To draw young consumers to its stores, the Allied Domecq unit has begun testing a new hot mocha drink dubbed Dunkaccino to better compete with convenience stores and coffee chains.
A TV and radio campaign, from Hill, Holliday, Connors, Cosmopulos, Boston, supports the 400-store test of Dunkaccino in East Coast and Midwest markets, among them Cleveland, Detroit and Philadelphia.
Like its Coolattas-offered in coffee and fruit varieties-the sweet, creamy chocolate and coffee-flavor Dunkaccino is targeted to 18-to-34-year-olds who want a coffee alternative. Similar products sold in convenience stores now make up a $750 million market, said Katie Dadagian, category manager for beverages at Dunkin' Donuts.
"People who drink these beverages come as often as three times a day for them,"she said.
Although the chain tested a program with espresso drinks a few years ago and does offer some through franchisees in select markets, "this is much more of a mass market product," Ms. Dadagian said. The price of Dunkaccino-$1.19 for a small and $1.59 for a large-reflects that positioning, falling far below those of premium chains such as Starbucks Coffee Co. that command upwards of $3 for mocha beverages.
The supporting TV spot, "Ski Lodge," features a young woman with a foreign accent and her leg in a cast being hit on by a twentysomething guy holding a Dunkaccino. When she innocently asks what he's drinking, he offers to get her one-and the dozen roses she requests. He realizes he's been duped while waiting in line at Dunkin' Donuts with other rose-bearing suitors.
The tagline is "Some people will do just about anything for the creamy delicious taste of the new Dunkaccino."
Radio spots continue the "body parts" campaign Dunkin' has waged, touting the attributes of Dunkaccino through testimonials from a nose and a stomach.
Dunkin' Donuts will evaluate the test in March to determine wether to roll out Dunkaccino in additional markets in the fall.
New products have helped fuel Dunkin' Donuts' same-store sales, which increased 10% in 1998. The chain, which saw overall sales rise 12.3% to $2 billion in 1998, is playing against its core equities-fresh baked goods and coffee-to continue that momentum, said Dennis Lombardi, exec VP of food service consultancy Technomic.
Based on positive results from its three-market test of Omwich omelet breakfast sandwiches in '98, Dunkin' Donuts now is launching the line nationally with advertising that breaks Jan. 28. TV, also from Hill Holliday, addresses in a humorous way the growing competition among fast-feeders for the daypart.
The spot shows a breakfast foods convention where everyone flocks to the Omwich booth because of the advantage of getting the sandwich anytime and anyway, whether on a bagel, croissant or English muffin. Tagline is "Breakfast will never be the same."
Dunkin' Donuts spent $26.6 million on media through October 1999, according to Competitive Media Reporting.