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Why Dunkin' Donuts Is Failing in India

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Dunkin' Brands has become synonymous with breakfast pretty much everywhere, with more than 12,600 restaurants in 46 countries. In the United States, Dunkin' has seen a steady revenue growth over the last few years. But in India? The chain is struggling there. Dunkin' granted exclusive franchising right to Jubilant FoodWorks in 2012. In a statement to CNBC, Dunkin' Brands said it finds it important to include core Dunkin' products alongside more regional menu items to cater to local tastes. As Dunkin' tried to get the formula right in India, it focused on products like burgers that strayed away from the doughnuts and coffee it's long been known for. Even in the U.S., the chain has played with its menu and is now rebranding itself as just Dunkin'. Despite efforts to cater the menu to Indian tastebuds, the franchisee has now closed more than half of Dunkin' stores in less than two years. Jubilant FoodWorks cited a lack of profitability and operational inefficiencies. Dunkin' did not comment on its store closures in India. » Subscribe to CNBC: http://cnb.cx/SubscribeCNBC About CNBC: From 'Wall Street' to 'Main Street' to award winning original documentaries and Reality TV series, CNBC has you covered. Experience special sneak peeks of your favorite shows, exclusive video and more. Connect with CNBC News Online Get the latest news: http://www.cnbc.com/ Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC Follow CNBC News on Facebook: http://cnb.cx/LikeCNBC Follow CNBC News on Twitter: http://cnb.cx/FollowCNBC Follow CNBC News on Google+: http://cnb.cx/PlusCNBC Follow CNBC News on Instagram: http://cnb.cx/InstagramCNBC #CNBC #DunkinDonuts Why Dunkin' Donuts Is Failing in India | CNBC
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Text Comments (9124)
Hei Hei (1 day ago)
Am I the only American who really doesn't understand the fascination with DD? If I want a donut we have several local mom and pop bakeries that make donuts that blow DD out of the water and serve local coffee. DD's donuts get stale and gross after just a few hours of sitting on the shelf.
Hei Hei (1 day ago)
I'm an American and get sad if I go overseas and see an abundance of American fast food crap. I remember seeing a Pizza Hut in Edinburgh, Scotland. That made me sad. I'd prefer some bridies or a meat pie with a pint of whatever local stuff was on tap.
Logo Bim (1 day ago)
Wtf who eats DD in the morning especially when you can get better food in India that also in your nearest area 🤦🏻‍♂️
serenity rose (1 day ago)
In India it would be a evening snack
Nardeen Nabil (1 day ago)
I dont recommend DD to operate currently in China for the sake of the trade conflicts between both countries. It will elevate both capital and operating costs. Above all, it seems like there is cultural barriers for donuts right there.
Maxwell Gómez (1 day ago)
They don't really like donuts in India (i saved you a lot of time)
Anti Dhimi (1 day ago)
terrible coffee I had in India from dunkin donuts
indo p (2 days ago)
As an Indian I can afford any expensive food on planet and I have visited Doughnuts shop only once and that was my last visit. For me (& rest of the indians) it didn't make any sense to purchase a glorified bun for 1 USD and you are as hungry as before having that bun. I felt very cheated & idiot while eating it. It's a very bad deal and Rip off in broad daylight. In similar price we can have 20 buns at every bakery shop. Well every international food chain is Rip off but while eating Domino's pizza at least you have full tummy.
Saoirse Sheridan (2 days ago)
A lucky escape for India from a mega unhealthy start to the day.. Duncan Diabetes Donuts.
Anti Dhimi (1 day ago)
Indians prefer more Diabetes friendly food than you can imagine
pepperjack8 (2 days ago)
India cannot afford bread let alone donut
Anti Dhimi (1 day ago)
pretty stupid of you, the duma$$
Trevor Ellis-Guice (2 days ago)
Indians don’t go to Dunkin bc they own half the franchises
jess sissy (2 days ago)
199rps for Chai Lattae in India. They will flop again BIGTIME.
Ayush Raj (2 days ago)
* In INDIA KIDS Loves Ice Cream Even a New Born Child Can Lick Ice Cream Cant Eat a Donut Which is Sweet & hard to bite ... & in INDIA Dunkin donuts Couldn't Make their Market high In USA Its a morning Breakfast ... but in india people & Kids Don't get Time To Go To the Store To Purchase a Donut in morning ...
