Dunkin' Donuts Arrives in South Africa to Challenge Krispy Kreme

South Africans wanting hot glazed doughnuts with a gulp of coffee can now choose between two U.S. brands — Dunkin’ Donuts and Krispy Kreme.

Dunkin’ Brands Group Inc. opened its first outlet in Cape Town earlier this month, the first of five scheduled to start in the coastal city by the end of 2016. That’s according to Alan Keet, Chief Executive Officer of South African leisure company Grand Parade Investments Ltd., which will run the stores as a franchisee. Dunkin’ intends to open in Johannesburg in the first half of 2017, where the company will compete directly with rival Krispy Kreme Doughnuts Inc., which already has a presence in the country’s most populous city.

“When we go to any particular area we want to go with a bit of a bang and not just open one remote store,” Keet said in a phone interview. Drawing on the experience of operating Burger King restaurants in South Africa, Grand Parade plans to open clusters of stores to make the new brand more visible, he said. Dunkin’, based in Canton, Massachusetts, wants to have 290 stores in South Africa in 10 years, Keet said, and Grand Parade has the rights to expand the brand into six more countries in the region.

Read more: Dunkin’ Donuts Arrives in South Africa to Challenge Krispy Kreme – Bloomberg