Coffee review

DunkinDonuts sells 1 billion cups of coffee a year and will become Starbucks' biggest competitor.

Published: 2024-11-08 Author: World Gafei
Last Updated: 2024/11/08, Professional barista communication Please pay attention to the coffee workshop (Wechat official account cafe_style) with the changing consumption habits, the catering industry, whether it is the fashion of the brand, or the combination of products, needs to constantly push through the old and bring forth the new in order to adapt to the trend of the times. It is true that there are not many catering chains with a history of more than 50 years, such as KFC and McDonald's.

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With the changing consumption habits, the catering industry, whether it is the fashion of the brand, or the combination of products, need to constantly push through the old and bring forth the new in order to comply with the trend of the times.

It is true that there are not many catering chains with a history of more than 50 years, such as KFC and McDonald's. Dunkin' Donuts, a coffee brand selling doughnuts, has finally become Starbucks' biggest competitor after several twists and turns and continuous reform in its brand history.

More than 60 flavor doughnuts, 12000 stores around the world

Dunkin' Donuts is the world's largest coffee and bakery chain, specializing in doughnuts, freshly ground coffee, other baked products and seasonal drinks.

In 1950, it opened its first store in Boston, USA; in 1963, it opened 100 stores in the United States; in 1970, it went to overseas markets and opened its first store in Japan.

In 2008, the brand entered the Chinese market with the Chinese name "Donndole". At present, there are 31 stores, including 16 in Beijing, 6 in Shanghai and 9 in Shenyang. In 2015, the brand announced plans to open 1400 stores over the next 20 years.

Today, Dunkin' Donuts has more than 12000 stores in 37 countries.

In addition to doughnuts and coffee, Dunkin' Donuts also has seasonal drinks, sandwiches, ice cream and so on. The top five popular products of the brand are: mixed coffee, honey donut, signature latte, chocolate Boston Qiaoxin shellfish, energy pancakes.

It is said that Dunkin' Donuts Shanghai stores offer more than 60 flavors of doughnuts, the brand will conduct local market research, the sweetness of doughnuts will also be adjusted according to the tastes of local consumers.

A professional doughnut brand, doughnut sales only account for 8%! Today's consumers pay more and more attention to a healthy diet and pursue a low-sugar and low-oil diet, so doughnuts with high sugar and oil content are really difficult to gain a foothold in China. But brands are also adding lower-calorie doughnuts and dried bread to the menu.

Dunkin' Donuts has always had a marketing habit of giving away doughnuts for free. Customers can get a free doughnut as long as they have completed the online survey, and usually they can get a free doughnut when they buy a medium-sized drink.

Nearly 1 billion cups of coffee are sold every year, making it a giant in the coffee industry.

Although Dunkin'Donuts started out selling doughnuts, it has become a beverage giant, selling nearly 1 billion cups of coffee a year. More than 2% of all products sold by the brand come from branded beverages. Since 2000, sales of espresso drinks alone have increased by more than 70%, even raising profit margins to 95%! And has been rated as the "highest customer loyalty" coffee chain brand by Brand Keys for eight consecutive years. It is no longer a doughnut chain.

No wonder, after all, the freshly ground coffee market in the United States is very large, accounting for 91% of the total coffee market, and is growing at a rate of 3%, with revenue reaching about $13.5 billion in 2016, far exceeding instant coffee and instant coffee.

The reason why Dunkin' Donuts has grown into the seventh largest food brand in the world is mainly due to a popular way of eating doughnuts in coffee that was promoted in the early days of the brand. This is a bit like the concept of Oreos soaking cookies in milk.

The first step in Dunkin' Donuts's future strategy is to build a leading position in the coffee industry. In addition to the existing light roasted coffee, there are deep-roasted coffee and ready-to-drink bottled coffee in partnership with Coca-Cola, which can be bought in grocery stores, convenience stores, supermarkets, including Whole Foods, and Dunkin' Donuts stores across the United States.

Grow up in constant competition with Starbucks

Many people in the industry believe that Dunkin'Donuts has always been in the habit of imitating Starbucks. After all, the brand is considered to be Starbucks' biggest competitor and the price is slightly lower than Starbucks. But Dunkin'Donuts 's first coffee has been around for half a century, with more than 8000 stores in the United States, carving up nearly 60 percent of the US coffee market with Starbucks.

For example, in 1995, Starbucks launched the Frappuccino series, and two years later, Dunkin'Donuts also launched the Coolatta series, which has been in existence for 20 years, but has been replaced by Frozen Coffee's new coffee product line this year. In 2015, Starbucks launched cold coffee, and Dunkin'Donuts launched the same drink in 2016.

Starbucks has a Teavana tea line, and Dunkin'Donuts has added and launched a boutique tea series in addition to the original fruit-flavored tea, with five flavors of breakfast black tea, harmonious green tea, chrysanthemum herbal tea, hibiscus tea and peppermint tea.

Hit by McDonald's full-time breakfast plan, Dunkin' Donuts is also working on the breakfast menu. Since last year, cold coffee, chicken waffle sandwiches, egg bacon waffles, Sausage Rolls, cakes and other new products have been launched in some parts of the United States. Before that, the brand had 13 choices of sandwiches during breakfast alone, and waffle sandwiches were a sign of differentiation and competitiveness.

From the extension of food to drinks, or the cross-border between drinks and desserts, the goals of both sides are to improve the unit price and efficiency of customers, and to provide consumers with more choices and consumption experience.

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