LaVar Ball (2 days ago)
Also Krispy Kreme here is much better
Mari Smith (3 days ago)
How Ironic, Indians won't eat from the very business many Indians franchise in the U.S
Daniel Bonner (3 days ago)
Donuts for donuts 🤮🤮🤮
Twxggy Da Random (3 days ago)
It considered as a "desert", donuts are " deserts" 2:04
Nidhin Naresh (3 days ago)
If you have a breakfast in an indian resturant you will have like 3 to four dishes and you will be full till for like 70 ₹ wich is like 1 $ and it will be low on sugar, calories, fat and articicial ingrediants and it would be fresh and would have some vegitables. Unlike DD where your minimum bill is like 2 $ and only a paistry. Indians live with family nobody lives alone if they have a choice. family prepares all there food at home because making food for the family and house chores are the only work women are expected to do not because they cant do job men do, they are perfectally capable. its not there responsiblity or anything even working women like my mom would prepare the breakfast and lunch before going to work she was a bank manager my dad used to help her with stuff he was also a bank manager (diffrent banks). She used to tell me that knowing what I had to eat was made by her will make her happy and me safe, cant argue with that and there is nothing teastier than my moms food(hope my wife dosent see this) . Also most of us are poor. The truth is DD is too rich for indians. You can always have steaming hot 'uzhunnu vada' with coconut chatny
Vipul Agarwal (4 days ago)
Being an Indian, i'm hearing that name for the first time. Secondly in my opinion they would not be able to capture a good market. As because the Indian taste is way different from what they are offering.
Jack Chan (4 days ago)
199 for chai....middle class ppl make up majority in India...we will laugh in ur face
Jon Mcadams (5 days ago)
Only time I buy dunking donuts... when at wal mart I buy their ground coffee. I must say between Maxwell House, Folgers, and similar priced coffees the taste is worth the extra 2 bucks. It's the cheapest coffee I will buy. Baseline.
rajgoyal (5 days ago)
Who eats sugar in breakfast?
Syedali Hussain (5 days ago)
I dont like donuts
Adam Osborne (5 days ago)
Americans would be so arrogant to think other countries would like their rubbish like they do
Mr. P. Enis (6 days ago)
I'm from Denmark and I don't see Donuts as breakfast. I see it as a treat
Abra Kadabra (7 days ago)
I like naturals better than BR.
Da ARTISTBoi (7 days ago)
*Dunkin' Donuts has left India*
Kittey (8 days ago)
because they can't afford it
Rakesh K (8 days ago)
I'm an Indian and I love donuts 🍩, just wish they aren't so pricey. Like 100 bucks for 1? Make it 50!
Young Lee (8 days ago)
Different appetite
Nelly Benbradey (9 days ago)
Dunkin' India :(
Ideol Green (9 days ago)
Nice advertisement CNBC
vinay karthik (9 days ago)
Simply we don’t like Rs 200 sweet bun and we like rs 200 ice cream
Nunya Damn Bidness (9 days ago)
Duncan is failing because its cheap garbage. Theyll sell it but not eat it.
@itsME (9 days ago)
all that sugar in the morning... nevermind
allen0088 (9 days ago)
Failing in the USA too
Supattra Paveenkittiporn (10 days ago)
The thing that surprised me is that the sales of donuts in US market still growing even though they have problems with obesity. Something is wrong with US FDA or US education systems. -_-
Castlegrad (10 days ago)
Cheap crap doughnuts. Dunkin' Doo-Doos! >:(
Noteamaasime (10 days ago)
Health conscious in India you mean pooping in the street?
Madara Uchiha (6 days ago)
Exactly
HomelessGuy (11 days ago)
Make it budget friendly and only target malls and community centers.
Mahesh M V U (11 days ago)
Must have been at least 5 years since I’ve had a donut from DD. There is so much else to eat here. I would’nt have a donut for breakfast ever.
pulz 01 (11 days ago)
Baskin succeeds because they are really high quality. We didn't have that high quality ice creams in India when they can. We don't mind paying for high quality,if we like it and it's worth it. I, personally,don't even mind saving money to buy baskins ice cream Because I know it will be worth it.
pulz 01 (11 days ago)
Ice creams, if good,will always do a good business.... Because ice creams are awesome. Donuts... Not my thing. Too boring!! But I must say Dunkin has great burgers. Dunkin can be the next Burger king or McD..
X X (11 days ago)
It'd be nice to show subtitles in english, when the indian speak. Hard to understand.
Brian Tau'talatasi (12 days ago)
My Indian friend that lives in Chicago, IL. told me that a lot of his friends and family members want to come to the United States, to see the Fat People. Seriously..
