I know. I'm not the CEO of some big Fortune 500 company, but my IQ is somewhat respectable and I managed to eek through High School, college, and more college, so I figure my ideas are possibly, maybe, questionably worth reading.
Anyway.
Why is the Krispy Kreme Corporation dyin'? Because they stopped serving free, hot, straight-out-of-the-grease, donuts. That's the bottom line.
As they saw it, free donuts were eating up THEIR bottom line.
Oh, Bully.
I used to, fairly regularly, drive past a KK. When I'd see the red "HOT, FRESH" sign, I'd immediately pull into the parking lot to ogle the sugary, fat-laden, golden beauties, and I'd be overwhelmed by the scent of what would later become cottage-cheese on my thighs. And, save the dairy experiment on my upper legs, it seemed GOOD.
Never once did I walk in for my free donut and leave empty-handed. NOT ONCE.
And, if my kids were with me, we'd end up with a bunch more donuts than really necessary under the guise that "Daddy is working at home and wouldn't he like one or two or three dozen himself?"*
Post-allergies, KK became a solo-experience. The first time I walked in to buy Valentine Donuts** for the teachers at the Preschool, I noticed the little sign on the register that said, basically, "No more free donuts for you."*** Turns out I hadn't been in for awhile because freebie donuts had been gone for many months.
I hypothesize that, flaunting the donut-process where every one can see it, then refusing to give a little bit of something to each consumer as they stood in line, was the last straw for many-a-customer.
If they had downgraded to donut holes and given every customer just one, that would have been smart. And maybe saved their sweet, little corporate bottoms****.
Now I understand Starbucks is going down, too. At least they've tried to put a stick in the dike by reducing the cost of a cup of joe to around $2. Still too rich for this girl's blood.
Maybe it's time for Starbucks and Krispy Kreme to do a Taco Bell/KFC/Pizza Hut thing and start occupying the same space?
Without even a second grade education, most kids can figure "coffee people crave + donuts people can't resist = PROFIT".
*Problem was those donuts barely made it to the car before their wonderful, odorific scent forced us to inhale them.
**In the shape of a heart with red and white sprinkles over white, gooey frosting. I could just faint at the memory.
***VERY soup nazi-like, if you ask me.
****Pun more definitely intended.
I think you're right. People are looking for deals in these troubled economic times, and the companies that try to overcharge are going to have a hard time making it. Now, if we can just get people to start voting with their dollars when it comes to colleges that charge 100x too much.
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