Delivery Is Dunkin' Donuts' 'Holy Grail'
The go-to “cool” move of every middle manager in America is bringing in a box of donuts. But coming soon, that middle manager might be able to do what she or he does with every other office task, delegate it out, because Dunkin’ Donuts has hinted that the chain’s next big push may be delivery.
In an interview on CNBC’s Closing Bell, Dunkin’ Brands CEO Nigel Travis spoke to what his company has done in recent years to meet consumer expectations. “The whole industry is under some pressure from changing demand,” he said. “Consumers are demanding it instantly, they want it delivered, they're pressured for time.” As examples of meeting these demands, Travis cited Dunkin’ Donuts On-the-Go app, the implementation of curbside pickup at many locations, and an increasing number of locations with drive-thrus – with up to 85 percent of new stores having a drive-thru option as opposed to 70 percent a few years ago.
But in his own words, Travis called delivery “the holy grail.” “I think the holy grail in the next few years ... is going to be delivery,” he said. “And that's going to be a global trend, not a trend just here in the US.”
However, much like the literal Holy Grail, Dunkin’ doesn’t seem 100 percent sure how they plan to find it. The company began testing Dunkin’ Delivery back in 2015 through the delivery platform Door Dash. That partnership is now officially up and running, but only at some locations. Travis said the brand plans to continue to ramp things up in a conversation with The Street. “We launched delivery in mid-2016,” he was quoted as saying. “We're expanding it; we're door dashing out of the Miami market. We now have it in about 750 Dunkin' stores. I believe that the food delivery trend is just starting, I think.”
Just don’t try to order afternoon sandwiches. As we found out yesterday, in many stores those are getting axed.