PapaBear (12 days ago)
I don't know how much longer America can go on expanding its disgusting fast food chains. The food is not tasty or nutritious, nobody wants to work there, and the prices keep going up. That is a trifecta that is destroying the locations and brands.
Kiya Brown (13 days ago)
I find it funny that in India, DD is doing bad there. But when you go into a DD in America, there are nothing but Indians who work there and more than likely own the franchise🤣🤣. It’s like DD left America to sell donuts in India, and then the Indians took the business BACK to America and sold donuts to us Americans.😂
DIPLOMAT (13 days ago)
India loves #chatpata 😊😊
Peter Pan (13 days ago)
its not even just in india even in europe we had one in my city in germany and after like 2 months no one went there anymore and it closed after like 1 year
Postumus (10 days ago)
We have one at Ostbahnhof in Berlin. Disgusting food. I can't imagine eating that sugar bomb for breakfast or at all. I'm not a fan of Indian cuisine but I understand why DD failed in India and other places. We would eat a hearty breakfast with spicy omelettes filled with veggies, plantains and tea. If I'm eating German style breakfast it's a slice of healthy bread with cheese or wurst, topped with cucumber or tomatoes and sometimes a joghurt. I'm not surprised that Americans are so fat. Eeks!
Ravi Kiran Tarapatla (13 days ago)
I’m south Indian we have vada which costs 30rs so why will we by it for 70rs.Have some common sense 😆😆😆
Dread Knot (13 days ago)
No indian want to eat fat American corporate greed, the same way they project they're fat stomach.
chito ruiz (13 days ago)
Indians eat nothing but poop anyway 🤭
Jennifer Carroll (13 days ago)
What went wrong for Dunkin in India? Well anyone who had an interest in it came here and bought all the stores. Thank you! Come again!
IFFET MINERVA (14 days ago)
First of all we don't start our day with junk food instead we eat nutritious and fresh food
Brian Cranston (14 days ago)
I couldn't understand a blink of what that dude said imma be real rn
asmard tech (14 days ago)
indian are poor, they cant afford it.
Car Home (15 days ago)
I am from india i even didn't heard the name of Dunkin donuutes in india. i got to know this franchisee was present in india after watching this video
Nikhil Sharma (15 days ago)
Also, for China, experts say it is worth trying to open so many stores. If it is to be tried, then what are these "experts" there for. Anyone can enter a market and try. Experts are supposed to predict whether it will work or not.
Nikhil Sharma (15 days ago)
So everyone is now an analyst and dissecting how they went wrong. Where were these "analysts" when Dunkin entered the market?
sonic meister (15 days ago)
It's good. Unhealthy food. I hope all these deceptive poison fail in all over Asia too!
Rohit Negi (16 days ago)
We indians feel unhealthy even while eating 🍞 so how can u expect that we will eat this dunkin donaut
Birdy Num Num Podcast (17 days ago)
As an American in India from New York I remember when dunkin opened and also remember only going once and then always seeing them empty. I don’t know what mcKinsey or Bain or whatever consulting firms these folks hire but they’re literally so out of touch when they jump here. Krispy Kreme seemed like more of a shopping mall gathering spot which is why I assume it faired slightly better. Just like a wall street banker can eat a $20 club sandwich and the average joe can eat a $7 one (for a third), in India the typical Microsoft employee can grab a $3 coffee like your video shows dunking about to do (insane) or a 30 cent one. Things have to be affordable for the lower end of the society and as a result the middle class can get good food insanely cheap and most will eat roadside on the go the same way a cabbie does. Also if you look at dominos in America nobody takes a date there or their family in a group to eat cheesy garlic bread but in India it’s bustling and people take selfies at dominos like its the latest party spot. Long story short please hire someone in India or abroad who knows the culture well!!!!!!
lohit kumar (17 days ago)
we love Indian traditional and healthy food don't want western food
Rachel Clottey (18 days ago)
Of all crucial topics to talk about, donuts. WOW.
TRIPPY T (18 days ago)
Haha India
Nathan Stewart (18 days ago)
Well I mean it's India, what did you expect?
Naveen Kumar (19 days ago)
Dunkin donuts is failing everywhere. Not just India.
33kaus holokaust (19 days ago)
Request to all American brothers.... please avoid so much sugar in morning. It causes health issues by age 40
Dread Pirate Roberts (14 days ago)
They are fat for a reason.
