Does Dunkin’ need donuts?
Dunkin’ Donuts plans to test an abbreviated Dunkin’ slogan and signage, beginning with a store last week in Pasadena, CA, to help make the chain better known foremost for its beverages.
The beverage emphasis includes not only hot coffee where it battles Starbucks and other regional players, but also iced and frozen drinks. Strong successes this summer have included the launch of Frozen Dunkin’ Coffee as well as S’mores flavored coffee.
“While we remain the number one retailer of donuts in the country, as part of our efforts to reinforce that Dunkin’ Donuts is a beverage-led brand and coffee leader, we will be testing signage in a few locations that refer to the brand simply as Dunkin’,” according to a company statement.
In 2016, the company launched a six-part strategy to drive growth by positioning Dunkin’ as “a to-go, coffee beverages brand” although the positioning earlier this year shifted to “a beverage-led, On-the-Go brand.”
While still including donuts, Dunkin’ Donuts’ food menu has also expanded over the years to include sandwiches and wraps as well as muffins and other baked goods.
Dunkin’ Donuts’ statement noted that the chain has been referring to itself simply as Dunkin’ in some advertising since the launch of the “America Runs on Dunkin” campaign in the mid-2000s.
The statement also said the test “coincides with our company’s plans to develop a new restaurant image designed to offer guests unparalleled convenience.”
On its second-quarter conference call last month, Dunkin’ Brands Group officials noted that convenience is coming from having drive-thrus as a dominant feature at nearly all openings and remodels going forward; its DD Perks loyalty program that includes offers, rewards and access to mobile ordering; and making curbside delivery an option for all franchisees. A new store format planned for a national rollout in the second half of 2018 is expected to be ”transformational from a design, equipment and technology perspective.”
- Dunkin’ Donuts takes shorter name for test drive – Nation’s Restaurant News
- Dunkin’ Donuts Is Considering a Name Change – Fortune
- Dunkin’ Donuts wants to leave a doughnut-sized hole in its name – The Washington Post
- Dunkin’ Brands Group (DNKN) Q2 2017 Earnings Call Transcript – Seeking Alpha
- Dunkin’ Donuts to Open in Pasadena Debuting Rebranded Look for Popular Chain – Pasadena Now
DISCUSSION QUESTIONS: Do you see more pros than cons in removing “Donuts” from the Dunkin’ Donuts name? What key questions must the rebranding test answer?