Why Dunkin donut failed in India

Dunkin is a very popular brand in all over the world there are more than 12000 restaurants in 46 countries but there is one country where the could not take the market share and that is India now why it is like that? In 2018 it has closed half of its stores just because of lack of profitability and operational efficiency.

               In 2012 Dunkin lunches its 1^st time and merged with Jubilant food works, the franchise that helped that helps Domino’s pizza to India one of the top brands in the country. Now Dunkin started from the strategy of a heavy breakfast that starts your day, the strategy that helped it everywhere but that is western culture. Soon they realized that Indians are not that interested in routine breakfast. Indians don’t use to go somewhere special and grab their breakfast rather than they used to prefer to have a light meal in their home.

The difference in consumer behavior

•         Taste preferences
•         Don’t go for heavy breakfast
•         Don’t like sweat much in their breakfasts
•        Indians like healthier foods

 But Timing is not the only reason for Dunkin donuts also the prices are high as a breakfast. Indians do not like to go to big restaurants rather than a small shop (Thales) Where they can have a different Indian spice and also at a low price.

Dunkin’s move towards the situation

               Now as Dunkin’s market is not boosting up a great manner so it started to change the flavors like Candy Orange, Litchi Lychee, Mango Tango with it also started its beverages and with a spicy sandwich in their products to attract more customers. And with all these, it has struggled to put its first impressions.

               In a manner, Donuts are a kind of sweat and Indians don’t like to start their day from sweat. For them, it is like a desert with so much flavor added to it so it is more like an impulse kind of the thing for the customer. So Indians used to buy this kind of thing when they want to celebrate or once in a while to change their taste.

               Now Dunkin had a big issue so it changes its strategies it increases the working hours and then started to add different flavors but it put one more strategy that backfired that is it included Burgers to its menu and started advertising in burgers rather than Donuts so the image and the reputation of a global brand was getting decreased. So when your name is donut and you more into a burger that breaks the rule of marketing. Dunkin also started to lower the core product and add more different verity of product.

               Dunkin was not alone in this problems its rivals Crispy crème and mad over donuts were facing the same problems entered in 2013 and 2008.

One thing goes in the favor of Donuts that youth of India which is more acceptable to the western taste are enjoying the food that’s why they reach to 22 stores to 70 stores till 2017 but then the growth stabilizes and 2017 was the pick period of Dunkin Donuts.  

               Dunkin expanded too fast and the big shops that include more operational cost so when Jubilant food works started the nest part of expansion then they decided to go for small shops with crowed zones that help to impulse the customer.

               In the other hand, Dunkin’s other business Baskin Robins have grabbed a good market which has 725 stores all over India and became the largest ice cream chain in whole India. As India, ice cream products are booming up largely and that affects the whole Indian ice cream Market but Dunkin is not doing that good.

               It is not the 1^st time that Dunkin has failed in a Country like India it tried to enter in China twice but failed but in 2015 it went to China with a better understanding of the market and bumped up the market.

So what do you think that what can be a better strategy for Dunkin donuts to gain large market share please leave your comment down below we will know that and show your viewpoint to our readers.