KRISPY KREME

Krispy Kreme: Business Strategic Plan

Krispy Kreme: Business Strategic Plan

Executive Summary

Krispy Kreme Doughnuts, Inc., began as a family-owned business back in 1937, as an

expansion of a pre-existing business, when Vernon Rudolph purchased a doughnut shop

along with the now-famous secret recipe for making yeast-raised doughnuts. His

doughnuts, which he delivered to grocery stores in the Winston-Salem, North Carolina

area, quickly became immensely popular with customers. So popular in fact, that he cut a

hole in the wall of his shop so that he could sell hot doughnuts to potential customers

passing by on the street. (Peter and Donnelly, 2009, Page 690).

Who knows, but this may have been one of the first “drive-thru/walk-up” windows in the restaurant business! And that is just one example of Mr. Rudolph's and his early partner, Mike Harding's, forward-thinking marketing ideas for that era. The idea of making all of the shops look the same, sothat they would be recognized by patrons wherever they traveled, as well as the view in windows for watching the doughnuts being made, were good examples of marketing

promotional strategies. These strategies are still considered by Krispy Kreme to be “Brand

Elements” as reported in current, annual financial reports.

Mission: Our purpose, What we do

Krispy Kreme currently has no mission statement. This is considered quite strange for such a big company. A mission statement is indispensable when creating a sense of direction and purpose for both company employees as well as customers. So the definition of a good and clear mission statement, for a growing and changing company like Krispy Kreme, is of the utmost importance. If we look at the mission statement of one of KK's biggest competitors, this may give us an indication of how our mission statement should look like.

Dunkin' Donuts:

“To be the Quick Quality leader in its offering a higher evolution of the standard quick dining experience, with innovative product choices at the right price, served fresh, meeting the needs of people who are busy living”.

Our mission statement should state; What Krispy Kreme is and what Krispy Kreme does. The Krispy Kreme goal is: to provide our customers with an entertainment experience and to reinforce our commitment to quality and freshness.

Krispy Kreme Brand elements:

One of a kind taste

Doughnut making theatre

Hot Doughnuts Now!, the illuminated sign (functions as an impulse purchase generator)

Community relationships

We need to put in these characteristics together and include the commercial factor for the new mission statement.



Mission Statement

“ Krispy Kreme Doughnuts is committed to provide its customers with high quality doughnuts, artesian breads and beverages on a daily fresh basis, while providing them with an entertainment experience”.

Vision: Our picture for the future

When we look to the future of the company, there is a lot of change coming up, especially with these new strategic plans. All the plans are made to reinforce their structure, secure their market share and strengthen their core business. These are solid elements which need to be written down in the vision statement (Preiser, 2009, 141).

Vision Statement

“Krispy Kreme Doughnuts will improve their current market position by ...