Dunkin’ Donuts was founded on the notion that success comes from those who are focused on doing their work flawlessly. With just a basic recipe for baking and coffee, The fast-food chain has grown to become an iconic brand but also the fastest-growing within the U.S with over 13,000 stores all over the world. We can learn lots of things from Dunkin Donuts SWOT Analysis.
Interesting Facts: Did you know that Dunkin sells 30 cups of coffee per second this is equivalent to 1.7 billion cups hot and iced tea worldwide every year?
Everyone can learn something from Dunkin Donuts SWOT analysis.
Dunkin Donuts At A Glance – Dunkin Donuts SWOT Analysis
Company: Dunkin’ Brands
Founders: William Rosenberg
Year of establishment: 1950
CEO: David Hoffmann
Headquarters: Canton, Massachusetts, United States
Employees (Dec 2020): 1200
Ticker Symbol: DNKN
Annual Revenue (Dec 2020): US$1.37 Billion
Profit net income (Dec 2020): US$487.8 Million
Products & Services: Baked Goods | Hot Beverages | Iced Beverages | Frozen Beverages | Sandwiches | Soft Drinks
Company Website: Dunkin’® Coffee (dunkinathome.com)
Dunkin Donuts Competitors
Competitors: McDonald’s | Burger King | Domino’s Pizza | KFC | Subway | Starbucks | Taco Bell | Chipotle | Wendy’s | Pizza Hut | Papa John’s Pizza | Panera Bread
Dunkin Donuts SWOT Analysis – SWOT Analysis Of Dunkin Donuts
SWOT Analysis Of Dunkin Donuts analyzes the brand based on its strengths weak points, weaknesses, opportunities, and threats. With Dunkin Donuts SWOT Analysis it is clear that the advantages and disadvantages are internal factors, while threats and opportunities are external elements. Here we are going to talk about Dunkin Donuts SWOT Analysis. Below Is The Detailed SWOT Analysis For Dunkin Donuts.
Dunkin Donuts Strengths – Dunkin Donuts SWOT Analysis
- Global Operation: Exploring a huge market provides increased customers, which boosts the profits and sales. In in 2002 Dunkin’ had 5,000 food outlets in 38 countries. It has grown over the past two decades, to 13,000 restaurants across 46 countries. It has evolved into the largest coffee-and-baked-goods chain in the world.
- Perfect positioning: Dunkin’ is associated with breakfast almost everywhere. This is due to its perfect position as the go-to breakfast spot. Through focusing on a tiny segment this fast-food chain has distinguished itself from its competitors.
- Fantastic Franchise Strategies The resilience of business models will be tested during times of crisis. Dunkin’s franchise plan helped to cushion the effects on this pandemic and allowed Dunkin to come out on the other side more secure than its competitors.
- Community-Centric Strategies adopting strategies to support the community won’t be without reward. Dunkin’ recently announced it is hiring more than 25,000 staff in its effort to keep America operating and functioning.
- Strategic branding: With 70 years in the business, Dunkin’ has always been relevant to customers regardless of age. From marketing to eliminating the word “Donuts in its name, and menu modifications the company implements strategically designed measures to ensure it stays relevant to the intended audience.
- Great Supply Chain Management: Dunkin’ effectively manages its supply chain to ensure the timely supply of fresh baked items and coffee ground to the outlet that customers prefer. Dunkin’ recently participated in the sustainable coffee challenge to boost the supply of premium coffee.
- Eco-friendly Policy: In a world that is impacted by climate change, businesses that have eco-friendly policies are preferred by consumers. Dunkin’ set a target to reduce its carbon footprint. They have has successfully converted all the outlets it operates to Polystyrene cup to plastic.
Dunkin Donuts Weaknesses – Dunkin Donuts SWOT Analysis
- Over-Reliance on the US Market: In FY 2019, 46.7% of the company’s total revenue was derived directly from its Dunkin’ Donuts US segment. With more than half of its revenue coming from US markets, Dunkin’ will be severely affected in the situation of economic turmoil within the marketplace.
- slower expansion: As competitors like McDonald’s and Burger King expand rapidly across the globe Dunkin’ has adopted the restricted expansion plan. This slow expansion strategy is a weak point because Dunkin will always expand into new and new markets later than its rivals.
- Poor targeting outside The US: While Dunkin’s targeted marketing has led to a steady increase in revenue throughout the US, the chain has been struggling with its performance in India along with other lucrative markets in the emerging markets. This is due to the lack of understanding of the non-American market, leading to inadequate strategies.
- A lack of variety: Dunkin’ relies heavily on coffee and bakery products, which limits the fast-food chain’s reach to a tiny portion of the food industry. The reduction or simplifying offerings to meet the needs of certain segments also limit the amount of customers.
- Low Financial Capabilities To be competitive in the market, businesses need huge financial resources. Dunkin’s competitiveness has been hampered by financial pressures and forced to cut back on its expansion strategies.
Dunkin Donuts Opportunities – Dunkin Donuts SWOT Analysis
- Provide healthier choices: The revenues of Dunkin’s competition such as Burger King increased tremendously when they introduced healthier plant-based alternatives to their menus. Dunkin’s can also capitalize on the growing demand for healthier meals by providing healthier options.
- Increase Market Exposure Dunkin’ will be able to cater to larger numbers of customers and grow its revenue. Dunkin’ must expand the number of storess in addition to its presence on the market in order to attract more customers.
- diversify the revenue stream Placing all of its income sources and resources in one industry could be detrimental when the sector is declining. Dunkin’ can diversify its sources of revenue to include something such as grocery stores selling fresh and healthy farm products.
- Improve operations for Emerging Markets: Markets in emerging economies remain unfilled and have a more growth potential. Dunkin’ can strengthen its operations in these markets in order to drive growth.
- Provide More Variety: Because the Dunkin’ lacks variety in its menu it can satisfy the requirements of the whole food business market. It can offer every kind of meal on its menus for breakfast, lunch and dinner. More choices is more appealing to customers.
Dunkin Donuts Threats – Dunkin Donuts SWOT Analysis
- Intense Competition With fierce rivals such as McDonald’s, Burger King, KFC, Starbucks, Pizza Hut and Domino’s Dunkin’s market share and profit margins are constantly under threat.
- Inherent Problems in Franchising Although franchising is an internal issue external forces play an important part in the effectiveness of the model. Other fast-food chains, such as Subway are trying to come up with new prices against the opposition of franchise owners. Dunkin’ is also being threatened due to the inherent problems with franchising.
- Global Pandemic and Recession: The pandemic has destroyed economies across the globe, with many countries now sliding further into recession. Fast-food isn’t in any way immune from pandemics, or recession which means Dunkin’s profits and operations are at risk.
- Increasing Health-Consciousness: The ever-increasing number of health-conscious consumers threatens fast-food chains including Dunkin’ Donuts. Because Dunkin’ Donuts serves unhealthy fast food customers may choose to move to rivals that offer healthier alternatives.
- stringent regulations: The prevalence of hypertension, cardiovascular diseases and weight gaindue to junk food and fast food may prompt authorities to enforce strict rules on fast-food outlets such as Dunkin Donuts.
- The rising cost of living: From rising prices of agricultural products due to the effects of climate changes to the burdensome logistics costs, each additional dollar adds to Dunkin’s profits.
Dunkin Donuts SWOT Analysis Template
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