The Domino Effect: How Tom Monaghan Changed Fast Food Forever
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Domino's is one of the world's most popular pizza brands, but its journey to the top wasn't exactly covered in cheese and pepperoni for its founder, Tom Monaghan. An orphan who struggled in life and in school, Monaghan was able to overcome several hurdles to become a pizza kingpin worth billions.
Tom in the 60s had taken a loan of only $500 and bought a pizza shop with his brother James. In 1985, however, Monaghan was worth much more than a few hundred million dollars since his pizza empire had spread all over the world. Today, Domino's has over 7000 stores around the world and an annual revenue of more than $4 billion. So here was the man behind the '30 minutes or less' strategy, one that overnight changed the pizza industry.
Tom Monaghan: Biography
| Name | Thomas Stephen Monaghan |
|---|---|
| Born | Ann Arbor, Michigan |
| Nationality | American |
| Profession | Founder of Ave Maria University Founder of Domino’s Pizza Former owner of Detroit Tigers (1983-1992) |
| Education | University of Michigan |
| Spouse | Marjorie Zybach |
| Children | 4 |
| Net Worth | Nearly $1 billion |
Tom Monaghan: A Rough Beginning
Tom Monaghan: Entering the pizza business
Tom Monaghan: Birth of Domino’s Pizza
Tom Monaghan: Domino’s Revolutionized the pizza industry
Tom Monaghan: Challenges and wins!
Tom Monaghan: Billionaire Lifestyle
Tom Monaghan: Catholic Activism and Philanthropy
Tom Monaghan: Ave Maria School of Law
Tom Monaghan: Ave Maria College
Tom Monaghan: Political Role
Tom Monaghan: Awards & Recognitions
Tom Monaghan: Famous Quotes!
Tom Monaghan: A Rough BeginningÂ
Tom was born in 1973 in Ann Arbor, Michigan. Tragedy struck when he was only 4 years old as his father died on Christmas Eve. His mother felt burdened with the responsibility of caring for two young boys and decided to put Tom and his younger brother James into an orphanage run by the Felician Sisters. Later on, the parents returned to their children, but this experience strengthened Tom's character and instilled a sense of discipline that was crucial to him later on.
Tom aspired to be a priest early in life, but his mischievous nature led to his expulsion from seminary school. When he returned to public school he graduated last in his class. Tom dreamed of studying architecture at Michigan University but due to poor grades and lack of funds, he had to enlist in the Marine Corps. With a disciplined life, he was able to save enough money for college. Sadly, he was swindled out of all his savings by a fraudulent oilman leaving him with only $15 in his pocket.
Yash Gupta
Tom Monaghan: Entering the Pizza Business
After multiple false starts in his career, in 1960, James (Tom’s brother) proposed buying a pizza shop in Ypsilanti, Michigan. Combining their savings and borrowing the rest, they purchased Dominick’s pizza, which would be the foundation of their business. Tom jumped into the business and worked over 100 hours a week to make ends meet. But in just six months James left the business by trading 50% of his shares for an old Volkswagen Beetle.
Tom Monaghan: Birth of Domino’s Pizza
Once James left the business, Tom again came face-to-face with financial ruin and had to live off burnt pizza and stale popcorn. He even lost his home in the process. But he persevered and made the pivotal decision to introduce the concept of free pizza delivery. This became a hit among college students and demand surged. Thanks to a jump in demand, Tom further streamlined the business to focus only on pizza, and the company was rebranded into Domino’s Pizza in 1965.
Tom Monaghan: Domino’s Revolutionized the pizza industry
Tom relentlessly pursued improvement in the pizza delivery business and even designed a new pizza box style that would not only keep the pizzas warm but could also be stacked without damaging the pie. This with his famous 30-minute or free delivery model revolutionized the entire pizza industry. Domino’s rapidly expanded with its network of strategically located stores which helped solidify its place in the fast-food industry.
Ananya Mukherjee
Tom Monaghan: Challenges and wins!Â
With all the success Tom acquired, he has also faced his fair share of challenges. A fire destroyed their main store and office and his overambitious expansion plans nearly made the company bankrupt in the 60s. But Tom was steadfast and resilient. He scaled back his expansion plans, and entirely restructured his company.
By 1980 Domino’s had grown to over 5000 stores and Tom was now wealthy enough to fulfill his lifelong dream of buying the Detroit Tigers. Incidentally, they won the World Series the next year.
