McDonald’s is set to introduce Krispy Kreme donuts at its fast food establishments this year. The plan includes a gradual expansion, with the aim of offering these delectable treats across all McDonald’s restaurants in the country by the close of 2026.
Krispy Kreme has recently announced a partnership that will bring its delicious donuts to McDonald’s locations every morning. Customers will have the option to choose from three mouth-watering flavors: glazed, chocolate iced with sprinkles, and chocolate iced with a cream filling. These delightful treats can be purchased individually or in a convenient box of six. Now, donut lovers can satisfy their cravings while enjoying the convenience of their favorite fast-food destination.
According to CNBC, Krispy Kreme CEO Josh Charlesworth stated that the partnership between Krispy Kreme and McDonald’s was tested at 160 locations in Kentucky and Indiana last year. The positive response from customers exceeded the expectations of both companies. As a result, the rollout of Krispy Kreme products at McDonald’s will begin in the second half of 2024.
McDonald’s could potentially strengthen its breakfast and coffee sales through this partnership, particularly as it faces competition from Starbucks and Dunkin’ in enticing customers to spend on hot or cold beverages. Furthermore, the agreement will greatly increase Krispy Kreme’s presence in the United States. Currently, the donut chain operates primarily in California and the South with 377 locations.
McDonald’s operates approximately 13,500 locations in the United States, with nearly 95% being independently owned franchises. The decision to offer Krispy Kreme donuts will be left to the individual franchise owners. This partnership is expected to significantly increase the number of locations where Americans can purchase Krispy Kreme products, according to both companies.
Krispy Kreme’s stocks experienced a significant surge, climbing by 29% or $3.66 to reach $16.12 during Tuesday’s early afternoon trading. On the other hand, McDonald’s shares remained relatively stable at $279.01.
Free donuts on Tuesday
Krispy Kreme is celebrating its partnership with McDonald’s by offering a complimentary glazed donut to all customers who visit their locations between 5 p.m. and 9 p.m. on Tuesday.
According to a statement from Krispy Kreme CEO Charlesworth, the most frequent request they receive from consumers is to bring Krispy Kreme to their town.
McDonald’s is revamping its breakfast bakery offerings with the Krispy Kreme deal, following the discontinuation of blueberry muffins and apple fritters last year. In October 2020, the pastries, known as McCafé Bakery, were introduced but customer interest dwindled in the subsequent years, according to a McDonald’s spokesperson.
Earlier this year, McDonald’s introduced a new chain called CosMc’s. This new venture aims to compete with Starbucks and Dunkin’ as a go-to spot for a quick energy boost, with a particular focus on coffee and other refreshing beverages.
According to a statement from Tariq Hassan, the Chief Marketing Officer for McDonald’s USA, the addition of Krispy Kreme donuts presents an exciting opportunity for the fast food chain to expand its business in the breakfast category and beyond.
According to a regulatory filing, Krispy Kreme has announced an expanded partnership with McDonald’s in Kentucky and Indiana. This one-year deal includes the option for annual renewal. It’s worth noting that this collaboration between fast food giants is not unprecedented in the industry. Wendy’s recently made headlines by offering Cinnabon treats nationwide, and Pizza Hut introduced Cinnabon-branded mini rolls back in 2018.
