It’s no longer time for Fred the Baker to make the donuts.
Dunkin Donuts is hoping customers in its new markets don’t think of them just for what made them famous.
Dunkin is famous for donuts in the Northeast United States, but the company is thinking beyond the box. Even though Dunkin has introduced an exponentially diversified collection of food items in recent years, the company is now branding itself as a beverage company as it seeks a foothold in the western U.S.
Emphasizing beverages instead of food is a significant shift for a company that still has "Donuts” in its name. But the days of Tattoo from "Fantasy Island” ordering his ungarnished confection in a French accent on television commercials are apparently over. Dunkin wants to take some market share from Starbucks in the Western U.S., and sees its high-margin coffee, not its food, as the way to do it.
"We are a beverage company,” Paul Carbone told investors and analysts, according to Forbes. Dunkin is so intent on the reinvention that it has advertised its beverages for almost three years in California despite no plans to open a shop there for another two years. Dunkin Donuts sells a variety of food and drink. They can do that because they have built an infrastructure that can handle it. It may not seem intuitive, but selling donuts is not the same as selling a sandwich. As stale as they may get, donuts can sit out all day at room temperature. Not true for the contents of a sandwich as any mother can attest.
"Dunkin Donuts can do what they do because of the infrastructure and operational procedures they have instituted over the years,” shares Adam Taylor, Director of Development and Senior Business Analyst for Essent; "It takes a flexible system, all the way down to software and suppliers, in order to do something as seemingly simple as changing the focus of your brand.”
Reinventing a brand for the chain founded 63 years ago in Quincy, Mass., is no small task. "The entire organization needs to be prepared and aligned to make the transition successful. It takes comprehensive processes, a well-trained staff, and flexible software that can manage the entire system,” states Ron Cahill, Executive Vice President at Essent.
"A company needs business management system software that can automate business logistics and business rules. The software needs to be able to perform the workflow and be nimble enough to handle new workflows without having to develop new software to make it happen,” states Adam Taylor.
"Essent software solutions allow businesses to automate over 1000 business practices. We understand the importance of workflow automation,” shares Bryan Sheaffer, Vice President of Sales and Operations Specialist for Essent. "It’s critical to be able to create custom workflow on demand, making brand reinvention possible,” interjects Adam Taylor.
"Software runs the modern business and is one of the most critical infrastructural and operational elements of a business. With flexible, scalable business management software, you can reinvent your brand without having to reinvent your business system,” said Eric Alessi.
"The importance of flexible business software cannot be underestimated. In today’s hyper-competitive marketplace companies need to be nimble and they need to do it cost-effectively,” Eric Alessi stressed. "When Dunkin Donuts decided to reinvent their brand,to increase margins, they already determined that the didn’t need to reinvent their business management system. You need to plan ahead. Implement a powerful system and empower your brand.”