After obtaining the necessary advertisement, then with the right placement Dandy Donuts has the opportunity to compete with the 3rd largest franchise in the U.S. known as Dunkin’ Donuts (Entrepreneur). When looking at Dunkin Donut’s market their only highly known donut competition is Krispy Kreme (Bixler). With being the top donut franchise Dunkin’ Donuts doesn’t have anybody to worry about. With this lack of competition, Dunkin’ Donuts would be easily blind sided by Dandy Donuts. With their hours unlike any other breakfast place, it leaves a huge opportunity for Dandy to grab a different audience. With their hours being selectively late night and early morning, they attract late night shifts and early morning commuters in their way to work.
Donut Industry The donut industry in 2012 received a 11.6 billion dollar revenue, along with 2.5% annual growth from 2007-2012 (Bixler). This number rises even today, with the donut industry being extremely popular, and donuts cheap and easy to make it leaves a great opportunity for Dandy Donuts to flourish in the donut franchise market. Donuts are the “… second most profitable food item in the nation…” (Chestain). With the donuts costing about 12 cents to make, they have the potential to be extremely profitable when going into franchising (Chestain).
Location and Customer