After weeks of speculation, it is now confirmed that Dunkin’ Donuts will exit India, with a phased shutdown expected rather than an immediate closure
After nearly 15 years in the country, Dunkin’ Donuts will exit India as its franchise partner Jubilant FoodWorks has decided not to renew the agreement. The partnership, which began in 2011, will conclude on December 31, 2026, with stores expected to shut in a phased manner until then.
This does not look like a sudden shutdown. All signs point toward a phased and planned wind-down.
Also Read: Jubilant FoodWorks To Exit Dunkin India Franchise By December 2026
What Seems To Have Gone Wrong
In FY25, Dunkin’ India reported revenue of around Rs 37 crore, while losses widened to nearly Rs 19 crore. Over time, the business does not appear to have scaled in line with expectations, especially for a brand with global recall.
At the same time, Jubilant FoodWorks, master franchise of Dunkin’ Donuts India, has been sharpening its focus on stronger and more profitable bets within its portfolio, particularly for the brands under its umbrella, including Domino’s, Hong’s Kitchen, and Popeyes India. From a portfolio strategy perspective, the shift seems fairly aligned with performance.
The Competition Factor
The market Dunkin’ Donuts entered in 2011 is very different from the one it operates in today. India’s café and coffee space has become significantly more competitive, with established players like Starbucks, Costa Coffee and Third Wave Coffee building strong and distinct positioning.
Each of these brands stands for something clear, whether it is premium experience, coffee-first culture, or localised, craft-driven offerings. In comparison, Dunkin’ Donuts appears to have occupied a middle ground. It was not fully positioned as a café, not entirely a quick service restaurant, and not strongly anchored as a dessert-led destination.
In a market that increasingly rewards clarity, that in-between space can be difficult to sustain.
From current indications, Dunkin’Donuts outlets are likely to continue operating in the near term, with closures happening gradually over the coming months. By the end of 2026, the brand is expected to exit India under the present arrangement. Whether Dunkin’ Donuts re-enters with a different strategy or a new partner remains an open question at this stage.
The café and quick service segment has expanded, with multiple brands operating across formats and price points. Demand for coffee and dessert-led products continues to grow, alongside increasing competition. Consumer behaviour has shifted towards greater choice, clearer brand differentiation and more defined positioning across categories.
Within this environment, brand positioning and relevance play a key role in scale and sustainability. The trajectory of Dunkin’ Donuts in India reflects a gradual transition over time rather than a sudden change, in line with evolving market dynamics.
