Domino Pizza Enterprises has initiated a network-wide financial assistance program to pay franchisees $15,600 for each store they operate.
But franchisees are unhappy the funding will come from advertising fees they have paid the pizza chain, the AFR reports.
Domino’s reportedly had an advertising fund of $66.7 million in the 2025/26 financial year, of which $62.5 million was sourced from franchisee fees.
The temporary assistance equates to a 2 per cent reduction in store marketing contributions for six months. Franchisees have been told they should spend the money on staffing and operations rather than marketing, the AFR reports.
The first of two payments will be made next week; the second will come in March 2027.
An email circulated to store owners last month reveals Domino’s will deduct the value of any overdue invoices from franchisees’ support payments.
Domino’s CEO Andrew Gregory initiated the rescue program to provide immediate support to struggling franchisees, rather than waiting for stalled mediation with franchisees to conclude.
Franchisees are seeking a cut in fees after the brand’s shift in strategy from discount to everyday value resulted in a 4.7 per cent drop in sales in the year to June 30.
According to a franchisee survey sighted by the AFR, about two-thirds of Domino’s franchisees are behind on tax payments.
