Dunkin Donuts Market Share

As of July 2011 Dunkin saw 57% of all coffee served by a quick service restaurants, and 52% market share of all breakfast business. Dunkin Donuts target market is the blue collar workers (18-60) of America who likes the quick service that Dunkin Donuts provides. Also within its target market are kids, highly due to its name. Recently Dunkin Donuts has been targeting the market of affluent women and professionals.

McCafe
McCafe sees a market share of 19%

Target Market

TheMcCaf target market is customers who appreciate quality coffee and who want an excellent product in an attractive, undaunting environment. This concept has already worked well in Australia and New Zealand where the caf concept is less developed than in Europe and America. McCafe wants to catch the attention of the java junkies. Because of the nature of McCafe, its target market will ultimately overlap significantly with Starbucks market. With the inclusion of McCafe, McDonalds may draw from the luxury coffee crowd as a dwindling economy forces people to become more cost-conscious. Customer still see McCafe as a fast-food coffee server though and that is why its hard for them to differentiate. Much like its counterpart McCafe offers a quality product at an affordable price. Though fairly new in the U.S. McCafe rides the financial tide with Mcdonalds, their financial strength is very high. Current ratio = 1.25 Dec 31, 2011 (current assets/ current liabilities). Coffee, Hot Chocolate, Pastries, Latte's, Mocha's, Smoothies, Lemonade, Milk Shakes.

What do their customers think of them Pricing Policy Financial Strength Product / Service Range

High volume / low price while keeping queue times low. Tailored for the blue collar working American. High volume / low price while keeping queue times low. Franchising- over $6 Billion world -wide sales (2011) Donuts, Coffee, Expressos', Latte's, Cappuccino, Tea, Chai.

15,000 fast-food customers who answered questions regarding their coffee and breakfast-buying habits, theChicago Tribune reported Ranked No. 1 by Brand keys customer loyalty engagement index ('06-'12). The study found 29% of McDonalds customers go to a Starbucks or Dunkin Donuts for coffee or breakfast in a given month, while 53% of customers who named Starbucks or Dunkin Donuts as their primary source of coffee admitted to also visiting competing outlets over the course of a month. The Mcdonalds brand is well known worldwide, any food or beverage that comes from those famous golden arches we immediately associate it with Mcdonalds. Like wise any word describing food or beverage beginning with Mc we associate with Mcdonalds. Mcdonalds founded in 1940, incorporated in 1955, McCafe introduced internationally in 1993 and finally in the U.S. In 2001. Baskin-Robbins(subsidiary) Separate entity of McDonalds Canton, Massachusetts (Headquarters). Oak Brook, Illinois (Headquarters). Constantly looking to improve customers breakfast-buying experience with new products (breakfast steak & cheese sandwich) as well as introduce seasonal products.

Customer Loyalty

Brand Recognition Length of Time in Business Alliances Premises / Location

Very High brand recognition nationally and internationally.

62 years (1950-present).

Research & Development

Always looking to innovate new inexpensive products, incorporating more healthy choices in their menus, as well as seasonal slams (Shamrock Shake).

Uses the latest technology in their POS system to make employees more efficient and keep queue times low.

Technology

Developed a Kurig sized cup therefore Dunkin can be in every home with an instant coffee machine (Dunkin K-cups).

Beginning the summer of 2011,Near Field Communication (NFC)terminals installed at McDonalds throughout Canada have been accepting payments made with both MasterCards PayPass and withVisas payWave With the improved technology, McDonalds will increase the speed with which a person can complete a transaction. For purchases up to $25, customers can simply wave their Visa payWave card over the terminal or tap the terminal with their MasterCard PayPass and be on their way. Consumers who have Androids, iPhones, or other Smart Phones with the appropriate mobile applications, can use their cell phones to complete the NFC electronic check out as well. Service (Fast Food) McDonald'shas for decades maintained an extensive advertising campaign. In addition to the usual media (television, radio, and newspaper), the company makes significant use of billboards and sign age, sponsors sporting events ranging from Little League to the Olympic Games, and makes coolers of orange drink with their logo available for local events of all kinds. Nonetheless, television has always played a central role in the company's advertising strategy. To date, McDonald's has used23 slogans United States advertising, as well as a few other slogans for select countries and regions

Manufacturer, Wholesale, Service, Retail

Service (Fast Food)

Advertising

Uses catchy slogans to capture the average American (America runs on Dunkin) Original slogan- Sounds good, taste even better Current slogan Jump start your day with Dunkin

Growth

Over the next 20 years Dunkin plans to double its stores in the U.S. Dunkin plans to open about 60 locations in the Washington area alone over the next five years. Dunkin

McCafe plans to be in 85% of its Mcdonald's stores and the other 15% will be stand alone in Airports and other select locations.

Inc. wants the market saturated with their stores, as a response to Starbucks opening up more stores.