You are on page 1of 3

DUNKIN’ DONUTS and STARBUCKS

Dunkin’ Donuts' brand loyalty is rooted in the various factors that the brand has

established through the years of Brand Conversion (Abushanab, 2017). The trade-off

between consummating Dunkin’ Donuts instead of other products offered by famous

competing fast-food chains. Lifetime Loyalty--the benefit used as bait by competing

brands to lure consumers of Dunkin' Donuts in patronizing their products. An effort that

competitors have to make for them to convert consumers into liking their brands. Brand

Separation. Brand Separation is the distinct feature that makes consumers buy Dunkin'

Donuts instead of other products available in the same category. Lead time Loyalty. It

necessitates the period to which the consumers require before shifting to a presumed

less desirable brand like Starbucks.

On the other hand, the brand equity of Starbucks is established through selling

refined and quality coffee together with the other products available. Starbucks Stores

reflect the culture of the place where they are located. The unique “Starbucks experience”

for each customer builds a different level of customer loyalty, almost to the extent of

creating a cult culture (Geereddy, n.d.). The superior customer service that caters the

needs and suggestions of consumers further create the brand equity of Starbucks

(foodnewsnews.com, 2022).

Dunkin’ Donuts portrays the traditional fast-food eateries that cater to the wants of

the public. On the other hand, Starbucks has established an exclusive atmosphere, which

built the premium features of the brand--The extensive product customization and

comfortable ambiance of the store (Delventhal, 2022). Starbucks was established 20


years after Dunkin' Donuts. Despite so, Starbucks grew substantially and became bigger.

According to Delventhal, (2020), Starbucks has dominantly secured more than 30,000

stores compared to Dunkin' Donuts with 13,000 before the pandemic era.

Drinking coffee is perceived as an activity done during a specific time of the day--

usually mornings. Hence, more than the coffee that the store provides, Starbucks has

targeted customers with varying needs during lunch and dinner as well by making wines,

beer, and sandwiches available. Starbucks' adaptive target market and marketing

strategies pave the way for the store to secure its standing. Furthermore, Starbucks

turning into a social activity instead of being just a coffee go-to place has made people

want to go to the store. With this, consumers with higher disposable incomes have

become the regulars of the stores.

Dunkin' Donuts has built an identity as a coffee seller--this assertion is seen

through the company's logo, which the managers have done explicitly, despite the

"donuts" word on the brand name. Dunkin' Donuts' menu serves a variety of options,

including healthy meals which consumers could choose. In addition, the interiors reflect

those of the fast-food chains, unlike Starbucks. Dunkin Donuts has more competitive

pricing, focusing on the middle-class--receiving a respectable minimum but maintaining

quality.

Starbucks’ customization of their location to provide the desired satisfaction that

the customers need is considered their strength compared to Dunkin’ Donuts. Starbucks

undeniably offers premium than Dunkin’ Donuts. Its priority to the premium experience it

wants to provide has helped them secure its place in the current market.
References
Abushanab, H. (2017, February 28). Brand Analysis, Dunkin Donuts. Retrieved March
4, 2022, from
https://issuu.com/halaabushanab7/docs/dunkin_donuts#:~:text=Brand%20Equity%20Du
nkin%20Donuts%20has,separation%2C%20and%20lead%20time%20loyalty.
Delventhal, S. (2022, January 17). Starbucks vs. Dunkin': An Overview. Retrieved
March 3, 2022, from https://www.investopedia.com/articles/markets/120215/starbucks-
vs-dunkin-donuts-comparing-business-
models.asp#:~:text=Starbucks%20has%20also%20built%20a,competitive%20pricing%
20relative%20to%20Starbucks.
foodnewsnews.com. (2022, March 4). Brand Equity of Starbucks. Retrieved from
https://www.foodnewsnews.com/starbucks/brand-equity-of-starbucks/
Geereddy, N. (n.d.). Strategic Analysis of Starbucks Corporation. Retrieved from
chrome-
extension://efaidnbmnnnibpcajpcglclefindmkaj/viewer.html?pdfurl=https%3A%2F%2Fsc
holar.harvard.edu%2Ffiles%2Fnithingeereddy%2Ffiles%2Fstarbucks_case_analysis.pdf
&clen=1402017&chunk=true

You might also like