The world’s top-selling pizza chain is betting big on the generosity of its customers
The world's top-selling pizza chain is betting big on the generosity of its customers. And it is not alone.
Domino's recently pledged $174 million over the next ten years to benefit St. Jude Children’s Research Hospital, expecting the funds to come from its longstanding roundup campaign that invites customers to donate the difference between their purchase total and the next-highest dollar amount. The pizza chain has already raised more than $126 million this way across the past two decades for ALSAC, the fundraising organization for the Tennessee-based hospital.
Domino's is the latest and largest example of “checkout charity” success. The fundraising tool raked in 24% more money in 2022 than 2020 among the highest making programs, for a total of $749 million, according to the professional association Engage for Good.
That staying power has franchises hopeful that consumers will continue giving their spare change despite shifts toward online shopping, negative economic headwinds and fears that more frequent solicitations will cause fatigue. Meanwhile, some retailers are fleshing out partnerships first formed after the 2020 racial reckoning pushed corporate citizenship toward the forefront of business practices.
Studies suggest that asking customers to round up is generally more effective than requesting a fixed amount — even when the totals are the same. That's because the framing lessens the sting of parting with one's money, according to a paper published in the Journal of Consumer Psychology.
“It feels less painful," said Katie Kelting, a Saint Louis University marketing professor who led the research team.
The timing of the appeal
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