In today‘s fast-paced, convenience-driven society, food delivery has become a central part of how we eat. The rise of mobile delivery apps and the "on-demand" economy has reshaped the restaurant industry, with major chains pivoting to offer delivery to meet changing customer expectations. Dunkin‘, the iconic quick-service coffee and donut brand, has been at the forefront of this shift, rolling out delivery options at thousands of US locations in partnership with third-party platforms.
As a result, getting your Dunkin‘ fix brought straight to your door is easier than ever in 2024, but the process and availability can vary quite a bit based on your location and which delivery platform you use. Let‘s dive into everything you need to know to successfully order Dunkin‘ delivery, including an expert look at the state of Dunkin‘s delivery operations and how they stack up to industry rivals.
The Rise of Delivery & Changing Consumer Demands
To understand Dunkin‘s approach to delivery, we first need to examine the seismic shifts in the food service industry and consumer behavior that have made delivery a priority.
Over the last decade, food delivery has grown from a niche offering to a major market projected to exceed $300 billion globally by 2025, according to research from Frost & Sullivan. The rise of delivery-focused startups like Uber Eats, DoorDash, and Grubhub, combined with the ubiquity of smartphones, has made getting restaurant meals brought to your door seamless and accessible.
At the same time, consumer expectations for convenience, speed, and digitally-enabled experiences have skyrocketed. The annual National Restaurant Association State of the Industry Report found that in 2022, over 60% of consumers put a high priority on restaurants offering delivery, and mobile ordering and delivery accounted for 20% of total restaurant sales.
The COVID-19 pandemic dramatically accelerated these existing trends, forcing traditionally dine-in brands to adapt to an off-premises model almost overnight. Suddenly, offering convenient digital ordering and delivery options became table stakes for restaurants, especially in the quick-service category. Chains that already had robust delivery partnerships, like Dunkin‘, were well-positioned to capitalize on surging demand.
As a highly accessible, affordable indulgence, Dunkin‘ fits naturally into prevailing delivery use cases. Their menu of coffee drinks, donuts, and breakfast items are frequently purchased for:
- Everyday workplace and home office fuel
- Group and social ordering (ex. buying a dozen donuts for the team)
- Afternoon pick-me-ups
- Late night cravings/study sessions
- Gifting (ex. sending coffee to a friend)
Dunkin‘s leadership recognized the immense delivery opportunity in these moments and has made the channel a priority in recent years as part of an overall shift to a "beverage-led, on-the-go" brand. CEO Dave Hoffmann said in a recent earnings call:
"Delivery remains an important unlock and a tailwind for our business. We‘re seeing strong incrementality and great customer feedback on the Dunkin‘ delivery experience with our partners."
The Dunkin‘ Delivery Experience in 2024
So, what is that Dunkin‘ delivery customer experience like today? The basics of ordering are straightforward – but there are a few key things to know:
Availability: As of the most recent data, around 6,000 of Dunkin‘s nearly 13,000 US locations offer delivery, which equates to roughly 50% store participation. This is on the higher end for major quick-service chains; for comparison, around 30% of Starbucks US stores and 70% of McDonald‘s US stores currently offer delivery. However, availability varies widely based on your specific location and regional franchisee. In major cities and dense urban areas, Dunkin‘ delivery is very common, while more rural or spread out suburbs may not have a participating store.
Ordering Platforms: Dunkin‘ does not operate its own in-house delivery service. Instead, it partners with most of the major third-party delivery platforms to enable on-demand delivery from participating locations. Current partners include:
- Uber Eats
- DoorDash
- Grubhub
- Postmates
- Seamless
To place a Dunkin‘ delivery order, you must use one of the partner apps or websites; the functionality is not available on the Dunkin‘ app or website. This approach allows Dunkin‘ to rapidly scale delivery across different geographic markets and meet customers on the platforms they already use most, but also means the customer experience can vary depending on location and partner.
Menu: The vast majority of core Dunkin‘ menu items are available for delivery, including all hot and iced coffee drinks, tea, espresso drinks, frozen beverages, donuts, breakfast sandwiches, bagels, muffins, and the newer "Snackin‘" line of baked goods. Bottled drinks, bulk ground coffee, and some limited-time or regional items are typically excluded. Delivery menus also support customizations and add-ons.
Pricing & Fees: Like most chains, Dunkin‘ marks up prices on delivery platform menus compared to in-store prices. Research from CBRE found delivery menu upcharges average 15-20% to help offset the commission fees restaurants pay to delivery platforms. A $2 donut ordered for delivery might be listed at $2.50, for example. On top of that, each platform charges a service fee, typically ranging from $1-7 based on order total and market. Throwing in a few dollars tip for the driver, the cost of Dunkin‘ delivery can add up fast, especially on small orders.
