1. Dunkin’ Brands
Company Valuation
Jigar Bhakta, Alexander Bye, Victoria Kalamaras, Amanda Ladenheim, William Tamposi, David Sher

2. Dunkin’ Brands is fairly valued; the firm is positioned for low,
steady growth and should be valued at $45.16 per share
2
Adaptable Core
Business
Low Risk
Franchise Model
Stable Revenue
Growth
Currently Fairly
Valued
● Room for expansion with limited capital investment
● Collects revenue royalty, advertising contributions, and licensing
fees from franchisees and partners
● Demonstrated flexibility in their approach to attract and maintain
consumers in unique segment of the market
● Implementation of technology to expand on the scope of
interactions with consumers
● More than 19,000 points of distribution globally
● Three consecutive years of over 5% growth in stores
● Increased expansion into international markets
● The firm is valued at $6.25B, implying a target share price
of $45.16
Franchise Model Adaptability Growth Valuation

3. Dunkin’ Brands is fairly valued; the firm is positioned for low,
steady growth and should be valued at $45.16 per share
3Franchise Model Adaptability Growth Valuation
Adaptable Core
Business
Low Risk
Franchise Model
Stable Revenue
Growth
Currently Fairly
Valued
● Room for expansion with limited capital investment
● Collects revenue royalty, advertising contributions, and licensing
fees from franchisees and partners
● Demonstrated flexibility in their approach to attract and maintain
consumers in unique segment of the market
● Implementation of technology to expand on the scope of
interactions with consumers
● More than 19,000 points of distribution globally
● Three consecutive years of over 5% growth in stores
● Increased expansion into international markets
● The firm is valued at $6.25B, implying a target share price
of $45.16

4. Dunkin’ Brands reduces costs and risks by
spreading responsibilities
4Franchise Model Adaptability Growth Valuation
Source: DNKN Website

5. Sales royalties comprise of 63% of the annual revenue for
Dunkin’ Brands
5Franchise Model Adaptability Growth Valuation
Source: DNKN 2015 10-K

6. Dunkin’ Brands is structured into four segments
6Franchise Model Adaptability Growth Valuation
75%
13%
6%
6%

7. Dunkin’ Brands is fairly valued; the firm is positioned for low,
steady growth and should be valued at $45.16 per share
7Franchise Model Adaptability Growth Valuation
Adaptable Core
Business
Low Risk
Franchise Model
Stable Revenue
Growth
Currently Fairly
Valued
● Room for expansion with limited capital investment
● Collects revenue royalty, advertising contributions, and licensing
fees from franchisees and partners
● Demonstrated flexibility in their approach to attract and maintain
consumers in unique segment of the market
● Implementation of technology to expand on the scope of
interactions with consumers
● More than 19,000 points of distribution globally
● Three consecutive years of over 5% growth in stores
● Increased expansion into international markets
● The firm is valued at $6.25B, implying a target share price
of $45.16

8. Dunkin’ Brands occupy a unique market segment
8Franchise Model Adaptability Growth Valuation
High PriceLow Price
High Quality
Low Quality Source: fastfoodmenuprices.com

9. 9
Dunkin’ is utilizing strategic promotions and
advertising to declining same store sales growth
9Franchise Model Adaptability Growth Valuation
Promotions and Advertising DD Perks® Rewards
Source: Brand Promotions

10. Dunkin’ seeks to maximize sales revenue by
responding to consumer trends and competition
10Franchise Model Adaptability Growth Valuation
Introducing healthy
options
Increasing variety of
popular products
All day menu items
Source: dunkindonuts.ccm
67% of Dunkin’ Donuts sales come
from coffee
Introduced espresso-based beverages
and cold brewed coffee
Increasingly health conscious
consumers
DD Smart® labels on menus
Capitalizing on popularity of
breakfast items
Directly responding to
competition from McDonald’s

