Coffeehouse and donut chain, Dunkin’ Donuts (NASDAQ: DNKN) made public its plans to expand operations in San Francisco as well as the Fresno area, taking its count of restaurants in the state to 275. The chain has signed on for multi-unit store development that will see 26 new outlets open up in the near future. Dunkin’ has tied up with two separate franchise groups to achieve this target under the latest development agreements.
Existing franchisee back for round three
Franchisee Aharon Aminpour is back for thirds, as it will work on launching 17 Dunkin’ Donuts eateries in the Fresno region. Cities like Visalia, Tulare and Clovis will also get a piece of the action. This comes on the back of a second agreement that Aminpour signed with Dunkin’ back in November. Under that development, 10 restaurants were to come up across San Fernando Valley. It all began in Encino for Aminpour and if this latest agreement is anything to go by, there’s still more to come. For starters though, a new restaurant is slated to open by 2017.
New kid on the block
Also part of the latest development agreement is a new franchisee Shiva Developments. A collective that will see existing franchisee Nick Bhatt who owns an outlet in Springfield, IL, join forces with Disha and Yogesh Tivedi, his sister and brother-in-law. This Dunkin’ partner will launch nine restaurants in SFO and nearby. As with Aminpour, Shiva Developments’ first new restaurant will open for business in 2017.
Golden state’s love affair with donuts
When it comes to California, Dunkin’ seems set to keep doing more. At present, they have a presence in Los Angeles, Laguna Hills, Encino, Downey, Long Beach, Modesto, Santa Monica, Santa Ana, Whittier and Upland. Opportunities for franchisees include the Santa Barbara and Chico-Redding areas. Besides opening up in new locations, Dunkin’ has plans to add more stores in LA and Sacramento before the year is out.
Catering to franchisees
Their flexibility of format has been a big draw, as options include a range of retail environments, from freestanding restaurants to outlets at gas or convenience stores, university campuses and more.
Another big tick mark for possible franchise partners, is that Dunkin’ allows you to pick from one of four possible layouts and distinct design styles for the restaurant. Unlike other franchise situations where the partner has limited choice in the matter, Dunkin’ gives a chance for individual expression, something that partners value.
It comes as no surprise then, that this is just the beginning. If things go to plan, long term expansion plans for the restaurant chain could see a whopping 1,000 outlets in California in the years to come.