DUNKIN BRANDS USES AMERICAN-STYLE TRICKS AGAINST THEIR LONG-SUFFERING BASKIN ROBBINS AUSTRALIA FRANCHISEES

While most Australian Baskin Robbins franchisees breathed a sigh of relief when the Allied Brands (ABQ) criminal enterprise went pear-shaped last October, many are now writing that Dunkin Brands (DNKN), who are operating the chain now directly from the USA, are proving just as ruthless at stripping money from the franchisees for product costs.


While some imported supplies have dropped slightly in price, ice cream pricing now direct from Dunkin has not declined despite the removal of Allied Brands from the supply chain, and the Australian dollar rising from 85 cents to now over $1.07.   With Dunkin now a public company in the USA (DNKN on the NASDAQ), their first report to the market, issued in part to paint a "rosy" picture and jack up the share price, discussed the massive profits being made in markets like Australia.


And with a business model that didn't work for most franchisees under Allied Brands, most expected some relief from the price paid to Dunkin directly for what used to come from a third party.  And if this isn't enough, Dunkin is now running a PR campaign to jack up the price further to Australia and other markets!


US franchisees have been given a report similar to that given to Coldstone franchisees that supposedly "justifies" the massive price increases.   This report has been refuted by most in the ice cream business, but clearly international locations like Australia, supplied directly from the USA, are going to get the worst of this mess.


The same issues that confounded Allied Brands (ABQ) are now in play with Dunkin - now a public company, with majority Ventura Capital owners who are using the public entity to cash-out big.  The same Venture Capital vultures that so thoroughly trashed the world economy two years ago.

They should go to hell.












With the Australian Baskin Robbins now trying desperately to grow the franchise numbers under the pressure of these Venture Capital criminals, it's hard to see how the 15 years of bad history and their disinterest in profitability are going to result in new Australian shop owners.