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Domino’s customers are avoiding delivery and picking up their pizzas to save money

April 28, 2025
in delivery, dominos, fast-food, Food, pizza, Retail
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A man walks into a Domino's pizza restaurant with a red roof and a red Volkswagen Bug and a motorcycle parked outside.
Carryout pizza sales at Domino's grew during the first quarter as delivery sales slid.

Paul Weaver/SOPA Images/LightRocket via Getty Images

  • Domino's delivery sales fell in the company's first quarter.
  • But price-sensitive diners helped fuel an increase in carryout pizza sales, the chain said.
  • Consumers continue to look for ways to save money as tariffs raise recession concerns.

Domino's customers cut back on delivery during the company's first quarter as some decided to pick up their own orders and save money.

It reflects a trend that kicked off in 2024 as many diners continue to seek value when they order food. While some Domino's customers are willing to pay the fees and tip associated with delivery, others preferred to stop by a Domino's location to pick up orders themselves and save some money, CEO Russell Weiner told Business Insider last year.

In the US, delivery comparable sales fell 1.5% during the quarter ended March 24, the company said in its earnings report on Monday. Domino's carryout business's comparable sales, though, rose 1% during the same period.

Overall, Domino's comparable sales fell 0.5% during the quarter, "which was slightly below our expectations," CFO Sandeep Reddy said on the company's earnings call.

Customers' reasons to look for value have only increased in 2025. As well as persistently high prices due to inflation, many diners are also worried that their overall budgets will be hit by further price increases due to US tariffs on imports from other countries.

"Our delivery business continues to be impacted by macro pressures that are impacting the low-income consumer," Domino's Reddy said.

Domino's still expects its comparable sales in the US to rise 3% for all of 2025, Reddy said. Yet "in the event that macro pressures persist, it could put pressure on achieving this number," he added.

Many customers have continued to have things delivered in spite of inflation over the last few years. Uber CEO Dara Khosrowshahi said last week that the cost of having stuff dropped at your door could actually fall on the app during a recession as more people lose their jobs and work for Uber to generate some income.

However, Domino's results suggest that the delivery trend could be changing, especially as worries about a recession rise in the US.

Despite the quarterly decline, Domino's is still betting big on delivery. The pizza chain will start offering food through a partnership with DoorDash next month. The chain has sold food through Uber Eats since 2023 and will continue that partnership as well, it said.

Read the original article on Business Insider
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