11. Dunkin’ introduces new products to reach other
consumer segments and expand market share
11Franchise Model Adaptability Growth Valuation
● More than 150 million sold between May
and December of 2015
● 360 million more cups of coffee sold
following K-cup launch
Home
80%
70%
60%
50%
40%
30%
20%
10%
0%
Work Eating Place Traveling Other
Coffee Consumption in the U.S. By Location In 2016
Source: statista.com
Source: dunkindonuts.com

12. Dunkin’ Brands is fairly valued; the firm is positioned for low,
steady growth and should be valued at $45.16 per share
12Franchise Model Adaptability Growth Valuatio
Adaptable Core
Business
Low Risk
Franchise Model
Stable Revenue
Growth
Currently Fairly
Valued
● Room for expansion with limited capital investment
● Collects revenue royalty, advertising contributions, and licensing
fees from franchisees and partners
● Demonstrated flexibility in their approach to attract and maintain
consumers in unique segment of the market
● Implementation of technology to expand on the scope of
interactions with consumers
● More than 19,000 points of distribution globally
● Three consecutive years of over 5% growth in stores
● Increased expansion into international markets
● The firm is valued at $6.25B, implying a target share price
of $45.16

13. GROW DD U.S. same store sales and profitability
Revenue growth is primarily driven by same store
sales growth and store expansion
13Franchise Model Adaptability Growth Valuatio
ACCELERATE DD U.S. store expansion
DRIVE international growth across both
brands
SHORT-TERM
GROWTH DRIVER
MEDIUM-TERM
GROWTH DRIVER
LONG-TERM
GROWTH DRIVER Source: MarketRealist
GROW same store sales growth
of BR U.S.

14. Declining Dunkin’ Donuts U.S. same-store sales growth
pose a risk to future growth
14Franchise Model Adaptability Growth Valuatio
2011 2012 2013 2014 2015 2016 (E)
DD U.S. Same Store Sales Growth
5.1%
4.2%
3.4%
1.7%
1.4%
2.0%
Source: Annual Reports

15. 15Franchise Model Adaptability Growth Valuation
14,000
12,000
10,000
8,000
6,000
4,000
2,000
0
Number of Dunkin’ Donuts Stores Worldwide
U.S. International
2007 2008 2009 2010 2011 2012 2013 2014 2015
These risks are mitigated by stable growth in domestic
Dunkin’ Donuts stores
Source: Dunkin’ Donuts Annual Reports

16. Dunkin’ Brands is aggressively expanding into
international markets
16Franchise Model Adaptability Growth Valuation
● Dunkin’ signs largest
development agreement in
company history in China
● European Expansion: first
restaurant openings in
Denmark, Georgia, Iceland,
and Poland
● Master franchise agreement
in South Africa
Source: Market Realist

17. Dunkin’ is expected to experience Revenue growth of
5.5% through 2020
17Franchise Model Adaptability Growth Valuation
Source: 10-K & Projections
Revenue
CAGR=5.5%

18. Dunkin’ Brands is fairly valued; the firm is positioned for low,
steady growth and should be valued at $45.16 per share
18Franchise Model Adaptability Growth Valuation
Adaptable Core
Business
Low Risk
Franchise Model
Stable Revenue
Growth
Currently Fairly
Valued
● Room for expansion with limited capital investment
● Collects revenue royalty, advertising contributions, and licensing
fees from franchisees and partners
● Demonstrated flexibility in their approach to attract and maintain
consumers in unique segment of the market
● Implementation of technology to expand on the scope of
interactions with consumers
● More than 19,000 points of distribution globally
● Three consecutive years of over 5% growth in stores
● Increased expansion into international markets
● The firm is valued at $6.25B, implying a target share price
of $45.16

19. The firm value is ~$6.25B, suggesting an appropriate
price per share of $45.16
19Franchise Model Adaptability Growth Valuation

20. Cost growth matches revenue growth, bringing DNKN
gradual increases in net income
20Franchise Model Adaptability Growth Valuation
WACC: 3.22% Terminal Growth Rate: 2.25% Beta: 0.46
Current Market Value:
$4.09B
Estimated Market Value:
$6.25B
Current Share Price:
$44.61
Estimated Share Price:
$45.16

