Dunkin' Donuts 2012 Annual Report Download - page 3

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Dunkin’ Donuts: One of the fastest growing QSR concepts
Our highly compelling unit economics, coupled with our contiguous, strategic development approach,
helped drive another very strong year for Dunkin’ Donuts U.S. restaurant expansion. Our franchisees
added 291 net new Dunkin’ Donuts restaurants in 2012, making us one of the fastest growing QSR
concepts by unit count.
Similar to previous years, more than 90 percent of our development was with existing franchisees.
Franchisees also continued to invest in the Dunkin’ Donuts brand by completing 618 remodels.
Over the past three years our franchisees have remodeled more than 1,700 Dunkin’ Donuts’
locations, bringing the average image age of the restaurant base to less than 5 years.
We’ve had steady growth acceleration since 2010 and continue to implement our contiguous, strategic
development approach. We’ve set the right development pace, one that capitalizes on our significant
opportunity and strong franchisee demand, while ensuring that we’re choosing the right sites in the
right markets at the right time, and maintaining the high financial return targets that we’ve set for new
store economics.
It’s our confidence in this strategy that enabled us to begin selling franchises in Southern California in
January of this year. It’s an exciting milestone, one that has been widely anticipated, and we look
forward to the first Dunkin’ Donuts restaurant opening there in 2015.
Our focus on franchisee profitability isn’t limited to Dunkin’ Donuts U.S. We’re using what we’ve learned
from Dunkin’ Donuts U.S. and applying it to our International business and Baskin-Robbins U.S.
And, we are beginning to see results from this focus.