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Business Wars

Starbucks vs Dunkin - The Cold Rush | 6

Business Wars

Wondery

History, Business, David Brown, Management

4.613.2K Ratings

🗓️ 18 March 2020

⏱️ 27 minutes

🧾️ Download transcript

Summary

Dunkin and Starbucks are going full on 21st century, doing all they can to top each other with new concept stores, vast emporiums, vegan food options, oat milk lattes and “high- velocity innovations.” But the real world keeps intruding and they can’t get away from it. For all their success, can they truly command their futures? 


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Transcript

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0:00.0

Hey, prime members. You can listen to business wars. Add free on Amazon music. Download the app today

0:14.2

It's November 2017

0:16.5

People are bustling down Trimont Street in downtown Boston pulling their coats tied against the cold

0:21.8

A few stop to snap photos of a puzzling sign above a construction site

0:26.2

What's going on here why people taking pictures? You can't see for yourself. Honestly, no

0:31.8

We'll look up there at the orange sign that she's gone up. Yeah, says Duncan

0:37.4

Exactly just

0:39.7

Duncan

0:41.2

This woman is one of many longtime customers outraged that after 70 years Duncan Donuts is changing its name to

0:49.7

Duncan

0:50.6

It seems like such a small thing, but it's not to loyalists one angry customer tweets if not Donuts what is being dunked

1:00.6

But in fact donut sales have been on a steady decline and with people growing more health conscious

1:06.3

Why draw attention to the caloric confection and the company name that single word is a liability

1:13.6

CEO Nigel Travis decided it was time to pivot but hadn't anticipated such a hot backlash

1:21.4

Furious calls from longtime customers flood the company's headquarters in Canton, Massachusetts

1:27.0

Mr. Travis you better take this one

1:29.9

Travis takes a deep breath before picking up the phone

1:33.4

Again, it's a local reporter hello, mr. Travis. I'm calling to find out why you changed the name

1:40.6

Well, we're rebranding and people don't eat donuts so much anymore

1:44.8

So why focus on that when coffee is the draw and we're improving our coffee without inflating

1:50.6

Our prices like some of our competitors who have to cover the cost of their cushy in-store environments our customers don't have time to lounge around

1:59.5

The name change signals something more

...

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