Photo taken on Feb. 15, 2022 shows a sign outside a Domino's Pizza takeaway advertising for recruiting staff in Hampshire, Britain.
BEIJING, April 1 (Xinhua) -- The operator of Domino's Pizza stores in China, DPC Dash, has recently filed for listing on the Hong Kong stock exchange, according to its filing with the bourse.
DPC Dash said in the prospectus for its initial public offering (IPO) that it is Domino's Pizza's exclusive franchisee in Chinese mainland, Hong Kong and Macao, with 468 stores in 10 cities on the mainland by the end of 2021.
China's pizza market, according to a report by Frost and Sullivan, a global consultancy, is very huge with strong growth, even at its early stage. The market was worth 30.5 billion yuan (about 4.8 billion U.S. dollars) in 2020 and is expected to reach 62.3 billion yuan by 2025, with a compound annual growth rate of 15.4 percent.
Besides, China's pizza market has great potential to thrive as the number of pizza stores for every million people is only 9.8, far lower than that of other Asian countries.
Thus, the company has made targeted arrangements in the Chinese market by applying differentiated business mode and serving peculiar menu with both global and local characteristics.
For example, DPC Dash is focused on providing customers with differentiated delivery experience and offers customers a 30-minute delivery promise. According to its filing, over 73 percent of its revenue came from its delivery orders in 2021, far higher than the industrial average of 49 percent.
The company attributed this achievement to their insight of food delivery's great potential in China's pizza market. The insight was echoed by Frost and Sullivan, whose report showed that delivery orders accounted for 51.5 percent of China's pizza sales in 2020, with volume hitting 15.7 billion yuan.
On the fund raising, the company said it plans to increase its presence in the country with 120 new stores slated to open this year followed by 180 stores next year. Besides, it will continue to enhance its technological edge to create new stores dedicated to carryout and delivery orders, a move to cope with the pandemic challenge.
(Edited by Li Shimeng with Xinhua Silk Road, lishimeng@xinhua.org)
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