Domino’s Pizza finally opened a flagship store in Lagos in 2012 after a long wait. It was indeed a long wait considering they had over 9000 stores world wide and Lagos being a huge market for franchise related businesses, one wondered why it took so long. Domino’s Pizza like most foreign owned retail businesses springing up all over Nigeria have behind them a huge history of entrepreneurship. I found Domino’s quite fascinating and one I believe can inspire young ambitious Nigerians.
Lost his father at just 4 – Tom Monaghan lost his father when he was just 4. His mother then sent him and his brother to an orphanage where Tom inculcated his Catholic principles. He once had an ambition to be a Priest.
From being a Marine to wanting to be an Architect – Tom enrolled as a US Marine and was honourably discharged at age 19. He then went to University to get a degree in Architecture. However, things were so hard for him, he could barely afford to feed himself let alone pay his school fees. It was at this point he decided to acquire a Pizza store called Domi-Nick. He had hoped that income from the pizza store will help fund his school fees.
From Architecture to Pizza – In 1960, Tom and his brother James bought the Pizza store for $500 funding the acquisition through borrowed money. Unfortunately, for him the Pizza Store was loosing so much money, he spent all his time trying to make it work, he never had the time to go back to Architecture.
Traded his equity for a Car – Eight months later, his brother James, decided to cash out on his equity in the business for a Volkswagen Beetle. Tom became the sole owner and changed the name to Domino’s Pizza.
New Stores and Business Model – Tom then opened three more stores and expanded his market by focussing on delivery to university campuses. He then invested the pizza box, that helped kept pizza’s warm while on delivery and could also stack them up on top of each other without getting mashed up.
More Branches and Franchises – Tom spread this model to other campuses and also increased franchising of the business helping expanding the Pizza chain beyond Michigan.
Sells Domino’s Pizza for $1billion – Tom eventually sold his stake in Domino’s Pizza in 1998 to Bain Capital for $1billion. He lived a lavish lifestyle from the money he made from Domino’s Pizza until he found Christ. He sold most of his luxury assets, including a half finished luxury mansion, which remains the same till date.
Domino’s Pizza Comes to Lagos – Domino’s Pizza has over 10,000 franchises world wide. Nigeria became its’s latest addition in 2012 opening two branches in Victoria Island and in Lekki.
Source – Domino’s Pizza