Comparison Between Starbucks And Dunkin Donuts Market Profiles

Market

A market is a real and actual space in this contemporary world where the customer and the seller interact with each other to sell goods and services for money. Market profile are the people that the company target. Market analysis id gathering the information about various conditions that affect a market place.

Starbucks

Starbucks is an american and one of the most famous coffeehouse company. It has a total number of 30,000 stores across the world. The revenue of the starbucks was 24.72 billion US dollars.

Market target

Market segment is basically dividing the customers on the basis of their need and preference. So that the company can mainly focus on that group to promote their marketing and this is also known as target market. The primary focus of the starbucks is adult group,whose age will vary between 24 to 40 years old and that are mostly graduate. It includes people of all the classes that is upper class, middle class and lower class. These are the main target or focus of the starbucks. Their secondary focus is the college aged student between the age of 18 to 23 years old. They found that this aged group is a heavy coffee drinker, which can have a great impact on their business.

Strength

One of the major strengths of the starbucks is that they have developed themselves as a premium coffeehouse chain. Their products are of excellent quality and environmentally friendly. Their prices are high but most people are willing to buy it. which make them one of the best coffee shop chains. From this they make a lot of profit and all the profit that they made goes straight back into expanding their own business. One of the best things about starbucks is that they treat their employees very well and it has been previously listed as one of Fortune's top 100 places to work for.

Weakness

Like every company, Starbucks also have some weaknesses. One of the biggest weaknesses of this company is their high price. High price was marked as the strength of the company but it is also the weakness of the company because many people can't afford this high price. So,they just go for the other company which is affordable for them. The simple coffee of the starbucks cost high and many people can't spend too much money on a single coffee. Second thing is that they don't have the unique products because many of the other coffee chains or food companies provide the same products and might be at the less rate.

Opportunities

This multichain coffee company has several opportunities for their business. They can expand their business globally. At present they do not have many coffee houses across the world, most of them are located in the US. They can open their coffeehouse in other countries most probably in India, Central Europe and many regions of Africa. Starbucks can introduce new products and can start co-branding. They can sell their products own branded products in the other stores also which would be the best way to maximize their value of big reputation.

Competition

In this fast growing world everyone is competing with each other to achieve the great height of success. Starbucks also have competitors and some of the biggest competitors of the starbucks are Dunkin Donuts, Tim Hortons and McDonalds. These multinational companies also sell the same type of products by the fraction in their value.

Dunkin Donuts

Dunkin Donuts is a multinational company with 10,082 stores open world wild. The revenue of the Dunkin Donuts totalled upto 1.82 billion USD dollars in 2018.

Market target

Dunkin Donuts is targeting or focusing basically on the three different groups of people that is age 18-25 years old, age 25 year or above and businessman. They think that focusing on this group of people will help them to enhance their business.

Strength

One of the major strengths of the Dunkin Donuts is they are focusing on the market and their customers. As the first priority of every company is their customers, if the customers are not satisfied with the company products the company can not run properly. So, they are focusing to make their customers happy. They are helping their franchisees by providing them the analytical data about pricing so it will help them to take better decision. They are also selling the desert and sweet dishes which is one of the major strengths of the company.

Weakness

Dunkin Donuts dominate in several countries but at some places it is not present and that place is taken by the competitor companies. which is resulted in their franchisees expanding slowly. The relation between the different franchisees is not good which is one of the major weaknesses of the dunkin donuts.In a single year, the company has faced legal battles with the 15 separate owners.Dunkin donuts is not expanding as fast as the world is growing.

Opportunities

They have a very good products that is why they can expand their business easily. As the demand of the products increases and people are willing to pay, they can increase their prices in future. Dunkin Donuts can add new healthy products to their menu. As healthy menu always attract the new customers. It will help them to expand their business, Digital technology has always helped the different companies to create a better reputation by advertising. Dunkin Donuts can also use this platform to enhance their business.

Competition

Dunkin Donuts also have many competitors and one of their major competitions is starbucks. They both have a very tough competition with each other.

Comparison

Starbucks has built the more premium brands or products as compared to the starbucks. Starbucks have added many more new products to their menu to make their menu better and they have taken some strategy to make their customers happy like writing their names on their coffee. They also provide a comfortable and quiet environment with the free wireless internet connection. Whereas Dunkin Donuts have more competitive pricing and they are focusing on the middle class. And they have low price as compare to the starbucks.

The revenue of Starbucks for the year 2017 was 22.387 billion US dollar it increases by 10.42% and reach upto 24.78 billion US dollar in year 2018. It further increases by 7.24% and gain the value of 26.509 billion US dollar in year 2019. the revenue of Dunkin Donuts for year 2017 was 1.276 billion US dollar it further increases by 3.61% and reach upto 1.322 billion US dollar in year 2018. the revenue of dunkin donuts in year 2019 is 1.35 billion US dollar which is 2.81% more than the previous year. we can see a big difference in revenue of both companies.