21. Dunkin’ Brands is fairly valued; the firm is positioned for low,
steady growth and should be valued at $45.16 per share
21Franchise Model Adaptability Growth Valuatio
Adaptable Core
Business
Low Risk
Franchise Model
Stable Revenue
Growth
Currently Fairly
Valued
● Room for expansion with limited capital investment
● Collects revenue royalty, advertising contributions, and licensing
fees from franchisees and partners
● Demonstrated flexibility in their approach to attract and maintain
consumers in unique segment of the market
● Implementation of technology to expand on the scope of
interactions with consumers
● More than 19,000 points of distribution globally
● Three consecutive years of over 5% growth in stores
● Increased expansion into international markets
● The firm is valued at $6.25B, implying a target share price
of $45.16

22. 22Appendix
Appendix
23. Historical Share Prices
24. Key Financial Ratios
25. Base Case DCF
26. Bull Case DCF
27. Bear Case DCF
28. Beta Calculation
29. WACC
30. Sensitivity to Terminal Growth Rate
31. Sensitivity to Beta
32. Sensitivity to Return on Debt
33. Revenue
34. Cost of Goods Sold
35. Selling, General & Administrative
36. Other
37. Franchise Logistics
39. Five Part Plan
40. Advertising
42. Research & Development
43. Supply Chain
46. Debt Financing
49. Advisory Boards
50. Industry at a Glance
51. Market Share
52. Industry Revenue
53. Industry Life Cycle
54. Industry Sales by Product
55. Sector Costs vs. Industry Costs
56. Labor Intensity vs. Capital Intensity
57. Consumer Economic Demographics
58. Smartphones vs. Consumerism
60. Technology Trends
61. Consumer Loyalty
63. Mobile Payments
64. Location-Based Marketing
65. Mobile Ordering
66. Brand Entertainment & Engagement
67. Consumer-QSR Characteristics & Offerings
68. QSR Menu Categories
69. Size of Operations
70. Additional Risks
72. Commodity Volatility
74. Japan Joint Venture
75. South Korea Joint Venture
76. Other Joint Ventures
77. Leadership and Management
79. Dunkin’ Donuts Products
80. Baskin Robbins Products
81. Mobile Apps and Functions
83. DD Perks
84. DD Smart
85. Dunkin’ Donuts SWOT
86. Baskin Robbins SWOT
87. Starbucks SWOT
88. McDonald’s SWOT
89. Carvel SWOT
90. Coffee and Tea Industry Breakdown
91. Ice Cream and Gelato Industry Breakdown
92. Perceptual Map Prices
93. Additional Promotions
94. Social Media
95. Espresso-Based Beverages

23. Historical Share Prices
23Appendix
Current: $44.61 High: $55.48 Low: $24.58 IPO Date: 07/27/2011
Source: Google Finance

24. Key Financial Ratios
24Appendix
P/E PEG P/S
Leveraged
Ratio ROA
Current
Ratio
Turnover
Ratio D/E
DNKN 35.19 1.57 4.96 5.20 to 1 3.33% 1.33 0.26 4.91
Comparables 23.70 1.44 1.30 3.65 to 1 16.01% 1.07 0.77 58.80
Source: Yahoo! Finance

25. Base Case Discounted Cash Flow
25Appendix
Current Share Price
as of Market Close,
07/07/2016

26. Bull Case Discounted Cash Flow
26Appendix
Current Share Price
as of Market Close,
07/07/2016

27. Bear Case Discounted Cash Flow
27Appendix
Current Share Price
as of Market Close,
07/07/2016

28. Beta Calculation
28Appendix

29. WACC Calculations
29Appendix

30. Sensitivity to Terminal Growth Rate
30Appendix

31. Sensitivity to Beta
31Appendix

32. Sensitivity to Return on Debt
32Appendix

33. Revenue
33Appendix
● The two important drivers of revenues are (1) same store sales growth and (2) store growth
○ (1) Same store sales growth has been declining and were negative for the first time in Q4
2015 which is worrisome for Dunkin’ prospects
○ (2) Over 19,000 points of distribution and steadily growing at over 5% in each of the last 3
years
● Dunkin’ generates revenue from five primary sources: (1) royalty income and franchise fees, (2)
rental income from restaurant properties that are leased or subleased to franchisees, (3) sales of
ice cream and other products to franchisees in certain international markets, (4) retail store
revenue at company-operated restaurants, (5) other income
● Breakdown of 2015 revenue: Total- $810,933
○ Franchise Fees and Royalty Income- $513,222
○ Rental Income- $100,422
○ Sales of Ice Cream and other products- $115,252
○ Sales at company-operated restaurants- $28,340

