Your Dunkin' Donuts Could Be Closing for Good by the End of the Year

The company is in the process of shuttering low-volume and under-performing locations. Could yours be next?

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Stores across the nation temporarily closed their doors in March and April to help prevent the COVID pandemic from spreading even further. But in the eight months that have followed, many stores nationwide have closed their doors for good. From popular clothing brands to movie theater chains, many companies have been forced to close up shop because of the economic hardships COVID has caused. And unfortunately, your favorite coffee shop may be the next one to go. Nationwide coffee chain Dunkin' Donuts says it's closing 800 stores by the end of this year, and shops in certain spots—like convenience sores and urban areas—have become particular vulnerable to shut down. For more details on the Dunkin' Donuts closures, read on, and for a similar company in danger, check out This Beloved Coffee Chain Just Filed for Bankruptcy.

Dunkin' Donuts has already closed more than 600 U.S. stores.

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Dunkin' Brands Group Inc., the company behind Dunkin' Donuts, announced on Oct. 29 that they had already closed 687 cafes in the U.S. during their third quarter, which ended on Sept. 26. That's a large subsection of the company's overall plan to close a total of 800 U.S. locations by the end of the year, which they had previously announced in July.

"We are nearly complete with our initiative, as announced last quarter, to work with our franchisees to close low-volume, under-performing locations following our quality-over-quantity development philosophy," Chief Financial Officer Kate Jaspon said in a statement on Oct. 29. And for more stores completely disappearing, find out which Cult Favorite Store Is Closing All U.S. Locations.

Most of the Dunkin' Donuts locations that have closed so far have been in convenience stores.

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At the end of 2019, Dunkin' Donuts had approximately 450 locations in Speedway gas station convenience stores. However, according to the new report, 447 stores out of the 687 total Dunkin' Donuts closed so far have been Speedway locations. Just three remain, and by 2021, you should expect to find no more Speedway Dunkin' Donuts. Dunkin' spokeswoman Michelle King said in July that the company was "on track to exit Speedway by the end of 2020." And for more useful content delivered straight to your inbox, sign up for our daily newsletter.

Urban Dunkin' Donuts are suffering most due to COVID.

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The Wall Street Journal says Dunkin' Donuts stores in cities have been hit hardest during the pandemic as many urbanites have continued to work from home. Jaspon told the newspaper that sales in major cities like New York and Boston have continued to fall far below performance expectations.

Dunkin' Donuts also plans to close 350 international locations by the end of the year.

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In their report, Dunkin' Brands said they still plan to permanently close 350 Dunkin' and Baskin-Robbins international restaurants by the end of the year. By the end of the third quarter, 212 international locations were already closed. Dunkin' International's sales for the third quarter decreased by nearly 15 percent from the same time last year and Baskin-Robbins International's sales were down about 4 percent. And if you're a big box fan, you'll be happy to know that Walmart Is Bringing Back the One Thing Customers Have Missed Most.

However, there may be an opportunity for new Dunkin' Donuts to open.

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According to The WSJ, company executives said that Dunkin' Donuts store openings are exceeding expectations despite the other closures, which is a positive sign. "For many Dunkin' U.S. franchisees, closing these restaurants will enable them to do greater reinvestment into the brand," Jaspon said in a statement. And for more shopping changes due to the pandemic, make sure you know These 4 Products Are Flying Off the Shelves as COVID Surges.

Kali Coleman
Kali is an assistant editor at Best Life. Read more
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