Are E-Bikes the Next Big Thing in Delivery Tech? Domino's is E-Leading the Way

Delivery has been a hot topic in the QSR and fast-casual industry for a while now, especially with the aggressive marketing and development of third party aggregators. 

Domino’s has managed to stay on the cutting edge of the delivery game for years—the brand is particularly known for its innovative five-point-tracker. Now, with popular apps like DoorDash and GrubHub offering driver tracking, the third-party delivery trend has proven to be a worthy competitor. According to a Q2 sales call, Domino’s same-store sales growth is down a drastic 50%, due mainly to the aggressive activity of third-party aggregators, according to CEO Ritch Allison. 

The pizza chain’s new tactic—e-bikes—have small, integrated motors to assist with pedaling, and can run 25–40 miles depending on the user before needing a recharge. Domino’s custom model includes enough room for each bike to carry up to 12 large pizzas. 

While the phenomenon is fairly new in the United States, motorized bikes and scooters have been used for delivery globally by big brands such as McDonald’s, Pizza Hut and, well, Domino’s.

As opposed to the brand’s self-driving car, the e-bikes are eco-friendly, traffic-resistant and offer lower delivery costs. Domino’s will also be able to combat the extremely competitive allure of working for third-party companies by offering delivery jobs to candidates without automobiles. 

Greg Keller, a Domino's franchisee in Seattle, told QSR Magazine, "While delivery on a traditional bike solved many of our traffic and parking issues, the hills in Seattle were tough on even our best cyclists. E-bikes were a game-changer for us."

With QSR and fast-casual brands constantly looking to stay ahead of the curve, don’t be surprised if you start seeing more delivery cyclists zipping by with pizzas at 40 miles-per-hour.