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Dunkin' Brands Group, Inc. Message Board

  • chuckpalot chuckpalot Jun 26, 2013 11:12 AM Flag

    Heading West - But First the Ad Campaign

    Taken from BostInno

    Does America really run on Dunkin’? According to a recently published map of every Starbucks and Dunkin’ Donuts in America, that slogan may be a bit of an exaggeration — but a new national media campaign hopes to get the west coast aboard New England’s favorite bandwagon.

    Dunkin' Brands CFO Paul Carbone referred to Dunkin’ as “a beverage company” at a consumer conference earlier this week, confirming that the days of the nostalgic “Time to make the donuts” ad campaign featuring Fred the Baker will not be returning any time soon.

    Instead, Dunkin’ will play up its best assets by centering advertisements around coffee and other drinks, which bring in 58 percent of revenue, as well as its second most profitable menu item, breakfast sandwiches. Perhaps the slow sales of doughnuts in comparison to breakfast sandwiches inspired the recent marriage between the two, also known as the Glazed Donut Breakfast Sandwich.

    Carbone spoke of plans to move “west of the Mississippi,” utilizing the company's new spotlight on beverage sales to spread beyond the east coast.

    Dunkin's main focus is on infiltrating the battleground state of California, which has the highest volume of Starbucks locations in the country. The company has been planting the seeds for its westward expansion since it began running coffee ads in the Golden State in 2010, despite the fact that Dunkin’ Donuts locations will not spread there until 2015.

    Over the next few years, Dunkin’ aims to double its number of locations in the United States from the current count of 7,400, most of which are concentrated within the northeast, to 15,000 nationwide.

    The hipster in me wants to protest against Dunkin' Donuts becoming too mainstream, but the Bostonian in me feels like a proud parent watching her child graduate from high school. Go get 'em, tiger.

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    • Dunkin is smoking everywhere they open. Here in Ca, Winchell's is a dinosaur (even though their donuts are good, the stores are tired, dirty and the coffee sucks). Crispy Creme continues to be great basic donuts, but no one seems to like them here.

      DDonuts breakfast and lunch sandwiches and beverage orientation is going to continue to kick ash as the penetration to the Wesy rolls out. DNKN is a fabulous growth story and stock to own.

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