Packaging & Product Quality: Dunkin‘ uses specially designed packaging for delivery orders to maintain temperature and avoid spills or damage in transit, like secure drink carriers and insulated food bags. However, coffee and donuts are inherently challenging to deliver, and product quality issues are a common source of customer complaints, like soggy donuts, spilled drinks, or lukewarm coffee. Especially during busy times, long delivery waits exacerbate these problems.
Customer Satisfaction: Despite some hiccups, overall customer sentiment towards Dunkin‘ delivery is quite positive. Dunkin‘ maintains strong ratings on delivery platforms, typically over 4.5 out of 5. In my experience analyzing customer feedback, buyers appreciate the breadth of locations/availability, wide menu selection, reasonable prices compared to other chains, and ease of group ordering. Main pain points are the high fees relative to order size, inconsistent quality, and some confusion around the ordering platforms.
Dunkin‘ Delivery vs. Competitors
Speaking of comparisons, let‘s take a look at how Dunkin‘s delivery approach and performance stack up against their major quick-service competitors in the coffee and breakfast category:
Starbucks: As the #1 US coffee chain by market share, Starbucks is Dunkin‘s most formidable rival. After a slow start, Starbucks has ramped up delivery partnerships significantly since 2021, now offering the service at around 30% of US corporate-owned locations through Uber Eats. Starbucks‘ prices on delivery apps tend to be the highest in the category, but the chain has an incredibly loyal customer base. They heavily promote delivery offers and exclusive deals through their market-leading mobile app and rewards program, driving orders. However, Starbucks‘ complex, highly customized drinks face similar quality issues with delivery.
Panera Bread: Panera was an early adopter in testing self-delivery, but has since migrated to an Uber Eats, DoorDash, and Grubhub partner model similar to Dunkin‘. They now offer delivery from around 40% of US cafes. As a fast casual brand with higher average order values from lunch/dinner bundles, Panera is somewhat insulated from the fee sensitivity that impacts Dunkin‘. Their focus on healthier fare also makes them appealing for larger group orders.
Krispy Kreme: Dunkin‘s most direct competitor for donuts, Krispy Kreme has leaned into delivery and digital channels since their 2021 IPO. Delivery is now available from around 50% of US locations via major apps. While more limited in menu, Krispy Kreme‘s prices are lower than Dunkin‘s on average. Their app/loyalty offerings are less developed.
Restaurant Brands International Chains (Burger King, Popeyes, Tim Hortons): These sister QSR brands all have significant scale with major delivery platform partnerships – but aside from Tim Hortons‘ strong coffee offering, are less directly competitive with Dunkin‘ than the sandwich and burger chains.
The Future of Dunkin‘ Delivery
After explosive growth in 2020-2021, adoption of Dunkin‘ and other QSR chain delivery options has leveled out over the last couple years as in-person dining normalized post-pandemic. Delivery orders declined from 30% of Dunkin‘s total sales in 2021 to 20% in 2023 as consumers returned to on-premises consumption. However, delivery is still a major sales driver and Dunkin‘ remains fully committed to the channel going forward.
Dunkin‘ leadership has signaled plans to:
- Continually add delivery to more locations, targeting at least 75% of US stores in the next few years
- Invest in better delivery packaging and equipment to improve product quality
- Deepen loyalty program and promotional support for delivery orders
- Explore new delivery platform partnerships to expand availability and meet customers on emerging apps
- Leverage delivery data and insights to optimize menu, pricing, and operations
By focusing on these areas, Dunkin‘ hopes to achieve incremental delivery growth and solidify their positioning as one of the top delivery QSR brands.
Looking ahead, the experts I talked to expect Dunkin‘ and other major chains to maintain a hybrid approach balancing owned online/mobile ordering for pickup with third-party delivery partnerships. This allows brands to maximize off-premises reach and convenience while maintaining control over the customer relationship. Expect Dunkin‘ to continue to fine-tune their delivery strategy around packaged meal deals, group bundles, and limited-time items conducive to delivery.
More broadly, fast food delivery is poised for steady growth over the next 5 years, with Euromonitor projecting the US market to reach nearly $50 billion by 2027. Dunkin‘ is well-positioned to capture their share of this demand by leveraging their strong brand equity, accessible menu, and omnipresence through delivery partnerships.
Ultimately, the future looks bright for Dunkin‘ delivery as they evolve their offerings and operations to bring their beloved coffee, donuts, and breakfast staples directly to customers wherever they are. In an industry increasingly defined by digital convenience, delivery has become a core pillar of the Dunkin‘ experience and value proposition. As a leader in the QSR delivery space, Dunkin‘ is poised to keep America runnin‘ on delivered iced coffee, donuts, and more for years to come.
