RISE - Menu Monitor

Krispy Kreme
Headquarters
370 Knollwood St., Winston-Salem, North Carolina 27103 USA
Tel: (336)725-2981 Fax: (336)773-3791
www.krispykreme.com
Ownership: Public
Segment: Limited Service Donut
System Characteristics 2006 2005 2004
U.S. Systemwide Sales ($000) 828,200 1,070,000 1,050,000
Company-owned ($000) 326,200 425,000 500,000
Franchised ($000) 502,000 645,000 550,000
U.S. Number of Units 272 344 393
Company-owned 113 117 175
Franchised 159 227 218
International Sales ($000) 200,000 95,000 60,000
International Units 123 61 36
Average Sales/Unit ($000) 2,580 2,700 2,950
Concept Positioning |
Krispy Kreme Doughnuts is a limited-service chain of doughnut shops. The publicly held chain operates 395 units in the United
States, Canada, Australia, Indonesia, Japan, Korea, Hong Kong, the Philippines, Mexico, Kuwait, the United Arab Emirates
and the UK, 159 of which are franchised.
Most units are freestanding with drive-thru service. Units average 4,600 sq. ft. Krispy Kreme units have green-and-white
interiors. An exhibition area for production includes a neon sign that lights when donuts are hot and fresh from the production
line. Seating is largely at counters but a few tables are also available. Satellite units consist of hot shops (with donut heating
technology), fresh shops and kiosks. Krispy Kreme also sells donuts to a variety of retail customers.
Krispy Kreme was opened in 1937 in Winston-Salem, NC, by Vernon Rudolph. The company was sold to Beatrice Foods in
1976, In 1982, Beatrice Foods sold it to a group of early franchisees and private investors including Joseph A. McAleer, Sr. In
2000 the company completed its initial public offering.. In 2001, it opened its first international unit in Toronto, and in 2003 it
opened its first unit in the UK. After several quarters of underperformance, the company is now focusing on closing or
improving underperforming company stores, realigning company stores and franchise management, continuing international
expansion, and opening small retail stores through domestic and international franchisees.
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