Following the Dunkin’ name change, the brand’s Purchase Consideration score, which gauges how open consumers are to buying an item from the chain when next in the mood for food or drink, briefly climbed from 28 to 30 percent before settling back.
And the other part to this buzz bump is that Dunkin’ simply announced the change was coming. The real work doesn’t kick in until January 1. That’s when logos, packaging, advertising, online, and new and remodeled units will begin reflecting the updated branding. The signage will turn over gradually as stores remodel. Beyond what that might mean for consumer sentiment, it will undeniably give Dunkin’ another prime opportunity to tout the “new day” changes taking place. Also, Dunkin’, as mentioned throughout the year, is planning to open 1,000 net new stores in the next three years—90 percent of which will be located outside of its core markets. Dunkin’ expects to have 50 next-gen units open, between new builds and remodels, by year’s end.
What this all adds up to is a very unique chance for Dunkin’ to promote this reenergized positioning to new and familiar audiences. But definitely new audiences. And those customers who know the brand but don’t interact with it daily like Northeast guests, will see all the changes front and center without any past bias. That includes just the name, Dunkin’, and what that might entail compared to the old days (Dunkin’ still sells some 3 billion donuts a year. It’s a 60/40 split between beverage and food with the majority of the beverage sales being coffee).
Dunkin’ is pouring $100 million into this beverage-led strategy, including equipment to support its on-the-go beverage-led strategy (65 percent of the investment); technology infrastructure to support its digital leadership (30 percent, with the majority expected to capitalize and appreciate over the life of the asset and to Dunkin’s service agreement); and lastly, 5 percent of the total investment for G&A to support the testing, training, and rollout of these initiatives.
“By simplifying and modernizing our name we have an opportunity to create an incredible new energy for Dunkin’, both inside and outside our stores,” Tony Weisman said.
And the next couple of years, as handfuls of new Dunkin’ enter the U.S. marketplace, there’s an opportunity to showcase and share the story unlike any the brand has seen to date.