- Dunkin' plans to close 800 locations across the US in 2020.
- All 450 locations within Speedway shops will close by the end of the year.
- Dunkin' expects massive closures of local coffee shops, something that the chain says creates new opportunities for Dunkin' to open more locations in the future.
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Dunkin' is closing hundreds of locations across the US.
On Thursday, Dunkin' announced that it plans to close roughly 800 locations in the US in 2020. That includes the 450 stores closures within the convenience store and gas station chain Speedway, which were previously announced.
Dunkin' said in a statement that the 800 locations represent roughly 8% of all Dunkin' locations in the US. The stores account for approximately 2% of the company's 2019 US systemwide sales.
Dunkin' reported on Thursday that same-store sales fell by 18.7% in the most recent quarter, excluding locations that were temporarily closed. According to the company, sales have been improving week-over-week throughout the quarter, reaching single-digit declines in the week ending July 25.
Stay-at-home orders and people working from home cut into coffee shop visits during the coronavirus pandemic. Dunkin' was able to offset losses by customers placing more expensive orders, in the form of bulk orders, added snacks, and pricier drinks such as premium cold beverages, espresso-based drinks, and matcha lattes.
Dunkin' is one of a number of chains that have been forced to shutter locations due to the coronavirus pandemic. Chains have announced plans to close roughly 1,500 locations in the US since the pandemic hit the restaurant industry in the US in March.