New CEO focused on keeping the Dunkin’ brand relevant
David Hoffmann, the newly named CEO of Dunkin’ Brands, knows what it takes to keep the brand relevant in the minds of consumers — and it isn’t doughnuts.
“Relevance is at the heart of what we are trying to do. Brands that stay narrow in their lane do their best,” Mr. Hoffmann told CNBC. “On the Dunkin’ side, that is great coffee, fast. It’s our sweet spot.”
Mr. Hoffmann joined Dunkin’ Brands as the company’s president in 2016 after 22 years at McDonald’s. He has been responsible for implementing the chain’s multi-year plan to transform Dunkin’ Donuts into a “beverage-led, on-the-go brand.”
His duties included leading all aspects of the company’s business in the U.S., including the creation of the next generation concept store under the Dunkin’ banner. The concept, which omits “Donuts” from its name, first debuted in Quincy, MA earlier this year. It features dedicated space for mobile order pickups, digital ordering kiosks and a drive-thru for customers who order in advance using the DD Perks app. The chain plans to open around 30 such stores this year.
Dunkin’ Donuts has also simplified its menu under Mr. Hoffmann’s leadership. Earlier this year, the chain removed 10 slower moving breakfast and lunch menu items to focus on more popular choices. The chain made the move with the expectation that it would help improve customer service and the experience within its stores.
Mr. Hoffmann replaces Nigel Travis, who led Dunkin’ Brand Group’s successful initial public offering in 2011. Mr. Travis, who has been with the company for nearly 10 years, will continue with the company as executive chairman of the board.
“When we recruited Dave to Dunkin’ Brands 18 months ago with the intent that he would succeed me as CEO, we knew that we were getting a world-class leader with extensive restaurant industry expertise, and he has exceeded all of our expectations,” said Mr. Travis in a statement. “From his development and implementation of the Dunkin’ Donuts U.S. Blueprint for Growth, to the relationships he has forged with our franchisees and the talent management skills he has exhibited, Dave has demonstrated he is exactly the person to lead the next phase of our global growth.”
Dunkin’ Donuts, which posted a 0.5 percent gain in same-store sales during the company’s first quarter, is expected to report its second quarter results on July 26.
- David Hoffman Named Dunkin’ Brands CEO; Nigel Travis Appointed Executive Chairman – Dunkin’ Brands Group
- Dunkin’ Brands new CEO modernizes iconic coffee company to stay relevant to customers who don’t want to pay more for their cup of Joe – CNBC
- New store concept is next step in Dunkin’ rebranding – RetailWire
DISCUSSION QUESTIONS: Do you think Dunkin’ Donuts is headed in the right direction under David Hoffman? Where do you see the greatest opportunities for the chain to gain market share and grow its sales and profits?