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Dunkin’ Donuts Sees Convenience as the Future

Company says it will simplify and increase ‘convenience’ to boost its same-store sales.
July 28, 2017

​CANTON, Mass. – With same-store sales stagnant and foot traffic so-so, Dunkin’ Donuts has developed a multiyear plan to reverse those trends, QSR Magazine reports. The plan focuses on convenience and simplification, which translates into fewer new menu items.

While the coffeehouse chain saw a slight bump in second quarter same-store sales for U.S. locations, traffic dropped. Recently, Dunkin’ Donuts debuted fruited ice tea and frozen coffee.

The thrust of the new plan is to “transform Dunkin’ into a beverage-led, on-the-go brand,” David Hoffman, president of Dunkin’ Donuts U.S. and Canada, said during a conference call. To do that, the brand will eliminate some menu items, such as afternoon sandwiches and cookies, to streamline operations. The shortened menus will hit restaurants starting in August, and should appear in 1,000 locations through October. “Simplification will continue to be a cultural mindset for our system,” he said.

The plan will also work on increasing the convenience factor through curbside delivery and mobile apps, as well as delivery via third parties and more drive-thrus. Hoffman indicated that 85% of new traditional stores will have a drive-thru, a 15% increase from store openings five years ago.

“Our goal is to be agnostic as to how our guests use Dunkin,” Hoffman said. “[They can] order how they want, pay how they want, and get their beverages and food how they want. … Wrap all of this with modern brand expression— including new restaurant design—and we’re confident this plan will put our system on the next wave of long-term sustainable growth.”