Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, June 13, 1995 TAG: 9506130077
SECTION: BUSINESSS PAGE: B-6 EDITION: METRO
SOURCE: Knight-Ridder/Tribune
DATELINE: DETROIT LENGTH: Medium
Little Caesars Enterprises Inc. is putting out the help-wanted sign as it tries to increase its slice of the market by entering the delivery business nationally.
About 40,000 people will be hired to implement the home delivery system, said spokeswoman Sue Sherbow. Little Caesars, which has both company-owned and franchised stores, now employs 70,000 people.
Starting Monday, the chain will offer everything available at its takeout stores on a new delivery menu, with an additional charge of up to $2 on some items.
``We have been very successful with the carryout value niche, and we think people who take advantage of delivery service are also interested in value,'' said David Deal, president of Little Caesars, which had $2 billion in revenues last year.
The Detroit-based company, which grew by dominating the takeout pizza business, is the last of the big three pizza companies to deliver to customers.
Domino's Pizza Inc., based in Ann Arbor, Mich., built its business on home delivery, while Pizza Hut, a division of Pepsico Inc. in Wichita, Kan., entered the home delivery business in 1985.
``Pizza delivery is an additional expense, an increased liability and a management headache,'' said Gerry Durnell, editor and publisher of Pizza Today, a trade publication in New Albany, Ind. ``But competition forces you to do things.''
Little Caesars says that 85 percent of its outlets will offer delivery next week, while last year only 150 of the chain's 4,600 units offered delivery service.
To gear up for home delivery, Little Caesars will have to hire thousands of new workers.
``We are recruiting drivers through local ads, through point-of-sale posters in the stores and through word of mouth,'' says Sherbow. ``As far as maintaining drivers, our wages will be very competitive. The key to maintaining drivers is to keep them busy, and we don't think we will have any problem keeping them busy.''
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