34. Cost of Goods Sold
34Appendix
● Cost of ice cream and other products (pg 38):
○ $76,877 (2015), decreases 7.5%
○ $83,129 (2014), increases 4.9%
○ $79,278 (2013)
● Net margin on ice cream products increased for FY2015 to $38.4M
due to a decrease in commodity costs, increase in pricing, and
favorable foreign exchange rates (these factors more than offset the
decrease in sales volumes)
● Net margin on ice cream products increased slightly for FY 2014 to
$34.4M due to favorable Australia inventory write-offs, an increase in
sales volume, offset by an increase in commodity costs

35. Selling, General & Administrative Expenses
35Appendix
● Personnel costs always increasing (but not at a rate faster than revenue)
● Incentive-based compensation
● “Increase in costs incurred to support our consumer packaged goods”
○ K-Cup Pods. New to the market, costs of packaging
● Gift card business
● Third party product volume guarantee
● Legal/litigation issues, recorded in SGA
○ Bertico and other legal issues on the horizon.
○ Business in Canada. Not enough monetary aid.

36. Other Expenses
36Appendix
● The annual reports classifies operating costs and
expenses into 7 categories. Their total operating costs
and expenses (for example 2015: 451,051) minus the
first four categories (-54,611, -76,877, -29,900, -243,
796) leaves us with our analysis numbers (approx
31,000). The last three categories: Depreciation,
Amortization of other intangible assets, and long-lived
asset impairments charges, therefore make up other
operating costs.

37. ● Nearly 100% franchised
● 20 year agreement, often renewable
● $25,000-$100,000 agreement
● Approximately 5.9% royalties, plus 5% of gross sales go to advertising
● Franchises fund most of new restaurant development
37
Franchise Logistics

38. ● Site must be approved (location, traffic patterns), meet training requirements
(in-house training for franchise managers)
● Abroad, the franchise agreements cover a geographic area
● Evaluate franchisees based on experience, financial background
38
Franchise Logistics, continued

39. Five-Part Plan
39Appendix
● Focus on Coffee leadership, espresso based drinks
● Improving innovation process to successfully, quickly bring new
products to market
● Targeted value and smart pricing, including promotions
● Mobile ordering and delivery tests
● Improve traditional service

40. Advertising Logistics
40Appendix
● 5% of gross sales committed to advertising fund
● Contributions almost exclusively from franchisees, but fund is
controlled by Dunkin’
● “Includes all expenses related to marketing, research and
development, innovation, advertising and promotion, including
market research, production, advertising costs, public relations,
and sales promotions” (2015 annual report, page 4)
● Less than 20% of fund is used for administrative costs

41. Advertising Logistics, continued
41Appendix
● Local advertising sponsored by franchisees must be
approved by Dunkin’, and is occasionally reimbursed
● Goals: Brand differentiation, increase sales
● DD Perks Rewards program-4.3 million members
● Popular Dunkin’ Mobile App makes it easy to order on the
go, caters to Dunkin’s quick-service model

42. Research and Development
42Appendix
● Included in advertising budget
● Lab located in Canton, MA
● Includes sensory lab, test kitchen, quality assurance lab
● Projects driven by consumer research, led by culinary team

43. Supply Chain Structure
43Appendix

44. Supply Chain Structure, continued
44Appendix
● Dunkin’ Brands does not supply goods to franchisees, with the
exception of domestic ice cream via a contract with Dean Foods
● Principal suppliers include The Coca-Cola Company, New England Tea
and Coffee Co., S&D Coffee, Inc., Silver Pail Dairy, LTD, Continental
Mills, and Pennant Ingredients Inc.
● Dunkin’ Brands monitors and approves suppliers for franchises
● 12 suppliers provide approximately half of Dunkin’s goods
● Contingency plans help Dunkin’ mitigate this risk

