Read more at “Dunkin’ Donuts jumps on Asia’s coffee craze.”
Posts Tagged ‘Dunkin Donuts’
“Coffee is a language in itself”*…
Every day, the drums bang, the cymbals clang, and a stream of men in traditional Korean outfits carrying swords and wearing helmets march outside Deoksugung Palace — where King Gojong, a noted coffee addict, first brought the brew to prominence in South Korea in the 1890s.
This elaborate ceremony takes place in front of a landmark more familiar to American eyes — the pink and orange neon sign of a Dunkin’ Donuts.
Readers may recall (R)D’s earlier account of the contest between Starbucks and Dunkin’ Donuts for hegemony in the U.S. And readers will know that both brewers are angling to dominate the global market as well. While China is the headline market up for grabs– Starbucks currently has more outlets there; DD arguably has more creative market customization— Korea has turned into a battleground as well.
South Korea now boasts more than 900 Dunkin’ Donuts outlets, nearly as many as there are in the chain’s home state, making it the company’s largest international market. Starbucks is 300 stores behind.
Starbucks was the first to open in South Korea, in 1999, and it immediately shook up the marketplace. Koreans had a taste for coffee — during the Korean War in the 1950s, US soldiers brought packets of instant coffee and shared them with Koreans — but there were few Western-style coffeehouses. Teahouses dominated the culture, and they were often dark, smoke-filled, and sometimes involved prostitution.
Starbucks offered a brightly lit experience, some cultural cachet, and expensive coffee. “At Starbucks, Koreans jumped on the bandwagon,” said Daniel Schwekendiek, an economics professor at Sungkyunkwan University in Seoul who is writing a book on Korean consumption culture. “It was considered a place to be. It’s a status symbol. Students spend $5 or $6 for lunch. And $5 or $6 for coffee.’’ Dunkin’ had officially opened five years earlier but was more focused on selling doughnuts than promoting its coffee.
Not long after Starbucks emerged, Dunkin’ recalibrated its strategy, launchinga three-year advertising campaign emphasizing “two hands,” one holding a doughnut, the other holding coffee.
By 2009, Dunkin’ had built a coffee roasting plant in South Korea — its first, and only, outside the United States — and boasted that its beans were so fresh that they’d be in your cup within days of roasting…
Even in the annals of a half century of American fast food companies pushing overseas growth, the Dunkin’ presence is notable: There are three times more Dunkin’ Donuts outlets in South Korea than there are McDonald’s.
While the international operation has been growing in recent years, it is still a small slice of the overall business: In 2013, revenues for Dunkin’ Donuts in the United States were $521.2 million, while $18.3 million came from international markets. Nearly 40 percent of all international sales came from South Korea stores…
* Jackie Chan
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As we put the caff back in the half-caff, we might recall that it was on this date in 2007 that Iran intensified it’s crack-down on “bad-hajib,” un-Islamic grooming and clothing. Earlier, Iranian police had warned barbers against giving men Western-style haircuts or using make-up of any sort. It was on this date that Iranian television announced that the crackdown had started its next phase, in which mobile police units would patrol Tehran in search of those who did not observe Islamic dress sense. As part of the warning, Tehran’s public prosecutor suggested that women who violate dress rules should be exiled from the capital, and forced to live in remote areas of the country.
Forbidden hairstyles
The Battle of the Brewers…
There are just over 11,100 Starbucks locations in the U.S; Dunkin’ Donuts has 7,200… and Boston.com has mapped them all for us, nationally (green dots for Starbucks, red for Dunkin):
… and in major cities (as here, New York):
Find out what it all portends in “Split country: Dunkin’ vs. Starbucks.”
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As we choose sides, we might spare a well-caffeinated thought for the wise and witty George Carlin; he died on this date in 2008. The Grammy-winning comedian is probably best remembered for his routine “Seven Words You Can Never Say on Television” (originated on his third album). When it was first broadcast on New York radio, a complaint led the Federal Communications Commission (FCC) to ban the broadcast as “indecent,” an order that was upheld by the Supreme Court and remains in effect today. Not coincidentally, Carlin was selected to host the first Saturday Night Live.
Fresh from the oven…
Quoth the ever-illuminating Laughing Squid:
Reuters is reporting that savory shredded pork donuts will be introduced to Dunkin’ Donuts stores in China as part of a multi-year marketing campaign, with NBA star LeBron James as a “brand ambassador” for the campaign. CEO of Dunkin’ Brands Group Inc. Nigel Travis told Reuters, “Donuts are a very flexible product. You can do savory donuts, you can do donuts with shredded pork — that’s in China…We also have a range of other savory products that we have been testing and introducing country by country.”
As we choose the savory over the sweet, we might recall that today– the Ides of March, the 15th– while best remembered for Julius Caesar’s bad luck in 44 BCE, is the date that Romans celebrated the festival of Anna Perenna, deity of the circle or “ring” of the year (as her name– c.f. per annum– suggests).
