Minneapolis-based chain Dunn Brothers Coffee has unveiled a five-year expansion strategy to increase its retail presence to 250 stores in the US.
The initiative will leverage franchising as a key driver for growth, capitalising on the brand’s market position and the burgeoning coffee industry.
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Dunn Brothers currently operates 50 outlets across Iowa, Minnesota, Missouri, North Dakota, South Dakota, Texas and Wisconsin.
The expansion plan offers advantages to owner-operator groups: a robust business model, dedicated support and the leverage of a known brand.
Dunn Brothers president Scott Harvey stated: “We have a legacy of quality and keeping that as our north star allows us to bridge generations.
“For many communities, access to quality coffee has been limited, or even nonexistent, but we see an opportunity to change that.”
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By GlobalDataHarvey, who previously led the New York-based chain Golden Krust Caribbean Bakery, was appointed president in August 2023.
The company has five new stores ready to launch and plans to introduce drive-through-only locations.
The new sites will expedite growth, particularly across states new to the brand. The initial focus of the expansion will be along the Interstate 35 corridor, which stretches from Minnesota through Iowa, Missouri, Kansas, Oklahoma and Texas.
In March 2024, Caribou Coffee, a competitor of Dunn Brothers, finalised a $260m licensing agreement with JDE Peet’s.
The deal, announced in January, includes the transfer of Caribou Coffee’s roasting operations in Minnesota along with its office coffee and foodservice contracts.
The agreement will allow Caribou Coffee to concentrate on its primary retail operations while enhancing JDE Peet’s footprint in the North American premium coffee market.
