This just in.
As an update to my March 23 "Hurt Locker" post, Domino's has reported that its makeover strategy has paid off. In an advertising blitz conducted in January and February 2010, Domino's executives admitted that the company's pizza taste quality was not up to snuff, and used that "narrative" as a way to introduce the public to its new and improved product offering. According to Domino's, same-store sales have increased a whopping 14.3% in the first quarter of 2010 over the same period in 2009.
This story underscores the effect that a compelling narrative can have on sales. When a business finds a new and interesting way to connect with its customers, the results can be remarkable. That being said, only a quality product or service will keep them coming back.
In the case of Domino's, the long term effect of its marketing campaign remains to be seen. Customers were obviously convinced to give Domino's another try through the unusual but memorable ads. But now that they have tried the pizza, will they keep coming back?