You may have seen these ads from Domino’s promoting their online ordering. When my 14-year old daughter saw those ads she asked me “Why does Domino’s make ordering pizza on the phone look so difficult. Isn’t that kind of saying they deliver a poor ordering experience?” At the time, I had no response. This article in the Wall Street Journal “Big Pizza Chains Use Web Ordering To Slice Out Bigger Market Share” (February 6, 2014, non-subscribers may need to click here) offers a partial answer. I guess the goal is to make Domino’s competitive advantage of its independent competitors — most of which don’t have online ordering.
The article and/or video (see below, this could be shown in class to stimulate discussion) allows you to talk about competition, channels, or retail. It also provides an opportunity to show how firms can deliver value (or utility) with other elements of the marketing mix. As Domino’s and Papa John’s provide a better ordering experience they increase market share without increasing the quality of their core product.