Dunkin’ Donuts Ramping Up Discounts To Bring In Customers

Image courtesy of Mike Mozart

Dunkin’ Donuts, faced with slipping sales, has undergone a bit of a revamp in recent months, such as dropping the “Donuts” portion of its name at a California store to paring down its menu. Now, the company is focusing on deals, as in, giving customers more of them.

The chain announced its third quarter financials Thursday, noting that for the sixth straight quarter traffic to locations had fallen.

In all, traffic at U.S.-based restaurants declined 2% for the third quarter.

While same store sales increased by 0.6%, overall income for Dunkin’ Brands — which also counts Baskin Robins in its portfolio — fell slightly by about $500,000.

In the face of falling sales, and fewer customers walking through the doors, Dunkin’ CEO Nigel Travis tells Reuters the chain will increase the number of promotions it runs.

“Our franchisees are now seeing the value of value and you will see a lot more in the future,” said Travis.

The company plans to focus the deals on its mobile app, providing loyalty members with personalized ads and perks, Reuters notes.

In the past, the company has run promotions such as “2 for $2” egg and cheese wraps and prize promotions on drinks.

Nigel pointed to the company’s recent “Sip. Peel. Win” promotion as an example of a successful deal, noting it had driven hot coffee sales.

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