Dunkin Donuts

In any business schemes, there is no guarantee that a particular process of marketing will become beneficial or not. In the case when the “trombo” program is foreseen to experience some problems with regards to profitability, a good possible strategy is to manage the amount of exposure of each brand, say three non competing brands, according to the market location stability. In order to start this out, a good survey research or the use of available data can identify in which locations each one of the three brands is performing well.

Afterwards, those locations can retain the overall higher exposure and marketing rate of the brand which correspond to this high degree of market presence. The two other brands may then be included as supporting commodities and should not measure up with how the better performing product is being promoted. Of course, all of them should have the best possible advertising strategies to sustain the need to defy the competitors. However, the brand which is distinctively very strong in a particular location should gain the most investment shares.

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For example, it has been observed and noted that Dunkin Donuts remains as one of the strongest name in the North Eastern part of the USA. Given that status, the remaining two brands should only serve as supporting commodities in any of the geographical location within the North East. On the other hand, if there is a specific location where Baskin-Robbins is independently performing well while Dunkin Donuts is not, then the latter should be identified as the supporting brand.
This scheme can also be applied to Togo’s and vice versa. With such strategy, each of the brands in their respective strongholds will still be able to maintain their market shares or even surpass it. Of course, it was mentioned that they are classified as non-competing brands but the exposure of each one proportional to their strength in a location should be able to provide more positive effects. The aggressive marketing plan of Dunkin Donuts should largely depend on the amount of financial disadvantage rate that they can accept.
In business however, this aspect won’t be identified unless the actual process strategy has been initiated. Therefore, the company should take very minimal steps in order to let it see anything which could possibly become a problem in terms of marketing. The more ideal procedure is to establish their presence first in some identified test markets. Doing such procedure, the company will be able to acquire information to gauge the feasibility of presenting the product or services to a geographic or demographic based location even before doing a widespread roll out of marketing.
(Wikipedia, 2007). In doing an initial step to acquire a certain geographic location in terms of commercial share, it would be best if the minimal amounts of resources can be established in a specific location. Although Dunkin Donuts has already founded its reputation in a national and even global scale, there is always the aspect of “non-assurance” of profit generation especially in the world were new ideas are always formulated and used to destroy other competitors.
Because of such degree of possible unexpected drawbacks, investing as little as possible would provide a far lesser risk. Since there are other franchised brands elsewhere, the approach of the Doughnut giant of aggressively establishing its scope puts it on a very high scale risk. What it should do is to still pursue the “trombo” concept but in smaller dispersion units. References Wikipedia. 2007. Test market. Wikipedia-the Free Encyclopedia. Retrieved November 16, 2007 from http://en. wikipedia. org/wiki/Test_market.

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