Reference
Check whether the offer adds demand
Set a comparison before running an offer. Track orders, net revenue per order and contribution. Check whether customers switched from full-price orders or another channel.
Reported by the companies
Collins Foods operates KFC restaurants in Australia. It cited stronger demand for value offers in its FY25 results. Historical offers included the A$9.95 Luxe Lunch.
Domino’s Pizza Enterprises operates stores across several markets. Its FY24 Japan presentation reported higher traffic against a control group. The company described less discounting and a similar realised ticket in the test.
Costco, the membership retailer, reported a 10% rise in FY25 membership fee revenue. It attributed about 40% of membership income growth to the fee rise. New member sign-ups also contributed.
What we infer
Set the comparison before running the offer. Use comparable sites or customers. Record orders, net ticket and contribution after the offer. Check whether customers switched from full-price orders or other channels.
What remains open
The KFC results do not isolate orders caused by one offer. The Domino’s disclosure leaves trial design and wider rollout effects open. Costco’s fee attribution and renewal figures do not identify a demand response to a single price.
Work through the decision
Sources
Responsibility and method
Responsible author: Andrew Wilson. Publisher: onestepright.
Substantive update: . Selected Collins Foods, Domino’s and Costco disclosures retain the scope and limits of each offer and fee.