Dunkin’ Donuts RestaurantMarketing Guide
© 2010. DD IP Holder LLC. BR IP Holder LLC. All rights reserved.
TABLE OF CONTENTS
I. INTRODUCTIONRoles of Marketing & Local Restaurant MarketingYour Restaurant
II. UNDERSTANDING YOUR RESTAURANT AND COMMUNITYRestaurant ProfileS.W.O.T./Situational AnalysisTrade Area MappingTrade Area ProfileTrade Area Events and OpportunitiesCompetition Profile
III. MARKET PLAN DEVELOPMENTObjective Strategy Tactics BudgetSchedulePost Analysis
IV. LSMNOW.COM OVERVIEW
V. CONCLUSION
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SECTION I
INTRODUCTION
Roles of Marketing
The role of marketing is to bring guests in, bring guests back and trade them up whenever possible.
The role of local restaurant marketing is to build upon, and enhance, broadermarketing messages. This is accomplished by personalizing the message to your guests and demonstrating your commitment to the community.
A combination of both marketing formats will assist in achieving thefollowing objectives:
•Build brand differentiation•Drive sales and profitability•Improve marketing productivity•Connect with local community
The advertising done by the brand is broad-based and focused on driving against all key objectives. To continue that success, each franchisee network needs to have a plan that is tailored to the needs of individual restaurants and of local guests.
It is important to research and prepare accordingly before implementing a localcommunity marketing plan.
The following tools will assist in clarifying exactly what programs are best suited for you and your needs. Remember, you have the power to own your community through local marketing efforts.
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Your Restaurant
Know your restaurant’s community. Each location has a unique blend of neighbors, guests, community leaders, opinion makers and businesses. Impact your restaurant’s sales by creating a program suited to your community and its personality. The trade area mapping section will provide a tool for determining your restaurant target area.
Your planning research will include the following steps:•Restaurant Profile•Situational Analysis (S.W.O.T.)•Guest Profile•Trade Area Profile•List of Community Events in Your Trade Area
Once you have answered the questions above, you are ready to develop your plan. Money should not be spent without first understanding and identifying the correct audience for your message.
Your marketing plan should include the following steps:•Goals & Objectives What are you trying to achieve?•Strategy & Tactics How are you going to achieve your objectives and goals?•Budget & Schedule How much will it cost and when will each tactic take place?•Program Analysis Plan How will you measure and analyze program results/success?
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Section II
UNDERSTANDING YOUR RESTAURANT AND COMMUNITY
Step 1 – Restaurant ProfileBegin building your profile by understanding your restaurant sales, customer counts, product mix and traffic flow – day to day, and hour by hour. In addition, take time to understand your guests, location and restaurant’s capabilities. Each restaurant has different strengths, weaknesses, opportunities and threats (S.W.O.T.). By identifying these key areas, you will be able to better understand your situation.
Step 2 – Situational Analysis (S.W.O.T.)S.W.O.T. analysis can give you a bird’s eye view of your restaurant, relative to your guests and trade area. Your findings should be laid out in the format below to make the information easy to decipher.
STRENGTHS•Positive factors that impact your restaurant internally
•e.g. Restaurant size, experienced team, good visibility, etc.
WEAKNESSES•Challenges that impact your restaurant internally
•e.g. High turnover, limited space, obstructed signage, poor employee attitudes, etc.
OPPORTUNITIES•External areas where Dunkin’ Brands mightbe able to capitalize
•e.g. Snowbirds return, customer brand loyalty, high-profile events, etc.
THREATS•External factors that are/may impactyour resturant
•e.g. Landlord issues, increased competition, product recall, etc
Tips for starting your S.W.O.T. analysis:•Look at the external factors (opportunities & threats) that are out of our control.•Identify 3-5 top opportunities and threats.•When evaluating a restaurant’s strengths and weaknesses, it is important to keep an objective perspective.
•Identify and prioritize 3-5 top strengths and weaknesses for each restaurant. •Which strengths still could be improved upon?•Which weakness is most important to minimize or fix?
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Step 3 – Trade Area Profile
Understand your trade area. Are there unique aspects or events that occur in the area? What makes that area different from others? Become a familiar face in your trade area. Get to know the schools, hospitals, businesses, competitors and community services.
*Primary focus should be a one to two mile radius around your restaurant.
