Doing Business during Pandemic - Managing Expectations and Changes

Change is inevitable and rapidly increasing. According to Murdock, it is only a must for

businesses to embrace change from the inside and to encourage and drive change from the

outside. Old paradigms are being replaced by new ones, the physical stores are being replaced

with e-commerce, business practices are now dynamic and flexible, etc. This shows that

disruptions in how businesses work are disrupted. However, even though change is an expected

part of modern management, many businesses still fail to effectively drive and manage it.

The recent pandemic made everyone in the world stop running. The assumption of many

businesses that their sales will increase the moment the year 2020 arrives becomes turmoil where

everyone leaves in a state of uncertainty. This includes Dunkin’, a canton-based coffee chain

founded in Massachusetts in 1948. The sales of Dunkin declined by 35% as the economy shuts

down. The lockdowns disrupted the routines of its customers, especially during mornings where

everyone goes to their go-to branch and grabs their coffee and breakfast. In the U.S., roughly

1,200 franchisees have been forced to temporarily close primarily those located in college

campuses and transportation hubs. In addition, 3,200 franchisees outside the U.S. also have been

forced to shut down their operations. In relation, Dunkin’s main branch has offered to extend the

payment terms and deferred rent for the 900 stores that lease property from the company. They

also provide forgivable loans and rehabilitation plans to help the branches to recover and stay in

operations while in the middle of the pandemic.

Concerning the operations, Dunkin’ continues to innovate and modernize its menus as

consumers look for a healthier alternative but at the same time, still treat themselves during the

pandemic. This includes using plant-based milk substitutes instead of the usual dairy milk,

offering healthier refreshment options, vegan alternatives, etc. Dunkin’ also implemented
changes in its operations and management to address health concerns related to COVID-19. The

safety measures are taken into the next level such as requiring hygiene training, social distance,

the use of face masks and gloves, and frequent hand washing.

Before the pandemic hits, Dunkin’ is currently rebranding by remodeling the stores’

operations and other development. However, this was halted but slowly started again by doing

brainstorming on how remodels and new builds should work once the pandemic ended. The

company has come up with different strategies to stay competitive. For instance, in the

Philippines, the Dunkin’ branch in Quezon, City opened its very first drive-thru that caters to

motorists, cyclists, and pedestrians. It is also part of the company's response to COVID-19 for a

lesser and quicker interaction with the employees and other customers. The company also issues

coupons, discounts, and promos to retain and attract new customers. They also ally with a

selected group of retailers in the supermarket industry to market their products to customers who

need to rest after shopping.

Due to the pandemic, businesses are aggressive and competitive. Innovation and re-

modeling are essential to gain competitive advantages and see an interesting shift in sales.

Dunkin' has the ability to come up with new ideas and/or improve existing ones to meet the

needs of the customers' demands. In particular, it has the ability to adapt to the changes in the

market, be it a product or service. The innovation and improvements of Dunkin' extend to the

improvement of the quality of their core products, including adding new types and flavors of

donuts, the addition of healthy options on the menu, and offering premium coffee while

maintaining its affordable prices. With the use of internal and external resources, it will help

Dunkin’ to deliver the best possible food and beverage offerings that meet the needs of today’s

consumers.
References:

CBS News. July 30, 2008. Dunkin' Donuts Goes Healthy with New Menu. Retrieved from

https://www.cbsnews.com/news/dunkin-donuts-goes-healthy-with-new-menu/

Dunkin Newsroom. July 15, 2020. Dunkin’ Becomes One of the First Quick Service Restaurants

to Join the P&G Professional CleanPLUS Experience Program. Retrieved from

https://news.dunkindonuts.com/news/dunkin-joins-p-g-professional-cleanplus-experience-

program

Industry News. July 2020. Dunkin’ Takes COVID-19 Safety Measures to Next Level. Retrieved

from https://www.qsrmagazine.com/news/dunkin-takes-covid-19-safety-measures-next-level

Kate Rogers. October 2020. Dunkin’ is keeping beverage innovation humming during the

pandemic as consumers look to treat themselves. Retrieved from

https://www.cnbc.com/2020/10/23/dunkin-is-keeping-beverage-innovation-humming-during-

covid-pandemic.html

Nik Clipa. April 2020. The year started off well for Dunkin’. Then the pandemic hit. Retrieved

from https://www.boston.com/news/coronavirus/2020/04/30/dunkin-coronavirus/