KAILUA-KONA — Dunkin’ Donuts announced plans Monday for a multi-unit store development in Hawaii with new franchise group, Aloha Petroleum, Ltd., according to a press release.
KAILUA-KONA — Dunkin’ Donuts announced plans Monday for a multi-unit store development in Hawaii with new franchise group, Aloha Petroleum, Ltd., according to a press release.
Richard Parry, president and CEO of Aloha Petroleum, said the company is committed to opening a minimum of 15 restaurants across the state, including sites on Oahu, Maui, Kauai and Hawaii Island.
The time table for the opening of the first restaurant is 2017, but Parry indicated that the company plans to start in Oahu and branch outward in coming years. He doesn’t expect the franchise to land on Hawaii Island for three or possibly four years.
“We want to build a bit of critical mass on Oahu first and then move over the Big Island and so on,” Parry said.
Aloha Petroleum has already scouted sites for future stores on Hawaii Island and is looking hard at a vacant lot adjacent to one of its gas stations located across from the Hilo airport. Parry said the prospects for a Dunkin’ Donuts in Kailua-Kona are promising, but no location has been thoroughly vetted at this time.
The idea for franchise expansion into the state came out of Aloha Petroleum’s convenience store expansion, which has been ongoing over the last five years. Initially, the thought was to add Dunkin’ Donuts sites to existing convenience stores, but it developed into a plan for stand-alone restaurants.
“What we’ve found is our customers are looking for food offerings, and we are selling convenience in many ways,” Parry said, playing up the drive-through feature of Dunkin’ Donuts as a selling point for on-the-go consumers.
Parry added that his company isn’t concerned about market saturation, as it will compete with local stores and chains like Starbucks, which can be seen peppered throughout the Kona community and other populous areas on the Hawaiian Islands.
He said the strong presence of competitors is actually an indication of market quality.
“We think we will have a bit of a different offering than (Starbucks or local vendors),” Parry said. “Dunkin’ also sells donuts and other healthy offerings as well, so we think there is a terrific opportunity in the market.”