Dunkin’ Donuts’ coffee rebrand to target 42% of consumers that visited a coffee or tea shop in the past week, says GlobalData

In its 2017 annual report, Dunkin’ revealed its most valuable products according to consumer demand, were hot coffees, out-of-home drinks and iced coffees, instead of their core baked goods range, observes , a leading data and analytics company.

In line with this, st report, reveals that consumers’ preference for Coffee & Tea shops has not diminished with 42% of global consumers stating they visited the channel in the past week. For Dunkin’s key markets, this percentage stood at 40% of consumers in North America, and 39% of consumers in Latin America.

This data supports the company’s decision to drop ‘donuts’ from its name in order to focus more on convenience beverages and away from baked goods which made it the quick service restaurant (QSR) player it is today.

Cassius Prempeh, Associate Consumer Analyst at comments, “The new branding offers a strong positioning for Dunkin’s coffee products, underlined by the analysis of their 2017 results which found 60% of Dunkin’s sales came from beverages.”

In , which informed the company’s report ‘Top Trends in Hot Drinks 2018 – The latest trends in hot coffee, hot tea, and other hot drinks’, consumers were asked what convenience meant to them in terms of drink products. 48% of global consumers valued quick preparation, 22% of the same consumers mentioned how portable the product is and 36% said how quick to eat or drink the product is.

Dunkin’ Donuts has walked the line between a QSR and a Coffee & Tea shop this unique position, has meant competition has included everyone from McDonalds to Starbucks.

Prempeh continued, “Competition from these dominant companies might have played a part in Dunkin’s decision to revise product strategy, to an even more specialized offering while sticking to its roots in baked goods.

“These responses demonstrate a consumer market that is increasingly on the go and requires beverages that fit in with their busy lifestyles. Therefore, targeting morning rush hour periods where consumers want to grab a quick beverage is the opportunity that Dunkin is aiming to focus more on.”

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