Tom Monaghan: Billionaire Lifestyle
In the 1980s once Tom reached the list of one of the wealthiest Americans, he went on a spending spree.
- He always wanted to fly so bought a Gulfstream jet and a Sikorsky S-76 helicopter.
- He always wanted to study architecture but dropped out of college, so started collecting decorative works of his hero, Frank Lloyd Wright
- Being a car buff he bought a fleet of cars that even included a customized Bugatii Royale and the Packard that carried F.D.R. for his second inauguration
- As a child he found consolation in following the sports journey of the Detroit Tigers, so in 1983 he bought the team
Tom Monaghan: Catholic Activism and Philanthropy
Tom grew up as a devout Catholic and has always been interested in pro-life causes. He helped set up a number of Catholic organizations and educational establishments. Monaghan publicly promotes the attendance of mass daily, the recitation of the rosary, and even frequent confession. He has also committed to spending the remains of his fortune on spreading and restoring the Catholic faith.
In 1983, Tom set up the Mater Christi Foundation, currently known as the Ave Maria Foundation to help the youth focus on Catholic education, projects, and media. He is also the founder and CEO of Legatus International, an organization of Presidents, CEOs, and business leaders who are committed to spreading the Christian faith.
In 1997 he recruited pastor Al Kresta to become the head of Ave Maria Communications, the first Catholic radio apostolate in America. The channel came to be known as Ave Maria Radio. He also established the Ave Maria List, an anti-abortion political action committee, and the Thomas More Law Center, a non-profit law firm dedicated to opposing social issues such as same-sex marriage, abortion, and secularism.
The Ave Maria Foundation also helped set up the Spiritus Sanctus Academies which are run and administered by the Dominican Sisters of Mary, Mother of Eucharist.
Niharika Kalyankar
Tom Monaghan: Ave Maria School of Law
The Ave Maria School of Law located in Ann Arbor, Michigan opened its doors in 2000 and gained full accreditation from the American Bar Association in 2005. The school was the brainchild of professors Joseph Falvey, Stephen Safranek, Mollie Murphy, and Richard Myers who presented their idea to Monaghan.
Tom was intrigued and helped set up the school in Michigan. He served as the President of the school’s Board of Governors. The school’s goal is to help educate competent attorneys who will help influence the legal profession and advance natural law theory. The Ave Maria school had their last Michigan class in the Spring of 2009, after which they relocated to Naples, Florida permanently.
Tom Monaghan: Ave Maria College
Tom’s dream of setting up a Catholic university was fulfilled when he founded Ave Maria College in Ypsilanti, Michigan. But due to lack of funds and faculty and student protests the institution closed its gates in 2007.
Tom Monaghan: Political Role
Tom has been an active member of the Republican party political circuit. He was one of the prime financial backers of Sam Brownback in the 2008 presidential campaign and he even endorsed Donald Trump’s 2020 presidential campaign.
Apoorva Bajj
Tom Monaghan: Awards & Recognitions
- International Franchise Association (IFA) Gold Plate Award (1983)
- Horatio Alger Award (1995)
- IFA Entrepreneur of the Year Award (1986)
- Napoleon Hill Award (1987)
- Pope John Paul II Family Fidelity Award (1988)
- Marine Corps Leatherneck Award (1990)
- NRN / MUFSO Pioneer of the Year Award (1999)
- Honorary degrees from twelve universities around the world,
- Named an Honorary Fellow of Magdalene College within Britain’s University of Cambridge (March 2000)
Tom Monaghan: Famous Quotes!Â
“I believe everyone on earth has a certain goal/dream in life. I also believe anyone can achieve this if they set their minds to it.”
“You always get negative reactions. If you worry about that, you would never do anything.”
“No matter what an individual decides to become, hard work and determination is very important in today's competitive world. You may also encounter hardships along the way, but you must not get discouraged and you push on in order to fulfill your goals.”
“I owe all my success to stupidity.”
“I sometimes compare my brainstorming on paper to the drilling of oil wells. The only way to strike oil is to drill a lot of wells.”
FAQ
Does Tom Monaghan still own Domino's Pizza?
No, Tom Monaghan sold Domino's Pizza in 1998.
What is the relationship between James and Tom Monaghan?
James and Tom Monaghan are brothers. Together, they co-founded Domino's Pizza in 1960.
Who owns Domino's in India?
Domino's in India is owned by Jubilant FoodWorks Limited.
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