Dunkin Donuts Business Plan

Dunkin Donuts Business Plan-14
The number of Dunkin’ Donuts restaurants increased by 291 in 2012, and by 371 in 2013, and by 405 in 2014, thus maintaining a growth rate of slightly above 5%, and the company expects to continue to achieve this growth rate over the next few years.In addition to existing digital initiatives of social media marketing and an online presence, Dunkin' Brands plans to introduce mobile order and pay in the future to drive sales.

The number of Dunkin’ Donuts restaurants increased by 291 in 2012, and by 371 in 2013, and by 405 in 2014, thus maintaining a growth rate of slightly above 5%, and the company expects to continue to achieve this growth rate over the next few years.In addition to existing digital initiatives of social media marketing and an online presence, Dunkin' Brands plans to introduce mobile order and pay in the future to drive sales.Focus on International Markets While the company's international segment has been struggling for the past few quarters (Baskin-Robbins' international segment registered a 2.4% decline in the comparable store sales for Q3 2015), we believe it has a strong potential and the company's goal to remain focused on international markets is key for future growth.

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Theses generic strategies include the differentiation strategy, the cost leadership strategy, and the focus strategy.

While the cost and differentiation strategies are implemented industry wide, the focus strategy is only used for individual business segments.

Starbucks has successfully deployed mobile order and pay in several stores and we believe Dunkin's efforts in this direction could have a significant impact on sales.

The company also plans to use technology to improve store efficiency, and to use data and analytics to measure product popularity.

A plan to use innovation, data, and technology to drive sales, take creative approaches to maintaining leading U. franchise returns, focus on growth in the international business, and expand its CPG (consumer packaged goods) business, is all part of Dunkin' Brands' strategy for growth in the next five years.

The company has a target of mid to high single digit revenue growth and a 10% adjusted operating income growth for the next five years.

Both Dunkin’ Donuts and Baskin-Robbins brands are performing well in the Middle East, and the company expects that with time it will be able to establish both brands in China.

The international segment comprises nearly 10% of Dunkin’ Brands valuation, as per our estimates, and a faster growth in this segment could lead to an upside in its valuation.

Despite the change in name, Dunkin’ will continue to offer doughnuts, including its popular Munchkins and seasonal menu additions.

The company, which has more than 12,500 stores in the U. and other markets, bills itself as the largest doughnut seller in the U. with global sales of more than 2.9 billion annually.

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