Jubilant FoodWorks has decided not to renew its franchise agreement with Dunkin’, bringing an end to the brand’s India journey after more than a decade. The current agreement, signed in 2011, is set to expire on December 31, 2026, and the exit will be executed in a phased manner through the end of the year.
The decision reflects persistent challenges faced by Dunkin’ in establishing a sustainable business model in India’s highly competitive quick service restaurant market. Despite its global recognition, the brand struggled to achieve financial viability at scale. In FY25, Dunkin’ India reported a net loss of ₹19.12 crore on revenues of ₹37.24 crore, contributing just 0.61 percent to Jubilant FoodWorks’ overall revenue, highlighting its limited strategic importance within the portfolio.
One of the core issues was positioning. Dunkin’ was unable to successfully build a strong “coffee and doughnut” consumption culture in India. Over time, the brand attempted to pivot toward a broader menu including burgers, wraps, and beverages, but this diluted its core identity without delivering meaningful growth. As a result, it failed to compete effectively with established café chains and emerging quick service formats.
The operational footprint also saw a steady decline. From a peak of around 80 outlets, the network has reduced to just 27 stores as of early 2026, with several underperforming locations shut down in recent months. This contraction reflects ongoing efforts by Jubilant FoodWorks to rationalize the business and limit losses.
Strategically, the exit aligns with Jubilant FoodWorks’ broader focus on scaling higher-performing brands. The company continues to derive the majority of its revenue from Domino’s Pizza, while also investing in the expansion of Popeyes and strengthening its presence in other formats such as Hong’s Kitchen. Redirecting resources toward these growth engines is expected to improve overall profitability and operational efficiency.
Looking ahead, Jubilant FoodWorks is evaluating multiple options for its remaining Dunkin’ outlets. These include closing underperforming stores, transferring assets or franchise rights to a new partner in coordination with Dunkin’s global leadership, or converting select locations into other brands within its portfolio. The final approach will likely depend on commercial viability and potential partnership opportunities.
Unless a new franchisee steps in before the agreement expires, Dunkin’ is expected to fully exit the Indian market by 2027, marking the end of its attempt to build a long-term presence in the country. The development underscores the challenges global food chains can face in adapting to local consumer preferences, particularly in categories where cultural habits and competitive dynamics differ significantly from their home markets.
Overall, the move signals a strategic consolidation by Jubilant FoodWorks, prioritizing scale, profitability, and brand clarity over maintaining underperforming international partnerships in an increasingly competitive QSR landscape.
