Dunkin’ to Give Donuts a Desi Dressing.

American chain to roll out donuts such as coconut rasgulla, gulab jamun & motichoor laddoo as part of its localisation drive

This festive season, Haldiram’s and Bikanervala have a completely unexpected competitor. Taking localisation of its menu to a new micro-level, American donuts and coffee chain Dunkin’ Donuts is in the process of rolling out variants of donuts like coconut rasgulla, gulab jamun and motichoor laddoo.

With its franchise owner Jubliant FoodWorks looking to drive volumes and replicate the performance of its other brand Domino’s Pizza in India, the localisation drive is a first for Dunkin’ Donuts in India.

For Dunkin’ Donuts, the world’s largest donut brand which forayed into the country early last year, the move is ambitious to say the least. Dunkin’ Donuts India president and COO Dev Amritesh says the product’s ‘flexibility’ lends itself to a high degree of customisation. “There’s a significant opportunity to customise donuts for consumers — both for those who are used to the product and those who aren’t yet familiar with donuts.” There have been examples of countries customising donut toppings in other markets from time-to-time, but Amritesh says the extent of localisation is probably the highest in India. The donuts are being rolled out in time for the Diwali season, but the fastest-moving ones will become a permanent feature on the Dunkin’ menu.

The idea may also be exported to other markets if they find acceptance, says Amritesh. Abneesh Roy from securities firm Edelweiss Securities wrote in a report last month: “We expect Jubilant FoodWorks’ valuations to remain expensive given efficient execution, sharp expansion and innovation.”

Early last year, Jubilant had inked a master franchisee alliance with Dunkin’ Donuts, an alliance that diversified its portfolio and reduced its dependence on a single brand – Domino’s. Dunkin’ Brands is the world’s fastest largest coffee and baked goods chain with a global sales of $6 billion.

Localisation is critical to MNCs operating in India especially in foods and is a rule rather than an exception. And, everyone from burger and fries chain McDonald’s to cereal maker Kellogg’s to chips firm PepsiCo Foods has been forced to localise.

The American baked foods and coffee chain currently operates five stores in India and it plans to set up 100 over the next five years, encashing the country’s rapidly growing eatingout segment.

Retail consultancy Technopak Advisors estimates the country’s eating-out market to be close to . 33,000 crore, with organised restaurant chains clocking a growth of 20-25%. The organised segment is valued at about . 8,000 crore.
But, in the April-June quarter, Jubilant FoodWorks reported same-store sales growth of 22.3%, down from 36.7% in the year-ago quarter, as consumers cut back on discretionary spends in a subdued economic environment. Jubilant FoodWorks’ other brand in India, Domino’s, is the category-leader in the pizza segment.

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Dunkin’ Donuts to offer healthier menu items

NEW YORK (AP) — Looking to entice those hungry for a healthier option, Dunkin’ Donuts will begin offering a new slate of better-for-you offerings in August.

The menu, which will debut in stores Aug. 6, will feature two new flatbread sandwiches made with egg whites. Customers will be able to choose either a turkey sausage egg-white sandwich or a vegetable one. Both will be under 300 calories with 9 grams of fat or less, the company said.

”We just felt it was important to provide some choice in our menu,” said Will Kussell, president and chief brand officer.

The new menu will be called DDSmart and will include all current and new items that either have 25 percent few calories, sugar, fat or sodium than comparable products or contain ingredients that are ”nutritionally beneficial,” the company said.

Current products that will join the new sandwiches on the menu include a multigrain bagel and a reduced-fat blueberry muffin.

Kussell said Dunkin’ will continue to add products to the menu and is currently developing several new offerings, but would not disclose any details.

Kussell said Canton, Mass.-based Dunkin’ Brands Inc. will spend several million dollars marketing the new menu.

A number of restaurants have added better-for-you options to their menus in the past few years to take advantage of a trend toward healthier eating.

”We’re staying very true to our brand and very true to our heritage,” said the company’s executive chef Stan Frankenthaler. ”We’re just growing and evolving.”

World’s Biggest Donut Chain Comes To China

After successfully entered Taiwan a year ago, Dunkin’ Donuts, the world’s biggest donut chain, has signed a new contract with its franchisee, Mercuries Taiwan, to open new stores in eastern China.

Dunkin’ Donuts will first open new stores in Shanghai, Jiangsu and Zhejiang and the first flagship store will be opened in Shanghai this spring. The company plans to open 100 new stores in eastern China in the coming years.

Dunkin’ Donuts says the company has completed some investigations about the local market. The sweetness of the donuts will be adjusted in accordance with the taste of local customers. In addition, a series of tea drinks, including the traditional Chinese tea and Western-style tea, will be introduced to meet the needs of Chinese customers.

Founded in 1950, Dunkin’ Donuts is one of the world’s biggest coffee and baking food chain brands. Specialized in hot coffee, iced coffee and donut, its business volume is at the top of American fast food industry. Dunkin’ Donuts now has more than 7,200 stores in 31 countries and regions around the world.

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