Little Caesars Enterprises Inc., (Little Caesars) the Michigan-based US pizza manufacturing industry, has made a partnership with DoorDash Inc. (DoorDash) to offer nationwide delivery service for pizza. For the first time in its 60 years of operation, Little Caesars will now compete with other pizza restaurants in offering food delivery to customers with the help of the delivery service provider, DoorDash.
High Competition of Pizza Delivery
The partnership deal was an urgent need for both the companies as several other food chains including Chipotle Mexican Grill Inc. to McDonald’s Corp. have started operating delivery services to customers many years ago. According to DoorDash’s press release, “Little Caesars will partner with DoorDash Inc to provide pizza delivery services at 3,600 restaurants in the United States and Canada, starting on Monday.” Following the deal, Little Caesars will supply pizzas as customers ordered through its website or using mobile apps whereas ‘DoorDash Drive’ will conduct the delivery service of these orders.
Little Caesars, which has its operational stores in all 50 states of the US and operates in 24 countries, had been long under the pressure as its rival companies started using the delivery platform. The main rival, Domino’s Pizza Inc., the world’s biggest pizza chain, had already owned its own platform for delivery services. As the market for delivery services has become a tight competition, the deal with Little Caesars was a significant move for DoorDash too.
Little Caesars’ Delivery Service
The pizza manufacturer, the world’s third-largest pizza chain, has claimed that the prices of the food would be available much cheaper as compared to others. According to Little Caesars officials, “a delivery pizza order from Little Caesars cost at least $5 less than the same order from the other three top national pizza chains.” David Scrivano, Little Caesars’ CEO, said in a statement, “Unlike some other chains, Little Caesars will not require minimum purchases to get deals or apply discounts only to carry-out orders.”
Meanwhile, the CEO also emphasized, “The prices are the same as carryout, plus a $2.99 delivery fee and 10% service charge.” The company official also claimed, “to further differentiating the company from its pizza chain peers, Little Caesars offers the same everyday menu price whether pick-up or delivery and regardless of quantity — bringing much-needed affordability to delivered pizza.”
DoorDash, which has its operation for more than 4,000 cities including the US, Canada, and Australia, will deliver pizza about 90% of Little Caesars’ US and Canada locations. Ed Gleich, the Chief Innovation Officer for Little Caesars stated, “Our delivery service is available directly on the Little Caesars app and website meaning now customers can satisfy their Crazy Bread craving while staying on our app and in their lounge clothes. So, continue your binge-watching, Little Caesars fans.” DoorDash officials added, “while it was possible in some areas to get Little Caesars’ pizza delivered via other platforms, those arrangements were through franchisee relationships and will end under the terms of the contract with DoorDash.”
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