**Secondary focus will be a three to four mile radius around your restaurant.
Trade Area Mapping
1. Get a Map – From a local bookstore or library or use www.mapquest.com.www.mapquest.com offers a great mapping resource that will quickly help map your trade area.
www.mapquest.com instructions:•Go to www.mapquest.com•Type in your restaurant’s address•Click ‘Get Map’ •Scroll down and click on the ‘places of interest’ you desire for your map •Click ‘update map’•Instant trade area map
2. Complete the Trade Area Profile Worksheet
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TRADE AREA PROFILE WORKSHEET
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RESTAURANT LOCATION(ARE YOU LOCATED IN A STRIP MALL, FREE STANDING BUILDING, MAJORINTERSECTION, DOWNTOWN LOCATION, ETC.?)
RESTAURANT VISIBILITY(IS YOUR RESTAURANT HIDDEN BY TREES OR BUILDINGS, CAN PASSERSBY SEE SIGNS?)
RESTAURANT ACCESS(IS YOUR RESTAURANT EASILY ACCESSIBLE?)
RESTAURANT TRAFFIC(WHAT IS YOUR AVERAGE CUSTOMER COUNT PER HOUR?)
Step 4 – Who is Your Guest?
What types of people are coming into your restaurant for coffee and baked goods? Where are they coming from? Where are they headed? Where can you interact with them outside of the restaurant?
Some important factors:•Do your restaurant guests reflect the age of residents in the surrounding community?
•Is your community predominantly one ethnicity? Hispanic? Caucasian? Etc.•Is your restaurant located in a strong religious community?•Where are the large neighborhoods/complexes near your restaurant?•What neighborhoods are most likely to have coffee drinkers? •Where are the major shopping centers or strip malls?•Are there any major sports arenas/parks in the area?•What are the major hotels and resorts in the area?•What companies are in the area that employ large work forces?
Complete the following worksheets to get started.
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TRADE AREA CALENDAR OF EVENTS(List events that occur in the area throughout the year.)
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JANUARY -
MAY –
SEPTEMBER –
FEBRUARY –
JUNE –
OCTOBER –
MARCH –
JULY –
NOVEMBER –
APRIL –
AUGUST –
DECEMBER –
TRADE AREA PROFILE(List the Schools, Churches and Prominent Businesses in the Area.)
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TOP BUSINESSES
CHURCHES
SCHOOLS
Step 5 – Competition
Take your competition seriously. You may know your coffee and baked goods are better, but your potential guests do not.
Where is the competition located, relative to your restaurant? Where are new competitors planning to build/open?
COMPETITIVE PROFILE
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WHO IS YOUR COMPETITION AND WHERE ARE THEY LOCATED?
WHO ARE THEIR GUESTS?
OTHER OBSERVATIONS?(SERVICE, FACILITY, PRICING, EXECUTION)
WHAT ARE THEIR STRENGTHS AND WEAKNESSES?
Section IIIDEVELOPING YOUR MARKETING PLAN
Once you have completed your trade area analysis, you are ready to build your marketing plan.
Step 1 - Objectives Identify your objectives. What results are you hoping to get? What do you want to achieve? Your objectives are the foundation of your marketing plan, with everything else stemming from them.
In order to remain focused, your maximum number of objectives should be two. An objective must be measurable in order to determine the success of a program. In addition, you must define a time period for the program. This allows you to compare new results to old results and adapt for the future.
Examples:•Increase sales by 5% by end of quarter two•Increase PM business by 10%•Increase weekend beverage sales by 3%
Step 2 - StrategyIdentify your strategy. How are you going to accomplish your objectives? If the objective is to increase store sales by X%, what will you do to reach that number?
You should always market to the strengths of the business. Programs that focus on the largest parts of the business will garner the largest return. Conversely, programs that promote least sold items will garner a smaller return.
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Step 3 - TacticsNow you should identify your tactics. Tactics are the ideas you will execute. Will you create a contest, employee incentives for suggestive selling, sampling programs and/or direct mailers? Tactics facilitate your path to reaching your objective(s).
Step 4 - BudgetEnsure that you outline a budget before implementing any part of your plan. Research should be done on all costs associated with your tactics. Plan ahead and make good long-term decisions. How much money will it take to implement a promotion? Doing so will help you stay within the budget parameters that you set and avoid any surprises or wasteful expenses.
Step 5 - ScheduleEach tactic should have a time component. When will you begin implementation? How long will the tactic be in effect? A schedule will help you maintain a global view of the marketing plan and enable you to track progress throughout the campaign.
