- Dunkin' will invest $60 million to improve its coffee as part of a larger rebranding to stay competitive with companies like Starbucks.
- The improvements include new brewing equipment and follow the company's recent efforts to become more trendy with new espressos, meatless sandwiches, and dropping "Donuts" from the company's name.
- Dunkin' sales were up 2.8% year-over-year in the fourth quarter and 2.1% for the year.
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Dunkin' plans to invest $60 million to improve its coffee during the company's rebranding effort to keep up with Starbucks, CNN reported Thursday.
The push to improve its coffee - and foot traffic to the store as a result - is the latest step in Dunkin's plan to change its image from a donut destination to a high-end coffee shop, catering to a younger customer base.
The $60 million investment will go toward new smart brewing equipment in all Dunkin' stores with the goal to improve coffee quality and consistency. The new equipment is designed to reduce waste, offer more variety, and increase ease when operating.
The company started taking steps toward rebranding when it announced in September the word "Donuts" would be dropped from its name.
Since then, the company has introduced new espresso equipment, recipes, cups, and employee training and certification, as well as a new plant-based breakfast sandwich. Dunkin' will also introduce an oat milk latte this spring.
The changes appear to having a positive effect on the company's business. CNN points out Dunkin' revealed in its earnings that sales at US Dunkin' US stores open at least a year were up 2.8% year-over-year in the fourth quarter (the company's biggest increase in six years) and 2.1% for the year. Espresso sales saw a massive 40% increase too.