Quick Summary

Dominos Pizza Franchise Costs & Profits (2024): Initially offering only pizza, Domino’s now provides a variety of menu options, including sides, appetizers, salads, pasta, and specialty sandwiches. Domino’s commitment to customer satisfaction is demonstrated through initiatives like its “delivery insurance,” allowing customers to return a damaged or uneaten pizza for full reimbursement.

As an industry leader in technology, Domino’s offers a user-friendly app for easy ordering and tracking. Committed to equitable workplaces and local communities, Domino’s fosters an inclusive work environment and partners with charitable organizations like St. Jude Children’s Research Hospital.

With a focus on quality and giving back, Domino’s presents an attractive franchise opportunity for entrepreneurs seeking success and social impact.

Key Takeaways

• Dominos offers three franchise types: Traditional, Non-traditional, and Transitional, operating under the Domino’s Pizza System.
• The company prioritizes existing franchise owners when opening new locations.
• Franchisees must meet financial prerequisites and undergo extensive training, including a minimum of 12 months as a General Manager.
• Initial investments range from $156,450 to $682,500, with ongoing fees based on weekly gross sales.
• Franchise owners can expect annual salaries between $64,000 and $120,000, with potential for seven-figure incomes.

Is Dominos Pizza a Franchise?

Yes, Dominos operates as a franchisor offering three distinct franchise types:

• Traditional Store: Stand-alone units providing delivery, dine-in, and carry-out options, typically located in shopping centers.

• Non-traditional Store: Units located within larger entities such as malls, office buildings, or stadiums. These stores provide delivery and carry-out services with limited or no dine-in options.

• Transitional Store: Carry-out-only units with scaled-back menus, which may transition into traditional stores based on market success.

All franchise types operate under the Domino’s Pizza System, adhering to specific recipes and standards outlined in the Store Franchise Agreement. Domino’s prioritizes existing franchise owners for new store openings, with over half of franchisees owning multiple locations.

How Many Dominos Pizza Locations Are There?

Dominos is the largest pizza chain in the world, with 20,591 franchises globally. In the past 12 months alone, 711 new franchises were added. Two-thirds of these franchises operate outside the United States, including over 1,500 locations in India and 1,249 in the United Kingdom.

Domino’s impressive global footprint contributed to $4.48 billion in revenue in 2023, highlighting its dominance in the pizza industry.

What Training Is Required to Open a Dominos Pizza?

Domino’s requires franchisees to complete extensive training, which includes:

1. General Manager Experience: At least 12 months managing a Domino’s franchise.

2. Financial Capital for Multi-Site Ownership: Capability to open at least five franchises.

3. Domino’s Global Operations Leadership Development (GOLD) Program: Comprehensive leadership and management training.

Training includes:

• Four days of Pizza Prep School.

• Five-day Franchise Development Program.

• Six to eight weeks of in-store training.

Franchisees also receive ongoing support through programs like the Franchisee Management School, which assists with site selection and business transitions.

How Much Does It Cost to Open a Domino’s Pizza?

Opening a Domino’s franchise involves initial investments ranging from $156,450 to $682,500 for traditional store locations. Non-traditional sites require $107,450 to $648,500.

Cost Breakdown

• Initial Franchise Fee: $10,000, with an additional $25,000 reservation fee for some locations.

• Ongoing Fees:

  • 5.5% of weekly gross sales as royalty fees.

  • 3-4% for marketing and advertising based on weekly gross sales.

  • 1-4% advertising cooperative fees.

• Additional Expenses:

  • Leasehold improvements.

  • Furniture, fixtures, and equipment.

  • Inventory, training, and insurance costs.

Most franchisees recoup their initial investment within two years, making Domino’s a relatively low-risk franchise opportunity.

How Much Does a Domino’s Pizza Franchise Owner Make a Year?

Dominos franchise owners earn annual salaries ranging from $64,000 to $120,000. Benefits include health insurance, a 401(k), and discounted pizzas for family and friends.

With average profit margins of 15% across Domino’s locations, franchisees often recoup their investment within 4-5 years. Multi-store ownership can significantly increase earnings, with some franchisees achieving seven-figure incomes.

Pros and Cons of Owning a Dominos Pizza Franchise

Pros:

• Strong brand recognition and customer loyalty.

• Comprehensive training and ongoing support.

• High earning potential for multi-store owners.

Cons:

• Strict requirements for franchisee qualifications.

• High ongoing fees for royalties and marketing.

• Competitive industry with numerous pizza chains.

Why Choose Domino’s Pizza?

Domino’s combines quality, innovation, and community commitment to create a lucrative franchise opportunity. Its proven business model and extensive global reach make it an ideal choice for entrepreneurs seeking profitability and social impact.

Interested in exploring more franchise opportunities? Check out our guide to 5 Low-Cost Franchises That Make $1,000,000 and discover how to maximize your investment potential!