Step 6 – Measuring SuccessEach program must be analyzed to understand its success. Program objective(s) will determine what must be tracked. For best results, develop a tracking form for quick and easy post analysis. If the objective(s) specify tracking sales, customer counts, and/or specific product movement, set up your form to show 4 to 6 weeks pre-program, program period, and 4 to 6 weeks post. If coupon redemption is the key success indicator, the tracking form should identify the following: offer(s), quantities, method of circulation and daily redemption, by offer and hour of day, through the expiration date(s). Analysis must also include program cost for comparison. Make certain these costs are outlined on your tracking form. Any external influences, such as weather or road construction, should also be noted. These extenuating factors can play a key role in your overall program success.
Use the following worksheets to complete your marketing plan.
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PC# Address:
Month 1
-LOCAL STORE MARKETING CALENDAR (Part 1)-
Awareness
Trial
Frequency
Loyalty
/
Competitive
Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Month
14
PC#
Mon
th 1
-LO
CA
L ST
OR
E M
AR
KET
ING
CA
LEN
DA
R (P
art 1
)-
Mon
th 2
Mon
th 3
Mon
th 4
Mon
th 5
Mon
th 6
Mon
th 7
Mon
th 8
Mon
th 9
Mon
th 10
Mon
th 11
Mon
th 12
Mar
chM
onth
Apr
ilM
ayJu
neJu
lyA
ugus
tSe
ptem
ber
Oct
ober
Nov
embe
rD
ecem
ber
Janu
ary
Febr
uary
Add
ress
:
Awareness
Trial
Frequency
Loyalty
/
Competitive
Doo
r Han
ger
Buck
slip
sBe
My
Gue
st
Card
s
Post
er,
Law
n Si
gn,
Pole
Sig
n
Post
er,
Law
n Si
gn,
Pole
Sig
n
Dire
ct M
aile
r w
ith
Freq
uenc
y Ca
rd
Freq
uenc
y Ca
rdFr
eque
ncy
Card
Buck
slip
/ Bo
unce
back
Coun
ter C
ard
Doo
r Han
ger
Shar
ed F
SI
SAMP
LE
15
-LOCAL STORE MARKETING BUDGET WORKSHEET (Part 2)-
Items to be Ordered CommentsDate Items Needed Cost
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
Where to Purchase Quantity
Total Cost:
16
-LO
CA
L S
TO
RE
MA
RK
ET
ING
BU
DG
ET
WO
RK
SH
EE
T (
Par
t 2)
-
Item
s to
be
Ord
ered
Com
men
tsD
ate
Item
s N
eede
dC
ost
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
Whe
re to
Pur
chas
eQ
uant
ity
Tota
l Cos
t:
Dire
ct M
aile
r w
/ Fr
eque
ncy
Car
d
Cou
nter
Car
d
Buc
kslip
s
Doo
r H
ange
rs
Law
n Si
gn
Post
er
Freq
uenc
y C
ards
Pole
Sig
n
Freq
uenc
y C
ards
Shar
ed F
SI
Post
er
Be
My
Gue
st C
ard
Pole
Sig
n
Law
n Si
gn
Buc
kslip
s
Doo
r H
ange
rs
3/15
3/15
4/12
4/2
4/2
4/2
5/15
4/2
8/14
8/5
11/1
5
11/1
11/1
5
11/1
5
1/20
1/4
LSM
now
LSM
now
LSM
now
LSM
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LSM
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LSM
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10,0
00
2 500
10,0
00
22 750
1 250
10,0
00
3500
21 1,00
0
20,0
00
2,80
0.0
0
6.50
40.0
0
1,343
.00
48.0
0
56.0
0
82.5
0
44.0
0
35.0
0
1,50
0.0
0
84.0
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65.0
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88.0
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24.0
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70.0
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8,0
24.0
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1,738
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4-5
Wee
ks
Prin
ting
cost
onl
y
6 w
eeks
Prin
ting
cost
onl
y
SAMP
LE
17
PC# Address: Program Objective:
Week Ending
Pre-
Prog
ram
(4 w
ks.)
Post
-Pro
gram
(4 w
ks.)
