turned out that Domino's Pizza is withdrawing from Italy. CNBC, an American media, reported that ``Only seven years after its debut in Milan, Domino Pizza told Italy `` Arivederci (Goodbye in Italian) ''.

As of April, ePizza SpA was granted protection from debt repayment demands and asset seizures for 90 days, but this protection also expired on July 1. According to the latest annual report viewed by Bloomberg, ePizza SpA had a debt of 10.6 million euros (about 1.46 billion yen) at the end of 2020. In addition, Bloomberg requested comments from ePizza SpA and Domino Pizza, but did not respond, and said that there was no response when calling the Domino Pizza store remaining in Italy.

The situation that ``Domino Pizza in the United States loses in Italy, the home of pizza,'' has become a hot topic on Twitter, and ``Opening Domino Pizza in Italy is like trying to sell snow at the North Pole.'' Comments and ...



``If you've ever felt tremendously overconfident about something, remember that Domino's Pizza could open 880 stores in Italy,'' said a comment.



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