“We believe India is going to continue to be a terrific growth market for us,” Mr. Doyle said in an interview ahead of the opening of Domino’s 1,000th store in India on Friday. “I remain incredibly bullish on the Indian economy.”

India has been one of the bright spots in Domino’s portfolio, while most other big American fast-food chains derive their growth from China. Rival Yum! Brands Inc., which owns Pizza Hut and KFC, makes nearly half its revenue in China, for example

Even so, Domino’s stores in India account for only 5% of the company’s sales; its outlets in the U.S. account for nearly half.

Mr. Doyle said Domino’s success in India was down to the power of localization and longevity.

The company entered India 20 years ago — among the first foreign fast-food chains do so — and has since topped its pizzas with local flavors from paneer or Indian cottage cheese, to tandoori chicken.

It also customizes its menu for different regions of the country. In 2014, for example, Domino’s rolled out a spicy banana pizza for consumers in southern India. Last year, it began delivering pizzas to passengers on India’s vast state-run railway network.

In China, Domino’s had blamed its struggles in part on the fact that cheese and bread aren’t staples of the traditional Chinese diet. It signed a new partner in China a few years ago in an attempt to fight competition from brands like Pizza Hut, which serves a selection of other Western fare, including ribs, spaghetti and steak in its casual dine-in restaurants.

In India, Jubilant Foodworks Ltd.533155.BY +0.17% has held the franchise rights for Domino’s across the country for two decades, while Pizza Hut is controlled by a clutch of smaller franchise owners making it tougher for Yum to manage.

“I think the most important thing is that we have had the right partners in India. They understood the pulse of the market and guided the brand from day one,” Mr. Doyle said. Sales at Jubilant grew 20% in the financial year ended March 31, although same-store sales growth for Domino’s was sliced by more than half to 0.05% over the same period.

Mr. Doyle acknowledged same-store sales haven’t been as robust as he would have hoped, but said he was confident the pace would pick up soon.

In the coming months, Domino’s will focus on strengthening its digital platforms, such as mobile and web ordering, which make for about a third of the company’s delivery sales in India. Domino’s franchise owner in Australia saw sales skyrocket last year after it launched a mobile application that allowed customers to design their own pizzas, market them on social media, and pocket a cut of the sales cialisfromuk.com. Mr. Doyle didn’t say if similar app would be introduced in India.

“I guess what I would say is that digital innovations would be an increasing focus for the business – it’s clearly where consumers are spending their time,” he said.

Source:WSJ