We attempt to explain How India's Leading Pizza Maker, Dominos Opens Store Based on Demographics ?
Kolkata currently has 18 Dominos stores catering to a population of 4.5mn people, implying a population/store of 250,000. Based on expected threshold of 150,000 population per store for the top-10 cities, we believe Kolkata has a total potential of 30 stores today (implying a current potential to open 12 new stores).
Ujjain currently has only 1 Domino’s store with a population of ~500,000. Using a bandwidth threshold of 250,000 population per store for such smaller cities (against 150,000 in Kolkata), Ujjain would be able to accommodate only 2 stores in total currently. In 10 years.
Haldia currently has a population of ~200,000 and does not have a Domino’s store and currently lies below our threshold limit as well. However, our analysis suggests that in 10 years, Haldia would have matured and grown enough to support a Domino’s store.