Product/Market Matrix
Demands of the Market
The product line offered by Dunkin’ Donuts is not only based on offering different kinds of donuts but also offers variety in coffees and has also diversified into the food market by offering snacks and food items like sandwiches and pizzas.
Its products are in line with the demand of the market as it has something to offer for all ages and for all times of the day. It offers sandwiches and coffee for breakfast and for lunch and dinner times it offers heavier meals like pizzas. Apart from that it also covers all age groups. It offers coffee for its adult segment, it had created an excellent ambiance for teenagers’ making it their hangout place and it also offers products for children which include munchkins. Hence, it fulfills the different demands of different segments.
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Products to Be Phased Out
In my view, some products in the food category should be phased out. These would include heavy food items like pizzas as it is not the core business and Dunkin’ Donuts is not known for these products and more focus should be on the core products like coffees, donuts and breakfast items and snack items rather than doing for full time dining to maintain its image In the mind of consumers as a coffee and hangout place and not over position it.
Products to Be Added
More products should be added to all categories, food and coffees for the target market catering to the children. I feel this segment is neglected and much more revenues can be generated from this segment if more products are added to serve this segment. Currently, munchkins are the leading products of this category but other products to solely cater to children should be added. Like McDonald’s Happy meal, some packages should be available to children as well. Special DUNKIN; Cornflakes can also be an option for breakfast times.
Competitive Advantage
When a company performs better than its competitor in generating sales, hat advantage which the company has in generating those sales is called competitive advantage. (Competitive Advantage, 2008)
In the case of coffees, it has a tough completion with start bucks which also offers great variety to customers. As far as the food segment is concerned, Starbucks has no presence and the main competitor is Costa Coffee. In this case, Dunkin’ Donuts is a much better player as it has something to offer for every segment of the target market whereas COSTA coffee had limited variety in this segment. Also, although the children segment is not much-taken care of, it still has a competitive edge in this area as main competitors have not diversified much towards this segment. Hence, this opportunity should be exploited by Dunkin’ Donuts.
References
Competitive Advantage. (2008).
Dunkin’ Donuts (2008), ‘Original Website’. Web.