target price $40, page-14

@InvestorGadget1

Like any product or service can be either fast, good or cheap...But you can't have it all.

It should be clear to every DMP investor that consumers of a DMP pizza associate the price point with cheap and fast (although I think a case can be made to say their offerings are extremely good value)

In the face of rising inflation the instinct of most businesses to maintain operating margins is to pass the price rise onto the consumer through increased prices with no material change to the product offering. Don Meij has made it very clear that the strategy of DMP, in the face of rising inflation is to :

A) Increase the price of pizza
B) Simultaneously offer consumers an increased offering that is disproportionately greater in "perceived value" than the increase in price.

Be it the 50% larger pizza for only $2.00 or a greater range of toppings, better quality toppings, faster delivery or a better user interface for ordering.

When others are working on a status quo in what they offer but with a higher price DMP are saying loud and clear "Yes" we are putting prices up but "hey guess what"...You get more for your money and when times are tough a $7 pizza to many, many people is bloody good value.