Prog
ram
Wee
ks
Total: $ $
$ $
$ $
$ $
Total:
Total:
% Change pre/post
Gains
% Change (+/-)
Program Costs from Budget Worksheet: Gains Less Program Costs Customer Counts Redemption
*If Applicable
PROGRAM SUMMARY
% Change pre/post
Actual Store Sales *Units Sold*Prog. Product Sales *Prog. Prod. CC’sCustomer Counts *Coupon/Freq. Cd. Redemption By Offer
Offer 1 Offer 2 Offer 3 Offer 4 Offer 5
-MARKETING PROGRAM TRACKER/POST ANALYSIS WORKSHEET-
18
PC#
Add
ress
:Pr
ogra
m O
bjec
tive:
Wee
k En
ding
Pre-Program (4 wks.) Post-Program (4 wks.)Program Weeks
Tota
l:$
$
$$
$$
$$
Tota
l:
Tota
l:
% C
hang
e pr
e/po
st
Gai
ns
% C
hang
e (+
/-)
Prog
ram
Cos
ts fr
om B
udge
t Wor
kshe
et:
Gai
ns L
ess
Prog
ram
Cos
tsC
usto
mer
Cou
nts
Rede
mpt
ion
*If A
pplic
able
PRO
GRA
M S
UM
MA
RY
% C
hang
e pr
e/po
st
Act
ual S
tore
Sal
es*U
nits
Sol
d*P
rog.
Pro
duct
Sal
es*P
rog.
Pro
d. C
C’s
Cus
tom
er C
ount
s*C
oupo
n/Fr
eq. C
d. R
edem
ptio
n By
Offe
r
Offe
r 1O
ffer 2
Offe
r 3O
ffer 4
Offe
r 5
-MA
RKET
ING
PRO
GRA
M T
RAC
KER
/PO
ST A
NA
LYSI
S W
ORK
SHEE
T-
Incr
ease
d Pr
omot
iona
l Pro
duct
Sal
es
7/10
7/17
7/24
7/31
9/4
9/11
9/18
9/25
8/7
8/14
8/21
8/28
2125
2175
2250
2175
2,25
0
2.25
5
2,25
5
2,25
5
2,20
0
2,25
0
2,27
5
2,25
0
8975
70 70 72 72
8,72
528
4
90 88 90 89
9012
357
287
73
3.29
%
$75.
00
w/s
hipp
ing
25.7
0%
160
153
156
150
619
150
1,00
0 B
ucks
lips
110 100
95 455
455
455/
46%
$157
0-7
5.0
0 =
$149
5 A
ctua
l Sal
es
Tota
l up
3.29
%
Offe
r 1
46%
$178
-75.
00
= $1
03 P
rodu
ct S
ales
P
rodu
ct u
p 3.
29%
8,50
0
8,70
0
9,0
00
8,70
0
9,10
0
9,12
5
9,12
5
9,12
5
9,0
00
9,10
0
9,25
0
9,10
0
175
Prom
o Pr
oduc
t
175
180
185
34,9
00
715
36,4
5092
9
36,4
7089
3
1,570
178
4.50
%24
.90
%
225
220
225
223
240
230
234
225 SAMPLE
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Section IVLSMNOW.COM OVERVIEW
Dunkin’ Brands offers LSMnow.com as a resource for you and your marketing efforts. Below is an overview of the Web site.
For a login and password and for Web site assistance using LSMnow.com, contact:
LSMnow.com Help CenterPhone: (855) 576-6669
Email: [email protected]
Once you log on to LSMnow.com, you have access to materials in the following areas. You should coordinate with your Field Marketing Manager in order to ensure that your local store promotions do not conflict with you market-wide promotions.
This category offers a variety of tools to get you on your feet.•Business tools/stationary
•Coupons/handouts•BMG cards, door hangers, frequency cards, etc.
OpeningsThis category offers all the materials you might need in order to promote astore opening/remodel.
•Opening materials•Banners, counter cards, etc.
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National POP Kit Add-OnsThis category offers support materials for national promotions including materialsfor DDSmart or oven-toasted promotions.
Special Events & PromotionThis category offers items you might need to support certain events or promotions.
•Anniversary Materials•Costumes•Community Relations Materials•Customer Appreciation Materials•Holiday Materials
FAQs and ResourcesIn this section, you will find several resources to help you with local storemarketing including:
•Brand standards•Helpful videos•Instructions and order forms•LSM user manual•Hispanic Materials•Coupons, handouts and signage in Spanish•Coupons / Door Hangers
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Section VCONCLUSION
Marketing requires research and planning to be done correctly. Completing the enclosed worksheets will assure your message and tactics are on target with your audience. This prep will also assist in spending appropriately.
After starting a program, give it time to succeed. All marketing programs work through repetition. A customer has to see something three times before they will likely respond. Don’t constantly change ideas before you’ve given them a chance to take root.
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