45. Supply Chain Structure, continued
45Appendix
● CMLs are franchise-owned production centers of baked
goods
● Dunkin’ has a long term agreement with the NDCP is a
franchise-owned distribution center
● NDCP maintains contingency plans with its approved
suppliers
● Some franchises bake donuts on site

46. Debt Financing
46Appendix
● Class A-2-I 1/26/2015: 7.5 million principal/month. 3.262%
interest. 750 million total. Due 2/2019
● Class A-2-II 1/26/2015: 17.5 million principal/month. 3.980%
interest. 1.75 Billion Due 2/2022
● No principal amortization due if leverage ratio is above 5:1.
Rapid amortization if loans not paid by anticipated due dates
● Variable fund notes:repaid on or prior to 2/2020. Libor plus
2.25%, 26.3 million of letters of credit outstanding against
variable fund notes

47. Debt Financing, continued
47Appendix
Year Class A-2-I Class A-2-II Total
2016 7,500 17,500 25,000
2017 7,500 17,500 25,000
2018 7,500 17,500 25,000
2019 721,875 17,500 739,375
2020 X 17,500 17,500
Source: DNKN 2015 10-K

48. Debt Financing, continued
48Appendix
● Average cost of debt 3.67%
● If DNKN issues new debt when interest rates are higher, its debt
payments will increase
● Debt payments divert cashflows, and higher debt increases WACC,
which lowers value
● If there are not enough cashflows to pay debts, the firm will have to
refinance indebtedness, sell assets, or delay capital expenditures
● Presents a risk of default, which would result in seizure of the
company’s resources

49. Advisory Boards
49Appendix
● Advisory boards allow franchise managers to relay information,
problems, and concerns to corporate
● These boards communicate and maintain relationships with
franchises
● District, regional and national level
● Limits legal issues down the road by working with managers (avoid
another Bertico situation)

50. Coffee Industry at a Glance
50Appendix
Source: IBISWorld.com

51. DNKN’s Market Share
51Appendix
Source: IBISWorld.com

52. Projected Industry Revenues
52Appendix
Source: IBISWorld.com

53. Industry Life-Cycle Stage
53Appendix
Source: IBISWorld.com

54. Industry Sales by Product
54Appendix
Source: IBISWorld.com

55. Sector Costs vs. Industry Costs
55Appendix
Source: IBISWorld.com

56. 56Appendix
Source: IBISWorld.com
Labor Intensity vs. Capital Intensity in the Industry

57. Economic Demographics of Consumer Base
57Appendix
Source: IBISWorld.com

58. Relationship between Smartphones and Consumerism
58Appendix
Source: QSRweb Report

59. Consumer Reliance on Smartphones in the Food Industry
59Appendix
Source: QSRweb Report

60. Technology Trends in the Corporate Sphere
60Appendix
Source: QSRweb Report

61. Dunkin’ Donuts earns very high marks in Customer Loyalty
61Appendix
Source: Brand Keys

62. Cost of Expanding Consumer base vs. Cost of Loyalty
62Appendix
Source: QSRweb Report

63. Mobile Platform Payment Revenues
63Appendix
Source: QSRweb Report

64. Marketing Focused around Consumer Location
64Appendix
Source: QSRweb Report

65. Ordering Options in Mobile Applications
65Appendix
Source: QSRweb Report

66. Brand Entertainment and Engagement
66Appendix
Source: QSRweb Report

67. Consumer-QSR Characteristics and Offerings
67Appendix
Source: FastCasual.com Report

68. Menu Categories for QSR Franchises
68Appendix
Source: FastCasual.com Report

69. Size of Total Franchise Operations
69Appendix
Source: FastCasual.com Report

70. Additional Risks
70Appendix
● Competition in QSR industry
● Sub-franchisees
● Changes in technology or consumer behavior
● Economic conditions
● Intellectual property

