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Cramer: Domino’s Sales Decline Is the End of an Era

But the CEO of the pizza company insists he isn't worried.

After a pandemic year of strong growth, Domino’s Pizza  (DPZ) - Get Domino's Pizza, Inc. Report, reported its first same-store sales decline in a decade. 

Jim Cramer recently called it "the end of an era" for the pizza delivery giant.

Richard Allison, CEO of Domino's told Cramer on "Mad Money" not to worry, business at Domino's is still going strong, even if the company wasn't able to match those record-setting numbers hit during the height of the pandemic. 

Ahead of the results, Real Money's Bruce Kamich examined Domino's price charts.  "The charts look a little soggy at this point in time," Kamich wrote.

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Domino's currently has 6,500 locations across the U.S., but Allison said that the nation could easily support 8,000 locations. Domino's opened four new stores every day during the quarter, setting themselves up for growth for a long time to come.

The brand is also strong internationally, where franchisees tailor the experience to their local markets by buying local and hiring local. With only 400 locations in China, the potential is tremendous for Domino's in the world’s most populous country.

When asked about the labor shortage in the U.S., Allison said that immigration has always been the backbone of hiring at Domino's. He believes the U.S. needs more immigrants to solve the national restaurant worker shortage. Immigrants typically start as delivery drivers at Domino’s but can  work their way up to millionaire franchise owners. 

Allison explained that Domino's owns stores for three reasons: to lead, develop great people and because it makes a lot of economic sense.

Finally, Allison commented on Domino’s driverless delivery trials by saying they continue to learn a lot from the program and as the technology evolves, Domino's will be at the forefront. In the trials, consumers call the store and get a PIN. They meet the vehicle at the curb, enter the PIN and take the pizza from the vehicle.

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