Rapidly Growing Donut & Coffee Chain To Double

Krispy Kreme, Dunkin', and Tim Hortons are often considered America's biggest donut makers. The brands will face new competition in the coming years as a rival chain anticipates rapid growth.

Shipley Do-Nuts, founded in 1936, sells donuts, kolaches, and coffee. It has over 350 stores in 12 states, mostly in Texas. QSR Magazine claims that the corporation has a lofty objective to double its shop count in five years.

By 2029, hundreds of new Shipley Do-Nuts stores could open nationwide. Shipley Do-Nuts won't have as many stores as its competitors even if it reaches 700 or more in the next years. 

Tim Hortons has around 5,500 outlets while Dunkin' has 13,200 across 40 countries. However, the expansion could allow Shipley Do-Nuts to reach many more customers with their coffee and donuts.

Peak Rock Capital helps the chain grow faster. QSR reported that the private investment business bought the family-owned Shipley Do-Nuts in 2021 and implemented online ordering and supply chain innovation to boost growth. 

Do-Happy Rewards, the chain's first loyalty program, launched in the third quarter of 2023 and had 70,000 members by the fourth quarter.

These modifications are paying off for Shipley Do-Nuts, according to recent research. Same-store sales rose 6.3% in 2023. QSR reports that its average unit volume (AUV), or shop sales, has climbed by 50% over the past three years.

"This isn't an opportunity where we're looking for pennies," CEO Flynn Dekker told the publication. "The business is upgrading, so there are lots of dollars.

 We offer a product with quality, consistency, and diversity that many in that market have abandoned. We bring a sparkling, clean business with lots of product innovation and other prospects. I'm prejudiced, but I think this has great upside potential."

With 30 additional stores in 2024, Shipley Do-Nuts will begin its expansion plans after 19 in 2023. Watch for the chain's 2024 or later arrival in your neighborhood.

Additionally, Shipley Do-Nuts debuted POPTASTIC do-nuts, its first limited-time offering. The chain's yeast do-nut with strawberry or cherry frosting and freeze-dried skittles is the limited-edition delight. POPTASTIC donuts are available nationally until March 31 or while supplies last.

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