71. Additional Risks, continued
71Appendix
● Technological failure-FAST and EFTPay systems
● Supply chain
● International: political, social, legal, economic
● General legal risk: Bertico

72. Milk Fluctuations
72Appendix
Source: NASDAQ

73. Coffee Fluctuations
73Appendix
Source: NASDAQ

74. 14 year amortizable franchise rights (and related tax liabilities), and nonamortizable goodwill
Limited trading volume
Lack of market reaction to underperforming stock
Inability to recover the carrying amount
74Appendix
Japan Joint Venture (with B-R 31 Ice Cream Co., Ltd.)
● DNKN owns 43.3% of the Venture, Partner owns 43.3%, and Japanese
shareholders hold 13.4%
● Acquired by three PE firms on 03/01/2006. Known as the BCT Acquisition
● As a result, B-R 31 recorded a step-up in basis
● In Q4 2014, annual impairment test on indefinite-lived intangible assets
found that carrying value exceeded fair value by $54.3M, to a new carrying
value of $8.7M

75. South Korea Joint Venture (with BR-Korea Co., Ltd.)
75Appendix
Due to a deficit of cost relative to the underlying equity in net assets of BR-Korea
Accounted as an impairment of long-lived assets in 2011, and carries amortization through 2016:
2012: $710,000
2013: $634,000
2014: $553,000
2015: $467,000
2016: $375,000
● DNKN owns 33.3% and Korean shareholders own 66.7% of the
Venture
● In 2011, BR-Korea was handed down a $19.8M impairment
charge to equity method investments, reducing carrying value to
$60.8M

76. Other Ventures
76Appendix
DNKN owns 33.3%, Coffee Alliance owns 33.3%, and shareholders own 33.3%
Very stable, incurred impairment charge of $873,000 in 2013, bringing carrying value down to
$1.36M
DNKN sold 80.0% of its franchising business to equity investors in 2013, producing a gain of
$6.3M
Currently retains 20.0% ownership in the Joint Venture, carrying value of $216,000
Very stable, low growth venture
● Spain (with Coffee Alliance, S.L.)
● Australia (with Palm Oasis Pty. Ltd.)

77. Leadership
77Appendix
● Nigel Travis,CEO, Chairman of the Board
● CEO since 2009, Chairman of the Board since 2013
● From 2005-2008, CEO of Papa Johns
● Bachelor’s Degree in Business Administration from
Middlesex University in England
● Srinivas Kumar, President
● Has held various roles within Dunkin’, including Vice
President International, Interim COO, and Vice President of
Europe and the Middle East
● He previously worked for the master licensee for Baskin
Robbins

78. Leadership, continued
78Appendix
● John H. Costello
● President of Dunkin’ Brands from 2009 to 2016
● Innovative multichannel marketing
● 2013 store redesign included new furniture and lighting
● Expanded product line, followed consumer preferences

79. Complete List of Dunkin’ Donuts Products
79Appendix
● Espresso based drinks (hot and iced)
○ Lattes
○ Cappuccinos
○ Macchiatos
○ Espresso
● Drip coffee (hot or iced)
● Cold brew coffee
● Tea (hot or iced)
○ Regular tea
○ Green tea
○ Sweet tea
● Hot chocolate
○ Mint
○ Caramel
○ S’mores
● Coolatas
○ Various coffee and fruit-based flavors
● Breakfast sandwiches
● Bakery sandwiches (Tuna salad;Chicken
salad; Chicken wrap; Steak wrap; Ham &
cheese; Chicken bacon; Texas toast grilled
cheese; Turkey, cheddar, bacon
● Bagels
● Cookies
● Danishes
● Donuts
● Muffins
● Munchkins
● Hashbrowns
● Other bakery favorites (apple fritter, biscuit,
brownie, coffee cake, english muffin,
croissant, pretzel twist
● Oatmeal

