Dunkin’ Donuts, known for its coffee and pastries, has decided to close 450 stores situated within Speedway gas stations along the east coast. This move, while surprising to some, is strategic. These outlets contributed minimally to the company’s revenue. According to Scott Murphy, Dunkin’ Americas president, they made up less than 0.5 percent of domestic sales in 2019.
Kate Japson, the CFO, explains the decision: “By discontinuing these sites, with minimal financial repercussions, we anticipate positioning ourselves better to serve these trade areas in the future with new Dunkin’ NextGen restaurants that offer an expanded menu.”
The closure of these outlets might pose challenges amidst the COVID-19 pandemic. As economic uncertainties impact consumer behavior, individuals are cutting back on non-essential expenses like coffee. However, Dunkin’ remains committed to enhancing customer experiences through drive-thru locations, mobile ordering, and delivery partnerships.
Dave Hoffman, Dunkin’ Brands’ CEO, emphasized their commitment to being there for people during these challenging times: “For over 70 years, Dunkin’ has been an integral part of the communities we serve, keeping America running and taking care of our guests.”