Dunkin’ Donuts has decided that the time is right to change its stance in the market. The company no longer wants to be known as a donut shop and wants to focus their attention on coffee and beverages.
As Dunkin Donuts CFO Paul Carbone said: “We are a beverage company,” alluding to the fact that the company wants to move more in the Starbucks direction.
The company wants to expand their presence on the west coast and are doing so by promoting themselves with a beverage-driven campaign. Coffee is big business and carries big profit margins.
In the current competitive food and beverage market Dunkin’ Donuts wants to re-invent themselves also by concentrating on the ever growing gluten-free market.
Their director of global relations, Michelle King, said: “At Dunkin’ Donuts, we recognize the importance of providing our guests with many options, including alternative choices for people with food and dietary restrictions.”
The company wants to increase its standing in the health-conscious state of California where its competitor there, Starbucks, has over 2,000 stores, the intention being that their gluten-free muffins and other edibles will appeal to consumers there.
Dunkin Donuts’ has roughly 7,400 stores nationwide based mainly on the east coast. The company aims to open an additional 15,000 stores over the next few years with a big push to gain a foothold in California.
They will be the first fast-food chain of stores to offer gluten-free pastries, with the aim of grabbing and keeping a niche and so far untapped market in those with special dietary requirements.
Do you think the move by Dunkin’ Donuts to focus less on Donuts and more on coffee is the right move for the company? Or should they just keep on doing what they do best? Are you pleased that they want to introduce a Gluten-free range, and how does that affect you?