Why Is Dandy Donuts Successful

Dandy Donuts What better way to attract college kids than to have cheap prices, good food, and late hours? Well, Dandy Donuts does just that. Dandy Donuts is a small donut shop located in a small town in Oklahoma known as Durant. The location of the shop is right next to Southeastern Oklahoma State University which is a small D2 school. In Durant, not many stores stay open passed 12. The only food places that actually stay open late are Whataburger and Dandy Donuts. With Dandy’s hours which extent from 11pm-11am it makes it the perfect place for college students to help their appetite when coming from or to a party. With their donuts costing .66 cents and $1.50 for anything else, it makes this donut shop perfect for the tight pockets the college …show more content…
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

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