Analysis of Yummy Dunkin Donuts

INTRODUCTION

Dunkin' Donuts is an American global doughnut company and coffeehouse chain based in Canton, Massachusetts and was founded in 1950. It all started out when the founder of Dunkin’ Donuts made an investment of $5,000 to start out a company named Industrial Luncheon Services. The company delivers snacks and meals during coffee breaks for customers living in the borders of Boston.

The company was a success and William Rosenberg decided to open his very first shop that sells coffee and donuts called the “Open Kettle”. The shop was later renamed as Dunkin’ Donuts in 1950. 5 years later, Dunkin Donuts began franchising, later opening up 100 over outlets all over the world. The chain has grown to include over 1,000 items on their menu, including doughnuts, bagels, other baked goods, and a wide variety of hot and iced beverages.

EXTERNAL ANALYSIS

Dunkin’ Donuts has been placed in the market as a unique product provider. They provides wide range of donuts and beverages giving the particular donut and coffee connoisseur more choices. The consumers are mainly families with children, office workers, sports fans and professionals on the go. They were known as the king of fast-food coffee, towering over a field of lesser brews. (Adapted from source: http://franchises.about.com/b/2009/06/26/the-history-of-dunkin-donuts.htm)

The company primarily competes with Starbucks and McDonalds, as over half the company's business is in coffee sales, and with Krispy Kreme for doughnut sales. In fact Dunkin’ Donuts placed their “gourmet” coffee at a much more affordable price than Starbucks pricier offer, in order to secure a share of that market. Their same for less value proposition put them in good stead with the consumers. This was do...

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... one comes along and copies the idea or gives the same or competitive product for a lesser price. It’s a never ending vicious cycle of creation and improvements and have to continuously evolve to keep up with the market.

One of the best ways to describe marketing is: Marketing is managing profitable customer relationships. The goal is to attract fresh customers by promising greater value and to keep and grow current customers by delivering satisfaction. We further define marketing management as the art and science of selecting target markets and building profitable relationships with them. This is how the marketing strategy was formed in this submission.

Integration of value propositioning with the various segment groups plays a key role in the final outcome of any brand and its products and services. It gives the consumer a reason to buy from a particular brand.