Dunkin’ Brands Group, Inc. PDF

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A SWOT analysis worksheet for Dunkin’ Brands Group, Inc....

Description

Company Name: Dunkin’ Brands Group, Inc. SWOT Analysis Strengths Internal

Opportunities External

- One opportunity is the publicity that it receives from the charitable deeds that it has accomplished; the partnership between Dunkin’ Donuts & Baskin-Robbins Community Foundation (DDBRCF) and Feeding America not only helped provide various initiatives to help alleviate child hunger in the United States, but also helped to positively affect the customer’s perspective of the company.

- The strategies - (Dunkin’ Donuts) implemented for The decision that expanding its reach was made to create across the globe to innovative menu various markets that items that could be its competition has implemented for not yet reached. expanding its customer base - Another internal (helped to ensure strength is the that there would not - Another opportunity that is present is the improvement of its be revenue solely in ability for the organization to gain revenue environmental the morning time of from the various franchise fees (5.4% of goals/objectives. each day). This gross sales for Dunkin’ Donuts, and includes various approximately 5% of gross sales for Baskin- (Baskin-Robbins) dinner staples (such Robbins (inside of the United States)), and One thing that has as steak) to its also receives advertising fees. helped the growth menu, while of the company is - One opportunity that could help increase the operating some its outsourcing of amount of sales for its Dunkin’ Donuts locations 24 hours a all of its restaurants includes expanding the hours of day. manufacturing and operation in all of its United States locations distribution of ice - (Dunkin’ Donuts) to either open at an earlier time, close at a cream products. One strength that later time, or remain open 24-hours a day (as has helped is the some select locations already practice this). - (Dunkin’ Donuts) entrance of its The implementation - Another opportunity that is present is the products into of centralized ability that Baskin-Robbins has to enter into multiple manufacturing the retail market by producing its product in supermarkets and locations allow for pints and gallons and making it available for gas stations across fresh bakery purchase in various supermarkets or gas the world, instead of products to be stations. solely relying on the delivered to each restaurant for location. revenue.

Zachary Adams

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Weaknesses Internal

Threats External

- (Dunkin’ Donuts) - (Baskin-Robbins) - One of the threats to Dunkin’ Donuts is its One of the One of the greatest competition of Starbucks and Krispy Kreme weaknesses that this shortcomings that Doughnuts. Starbucks is the world’s largest brand possesses is this brand specialty coffee retailers. It has a widethe 100% franchise encounters is the variety of coffee selections at all of its rate which can limited selection of locations, offers a variety of retail products, cause many products that is offers various food choices, and has more inconsistencies available at than 18,000 locations in 60 countries; this is concerning specific numerous locations one of the strongest competitors for the store policies, and across the United coffee side of Dunkin’ Donuts business. reporting of States. This causes Krispy Kreme Doughnuts is one of the revenues for the the brand to not strongest competitors of Dunkin’ Doughnuts brand as a whole. obtain as much for the donut side of the business, but also - One of the greatest revenue as it can be. plays a role on the coffee side of the weaknesses that - (Dunkin’ Donuts) business because it offers single-serve plague both Dunkin’ One major coffee Keurig products due to the Donuts and Baskinweakness that the partnership with Green Mountain Coffee Robbins locations is brand has caused Roasters; this company directly competes in the barriers to entry itself is due to the the retail space against due to its products for its competitors; vast expansion being made available in countess stores. competitors in these strategy that caused spaces are more multiple locations to - One of the biggest threats to BaskinRobbins is its lack of available products that easily able to open be in close are available in retail settings, and the retail up their own proximity to each space is already heavily saturated with locations because of other; this caused a numerous competitors for specialty ice the lack of various decline in each cream; this will make it very hard to get franchise and franchisee’s revenue marketshare in the space, and will be very royalty fees. The because the costly, while it may not be successful due to lack of additional, additional stores the loyal customers of its competitors (for initial start-up costs drove the customers example, loyal Ben and Jerry’s customers make it far less away from where are far less likely to buy ice cream from expensive to open they initially went. another brand). up “mom-and-pop” specialty locations.

Zachary Adams

2

How the above information will be used: The information provided above from this SWOT analysis can be used in various ways to help ensure growth and increased productivity in each of the brands that make up the Dunkin’ Brands Group. The strengths that are present allow for the Dunkin’ Brands Group to continue exploring its various markets, while being innovative in order to expand its reach; furthermore, the organization can continue increasing its environmental/global impact by continuing to partner with non-profit organizations (such as Feeding America), which will also be beneficial for public relations. The opportunities present should be thoughtfully considered in order to properly maximize its revenue and productivity potential. The weaknesses that are present in both Dunkin’ Donuts and Baskin-Robbins locations must be addressed in order to minimize any loss of revenue and maximize its opportunity to expand the business. For example, the limited selection of various products should be evaluated in order to be competitive with the other “big players” of the space; not doing so is allowing various profits to be left on the table due to not putting forth the effort to expand into the space. Furthermore, Dunkin’ Brands Group’s competitors are not going away, so in order to stay relevant in the respective industries, it must be willing to be creative, innovative, and be able to analyze past trends (and forecast future market trends) in order to put itself in prime position to win over the prospective customers.

Zachary Adams

3...