Travel Wire (19 days ago)
If you want to enter india and want to gain attention of indians then you have to be smart. 😂
Rishabh Dhawad (19 days ago)
Dublin Doughnut should look here in the comments section
Srinath (19 days ago)
We love Medhu vada- much healthier
AsiA I. (19 days ago)
gora chutiya.
Setia Andrew (19 days ago)
They're just to broke to buy donkin donuts.
Nicole Lollipops (19 days ago)
I’m American and eating donuts that your boss brought on Friday always felt wrong eating in the morning.
Matthew Mcgee (19 days ago)
I’m American, but I can’t stand doughnuts for breakfast except on certain occasions. It’s a good breakfast if you have family visiting. It’s quick, easy, and you get the kids to eat it. Too heavy to eat everyday if you ask me, although I’ll eat 2 whenever I eat them. I normally prefer a granola bar or yogurt for a grab and go breakfast or some toast and eggs with some veggies like onion or tomato for a homemade breakfast.
Aravind Rajasekar Thangamani (20 days ago)
Noone in India buys half a litre of beverage for 199Rs.... And how baked food coated with sugar is a food, we call it snacks 😂 if I
Douglas Thompson (20 days ago)
Why do any of these companies even bother. American does not sell well in many countries....
shinchan the best (21 days ago)
18716 liker AND COMMENTING ON 4 JUNE 2019 AT 7:36 PM(btw from india)
Hassan Iftikhar Views (21 days ago)
It's failing in Pakistan too.
Beauty Chatterjee (21 days ago)
One of the best shops in India but prices hit sky limits. Otherwise India doesnt understand how supercalifragilistic donuts are .
Lucifer Morning Star (21 days ago)
How many “ failing in India “ videos do you have to make to realize that Indians just can’t afford anything but goat milk and curry 🍛
Bob Singh (21 days ago)
America has too many barriers to entry for street vendors. Otherwise the Mexicans, Chinese, Indians and Vietnamese would undercut everyone
Smart Baba (21 days ago)
Real story here. DD. : come buy sm sweets Bikaner : m gonna this guys career DD. : come & buy sm burgers Mac D. : m gonna end this guys all career DD. : come & have some breakfast Indian Mom : m I jock for you 😠
Smart Baba (21 days ago)
😂😂😂
Bob Singh (21 days ago)
Balu shahiyan 😂
Smart Baba (21 days ago)
In front on Paratha,Dosa ,And many by the hands of Indian Mothers, so our Mom killed that brand 😂😂😂another brand of the victim of Family values in India😂😂
Raj Singh (21 days ago)
1 Sweet vada with no sambhar and chatni at cost of 100 probably.
LEO , (22 days ago)
Idli khate hai Indian 🤪🤪🤪🤪
lydbih (22 days ago)
indians work at almost all the dunkins I go to in my area
Benjamin Debisarun (22 days ago)
i love bara 💚💛
Peter (23 days ago)
Donuts for breakfast? Yeah, no thanks
Ashu Yadav (23 days ago)
first of all Indian eat samosa idli dosa vada psrathaetc.we dont like to sweet things in the morning.we want healthy n little spicy .no one want sweets in tge morning..dunkin must sell indian recipe.not only in India but us as well.I'm sure if they cook it properly even American going to prefer indian food over American.
Varun Jha (23 days ago)
why nobody is talking about the price ,when I am getting donuts for 20-25 rupees in local store why would i opt for expensive one that is above 70 rupees for one donut
chinmay nikam (23 days ago)
Might work if they change it up to Dunkin Meduvada
Ajay Mane (23 days ago)
Quiet correct.
The Farce :D (23 days ago)
I had no idea they had DD here in India, I want one!!
Soumyo Mookerji (23 days ago)
Americans do they like our breakfast, I wonder! Thus why on earth we would like donuts! These american foods have tons of bloody calories and yaak and puckish taste.
Ramchandra Mohan (23 days ago)
8:03 Wtf tea costs 199₹! You can literally get tea ☕ for ₹10 on any street of India🇮🇳
ASC (5 days ago)
aur us 10 wali chai mein hi bahut maja aa jata hai
Ayan Mondal (17 days ago)
Vai Rs.5 me milta hai
AlexTropics (24 days ago)
200 rupees for flavoured coffee/tea is stealing from a third world countries economy. This is why they fail lol
๖ZEUS๛ (24 days ago)
No company can beat Indian streetfood
McAllister Fernandes (24 days ago)
They should have just replaced coffee with tea..