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Dunkin\' Donuts - Marketing Management Presentation

Dunkin\' Donuts - Marketing Management Presentation

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Dunkin’ Donuts Dunkin’ Donuts Presentation Transcript

  • Dunkin’ Donuts®
    •Eddie Suchevits•
    dunkindonuts.com
    dunkindonuts.com
  • Company history:
    In 1950 William Rosenburg opened the first Dunkin’ Donuts in Quincy, MA
    1990 – Allied Domecq (UK) purchases Dunkin’ Dounuts
    Create Dunkin’ Brands
    Includes Baskin-Robbins and Togo’s
    2005 – PernodRicard, a French wine & spirits company, purchases Allied Domecq and sells off Dunkin’ Donuts
    Bain Capital Partners, the Carlye Group and Thomas H. Lee Partners bring Dunkin’ Brands back the United States at a cost of $2.4 billion
    dunkindonuts.com
    dunkindonuts.com
  • Background:
    Dunkin’ Brand HQ:
    Canton, Massachusetts
    Claims to be the “world’s largest coffee and baked goods chain.”
    Serving 2.7 million customers per day
    5,769 U.S. locations
    20 countries
    Wholly owned private subsidiary
    themarketingguy.wordpress.com
    dunkindonuts.com
    View slide
  • Environmental Factors:
    Economic
    Consumer are more likely to pay 99¢ over Starbucks Prices (abc2news.com)
    Legal
    Must comply with FDA regulations
    Competition
    Coffee: Starbucks
    Donuts: Krispy Kreme
    Limited-Service Restaurants: McDonald’s
    Technology
    Face-scanning advertising (guardian.co.uk)
    Cultural
    “Dunkin’ Democrats” vs. “Starbucks Democrats”
    dixiedining.wordpress.com
    dunkindonuts.com
    View slide
  • Sic: 5812 (Eating places)NAICS: 722211(limited-service restaurants)
    Sources: allbusiness.com, restaurant.org, nytimes.com, rimag.com, dunkindonuts.com, RMA
    dunkindonuts.com
  • Revenue:
    dunkindonuts.com
    (in thousands)
  • Profits:
    dunkindonuts.com
    (in thousands)
  • Product:
    dunkindonuts.com
    Dunkin’ Donuts’ products are consumer shopping goods
    Consumers must spend some purchasing effort
    Majority of products are only available in Dunkin’ Donuts shops
    Stage of the product life cycle
    Maturity due to industry profit fluctuations
    dunkindonuts.com
    dunkindonutsobx.com
  • Market Share:
    dunkindonuts.com
    Source: Market Share Reporter 2008
  • Market Share:
    dunkindonuts.com
    Source: Market Share Reporter 2008
    dunkindonuts.com
  • Market Share:
    Source: Market Share Reporter 2008
    dunkindonuts.com
  • Product Strategies:
    Product Development
    Breakfast sandwiches to
    existing breakfast crowd
    Market Development
    Targeting coffee enthusiast with cappuccinos, espressos, and lattes
    Diversification
    Offering flatbread sandwiches
    and personal pizzas
    Market Penetration
    Coupons / Coupon Books
    dunkindonuts.com
    dunkindonuts.com
    dunkindonuts.com
  • Distribution channels:
    PackagedCoffee
    Donuts, Food, and Online Sales
    Producer
    Producer
    Distributor
    (Proctor & Gamble)
    Retailer
    Consumer
    (Wal-Mart, Kroger)
    Consumer
    dunkindonuts.com
  • Distribution:
    Dunkin Donuts would be Channel Captain
    Expert
    Referent
    Legitimate
    Contracts with franchisees and Proctor & Gamble
    Selective Distribution Strategy
    Products except coffee require some purchase effort
    Packaged coffee is moving toward intensive distribution strategy
    Now available in grocery stores and online.
    interstatelogos.com
  • Price:
    One Dozen Glazed Donuts:
    Dunkin’ Donuts: $7.49
    Krispy Kreme: $6.99
    Altoona
    YUM YUM Donuts: $7.75
    Waynesburg
    Tim Horton’s: $5.49
    Erie
    Market Place Environment:
    Limited-Service Restaurants: Differentiated Competition
    Donut/Ice Cream Chain Industry: Oligopoly
    Skimming Strategy
    Profit-Oriented Objective
    dunkindonutsobx.com
    (Prices found through telephone interview)
    dunkindonuts.com
    Themarketingguy.wordpress.com
  • Marketing Communication:
    Target Market (independentsources.com)
    Men
    Over 50 years of age
    Rural Eastern US
    > $20,000
    Strivers
    Makers
    Frame of Reference
    Donuts
    Krispy Kreme / Tim Horton’s
    Coffee
    Starbucks / McDonald’s
    Point of Difference
    Diverse menu with a wide range of coffee
    and tea beverages
    dunkindonuts.com
    dunkindonuts.com
  • Positioning Map:
    (Prices found through telephone interview)
    spyur.am
    High Price
    (4.00, $7.75)
    dunkindonuts.com
    Price based on a dozen glazed donuts
    krispykreme.com
    (4.33, $7.49)
    (3.09, $6.99)
    timhortons.com
    (3.33, $5.49)
    High Quality
    Low Quality
    Quality based on consumer ratings at rateitall.com
    dunkindonuts.com
    Low Price
  • Marketing Communication:
    Promotion Objective
    Create Preference
    Offering a wide menu
    Reinforce conviction
    Through Dunkin’ Beat Starbucks campaign
    Promotion Strategy
    Pull
    Advertising directly to consumers
    dunkindonuts.com
    dunkindonutsobx.com
    dunkindonuts.com
  • Promotion mix tools:
    Web Marketing
    www.dunkindonuts.com
    www.dunkinbeatstarbucks.com
    Advertising
    Dunkin’ Beat Starbucks
    Print Ads
    Promotion
    Red Sox Win, You Win
    http://www.youtube.com/watch?v=SzWIvxXsuYw
    Sponsorships
    Boston Red Sox
    “Dunkin’ Dugout”
    jennylafer.com
    bostonherald.com
    flickr.com
    video.aol.com
    flickr.com
  • Promotion Mix Tools:
    Direct Marketing
    Coupon Books / Coupons
    “FREEquent” visit cards
    Personal Selling
    All 5,769 franchised restaurants in the United States
    Public Relations
    Press Release (website)
    Tribune Democrat
    dunkindonuts.com
  • Questions?
    Thank you!