Dunkin’ Donuts Going The Delivery Route

Coffee and doughnuts may soon be coming to a doorstep near you. Dunkin’ Donuts CEO Nigel Travis announced the company’s plans over the weekend (June 7) to expand into delivery as early as next year.

In an interview with CNBC’s “On the Money,” Travis identified delivery as the next frontier in serving technology savvy consumers.

“Delivery is clearly a big opportunity,” Travis told CNBC.

The company is developing its mobile ordering and conducting private tests of the platform. Travis confirmed plans for a public test of the new delivery system to take place later this year.

“The trend in this country is convenience,” Travis added. “So I think delivery plays very strongly.”

Dunkin’ Donuts isn’t the only chain hoping to stay ahead of the trend. Both Starbucks and McDonald’s are also tapping into the bustling market for on-demand goods.

McDonald’s recently launched its mobile- and Web-based delivery throughout New York City. The direct-to-consumer delivery service, created in collaboration with delivery platform Postmates.com, is testing in 88 restaurants in Manhattan, Queens and Brooklyn.

Postmates is also partnering with Starbucks to begin testing its two delivery pilot programs. In Seattle, deliveries will be made by the same-day delivery platform, but in New York Starbucks stores located in large buildings will offer delivery within the building by Starbucks employees. In both cases, customers will be able to order drinks and pastries through the mobile ordering feature in the Starbucks iPhone app.

While Dunkin’ Donuts is adding itself to the list of popular chains taking on delivery, Travis expressed caution when discussing how quickly the rollout will take place. “The key thing is we have to make sure we can operationalize all these procedures,” Travis said. “That’s why I’ve slowed up mobile ordering to make sure it’s operationally simple at the store level.”

In the meantime, customers will see a new payment option in the Dunkin’ Mobile App. Visa Checkout is now integrated within the app to allow a fast and easy way to purchase and reload virtual Dunkin’ Donuts cards, the company announced yesterday (June 8).

Visa Checkout, launched last year, aims to simplify the payment experience by storing any major credit or debit card and only requiring a single sign-on during checkout.

“As a brand recognized for speed of service and meeting the needs of on-the-go people, we are committed to leveraging the best technologies to allow our guests to purchase Dunkin’ Donuts food and beverages as quickly and conveniently as possible,” Dunkin’ Brands Vice President Scott Hudler said in a company press release. “Visa Checkout gives us yet another powerful way to save our guests valuable time in their busy day, and make it easier than ever to keep running on Dunkin’.”

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