80. 80
Complete List of Baskin Robbins Products
80Appendix
● Soft serve ice cream
● Hard ice cream
● Cones
○ Cake
○ Sugar
○ waffle
● Sundaes
○ Brownie sundae
○ Warm cookie sundae
○ Banana split
○ Chocolate-chip cookie dough, Snickers, Oreo and Reese’s Peanut
Butter Cup sundaes
● Warm desserts
○ Warm brownie
○ Warm cookie
● Beverages
○ Milkshakes
○ Cappuccino Blasts
○ Fruit smoothies
○ Floats
● Parfaits
○ Caramel
○ M&M’s
○ Snickers
○ Oreo
○ Reese’s
○ Strawberry and Almonds
● Mix-ins
○ M&M’s
○ Butterfinger
○ Snickers
○ Oreo
○ Reese’s
○ Heath
○ Chocolate chip cookie dough
● Novelties and treats
○ Individual treats
○ Clown cones
● Pre packaged quarts
● Fresh packed quarts
● Cakes
● Polar pizza

81. Mobile App and Functions
81Appendix
Source: DD Mobile App
Scan and pay
Access DD Perks
Find Store Locations
Menu
Online Ordering
(encouraged by giving
double the points)

82. 82
Mobile App and Functions, continued
82Appendix
Source: DD Mobile App

83. DD Perks® Rewards
83Appendix
Source: Promotions

84. 8484Appendix
DD Smart
Foods and Beverages with the DDSMART® logo are:
Reduced in calories, fat, saturated fat, sugar or sodium by at least 25% compared to a base
product or other appropriate reference product
and/or
Contain an ingredient or nutrient that is nutritionally beneficial.
Source: DNKN Website

85. Dunkin’ Donuts SWOT
85Appendix
Strengths
● Price/Quality value customers trust
● Internationally recognized and trusted
● Innovative and responsive to
consumer and market trends
Weaknesses
● Franchising model leaves gives up a
small portion of control over operating
units
● Consumer preferences towards
healthier food/snack product
Opportunities
● Growing breakfast/snack
compliments for coffee
● {Something about BR}
Threats
● Variety of coffee substitutes and
competitors (smaller cafes)
● Higher input costs (milk rising)

86. Baskin Robbins SWOT
86Appendix
Strengths
● Extensive flavor varieties
Weaknesses
● Lack of healthy alternatives
● Comparably small number of
locations
Opportunities Threats
● Frozen Yogurt popularity
● High degree of competition

87. Starbucks SWOT
87Appendix
Strengths Weaknesses
Opportunities
● Tapping into healthier beverage and
food preferences
Threats
● Increasing competition
● Fluctuation in supply costs

88. McDonalds SWOT
88Appendix
Strengths
● Internationally established brand
● Low prices
● Number of locations
Weaknesses
● High fat and sodium content
● Consumer trends toward healthier
and lower calorie foods diverges from
core offerings
Opportunities
● Growing coffee market segment with
McCafé
● Increasing international presence
Threats
● Large variety of consumer choices
and alternatives to products
● Increasing minimum wages

89. Carvel SWOT
89Appendix
Strengths Weaknesses
Opportunities Threats

90. Coffee and Tea Industry Breakdown
90Appendix

91. Ice Cream and Gelato Industry Breakdown
91Appendix

92. Perceptual Map Prices
92Appendix
Store Price of Small Coffee Price of Small Icecream Price of Glazed Donut
Dunkin’ Donuts 1.99 0.99
Baskin Robbins 2.79
Starbucks 1.85
McDonald’s 1.00
Dairy Queen 1.99
Coldstone 5.00
Carvel 3.48
Krispy Kreme 1.57 0.66
Tim Hortons 1.59 0.99

93. Additional promotions
93Appendix
31 Promotion: $1.31 cone every 31st of the month
highlighting their 31 flavors
Pink Day promotion where you can purchase two
cones for the price of one on specialized day

94. 9494
22.3 M
likes
1.2 M
followers
1 M
followers
4.3 M
members
Facebook DD AppTwitterInstagram
Source: DNKN Newsletters
Appendix
Social Media

95. Espresso-Based Beverages
95Appendix
Source: dunkindonuts.com