Dunkin’ Donuts Franchise Information: Coffee Chain Planning Expansion

If you can picture yourself rolling out of bed in the middle of the night muttering, “it’s time to make the donuts,” then the recently announced Dunkin’ Donuts expansion may present a franchise opportunity for you. Although the brand went a little stale during the 1990s, Dunkin’ Donuts began refocusing on its coffee in the 2000s, adding flavours and making espresso drinks available to compete more successfully with the higher-end Starbucks chain. Now bolstered by skyward sales (including 24% profit gains in a recent year), Dunkin’ Donuts has confirmed reports that it plans to add between 700 and 800 stores a year until it reaches a confidently aggressive goal of 15,000 locations in the United States. That would be sometime around 2016. If they’re successful, they’ll just about triple their presence, leaving few holes in the doughnut map.

Dunkin’ Donuts Franchise Information: Geographic Expansion

Right now, Dunkin’ Donuts locations are most heavily concentrated in the northeastern and mid-Atlantic states and in select additional metro areas like Chicago, though they are found more sparsely in other parts of the country. Part of the company’s expansion plan is focusing on America’s growing western and southern markets, like the population-explosive Phoenix and the continuously sprawling Texas metro areas. If you live in Dallas, Austin, San Antonio, or Houston, now is the time to start inquiring about franchising seminars run by Dunkin’ Brands (the parent company). Other southern cities like Nashville and Charlotte are on the list too.

Dunkin’ Donuts Franchise Information: How will they compete?

The Dunkin’ Donuts menu remains a bit louder and more accessible than that of other coffee chains – a little less yuppie and a little more average American. It appears that they’re planning to capitalize on their coffee quality/selection combined with their doughnuts and fairly successful breakfast sandwich menu. At the same time, look for the older stores to begin getting makeovers. They’ve realized that brighter stores with cleaner floors – among other contextual changes – make a huge difference to customers.

Dunkin’ Donuts Franchise Information: More Stores per Owner

Once upon a time, Dunkin’ Donuts welcomed franchisees who wanted to own and operate a single store, but with this planned expansion, the coffee chain is changing their specifications for new franchisees. They want new owners to open at least five stores because that cuts down on communication, training, and other expenses. Additionally, as a current franchisee told me anonymously, Dunkin’ Donuts allegedly prefers that level of investment because an owner of multiple stores pulls in greater profits per store than a solo store owner. The operation of multiple locations allows for greater efficiency with everything from equipment to staffing. Under the new franchise guidelines, though, not all of an owner’s five stores need to be full-size locations with on-premises bakeries and full food service; some can be tight-spaced spin-off locations (not unlike the Dunkin’ Donuts in many of Chicago’s train stations).

Dunkin’ Donuts Franchise Information: More Experienced People Wanted as Owners

And although many of us associate this coffee chain with recently arrived immigrants, especially those from Pakistan, Bangladesh, and neighboring countries, the demographic of Dunkin’ Donuts franchisees may begin to change slightly as the company seeks more new store owners with significant experience in restaurant settings. Now, Dunkin’ Donuts is asking for five years of management experience, with three years of restaurant experience preferred – something a little harder (though not impossible) for recent immigrants to demonstrate. In addition, Dunkin’ Donuts has recently launched a program to help transition American military veterans into store franchisees.

For more Dunkin’ Donuts franchise information, visit www.dunkindonuts.com and www.dunkinbrands.com.

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