Krispy Kreme Doughnuts Opens First Thai Store In Bangkok

[Valentine]

I think its just a phase for Thai people.

Remember the rotiboy thing a few years ago?

Exactly the same thing happens in Western countries: Mrs Fields cookies was one shop that crowds waited in line for and some kind of super-rich cinnamon bun shop was another.

I only ever saw the cinnamon bun shop in Dubai but they were worth the wait. Yesterday I tried the new Mr Bun in Phuket, not bad at all & much lighter then your average doughnut. Had some KKs delivered to Phuket a couple of weeks ago courtesy of my twin girls who were returning from holiday in BKK. Said they waited in line for 3 hours but they & their friends really enjoyed them. A quick heat in the microwave back in Phuket, they were still better than the opposition.

[moetownblues]

Ah-Hah, it closes its factory in Australia and opened its door in Thailand. Thanks for the global commercialisation.

Krispy Kreme Australia in bankruptcy

Posted 10/31/2010 07:12 PM ET

SYDNEY, Oct 31, 2010 (UPI via COMTEX) -- The Australian division of Krispy Kreme doughnuts has gone into voluntary bankruptcy, the company said.

With bankruptcy, which is referred to as voluntary administration in Australia, the company is seeking to find a way to save any parts of its business.

Krispy Kreme spokesman Matthew Horan told the Australian Broadcasting Corp. Monday the company troubles were the result of several poorly performing stores

Read more: http://webcache.googleusercontent.com/search?q=cache:g7y7NGpCu1EJ:www.investors.com/NewsAndAnalysis/Newsfeed/Article/121303245/201010311912/Krispy-Kreme-Australia-in-bankruptcy.aspx+%22Krispy+Kreme+Australia+in+bankruptcy%22+comtex&cd=1&hl=en&ct=clnk

If Australia has the largest number of stores (50) outside of the USA and they can't give the food away and being as such go bankrupt then it does not look good for the company as a whole. I would say that the stores in Thailand will fold also I guess within 24 months will be a domino effect world wide.

Edited November 3, 2010 by Maestro
Added quote tags to show what is the quoted news article and what is moetownblues's comment. Redudced quoted text from news article to comply with "fair use". Added link to the source of the news article.

[Maestro]

moetownblues, thank you for posting that article from an Australian paper.

[zaphodbeeblebrox]

If Australia has the largest number of stores (50) outside of the USA and they can't give the food away and being as such go bankrupt then it does not look good for the company as a whole. I would say that the stores in Thailand will fold also I guess within 24 months will be a domino effect world wide.

These might be the result of KKD's overexpansion. The same thing happened in the U.S., but KKD emerged from bankruptcy and, after shedding its unprofitable stores and weathering a scandal involving the dumping of unsold donuts from resellers, it has been doing much better. KKD could probably operate upwards of a dozen stores in Thailand without a worry about underperforming stores.

[whybother]

More news from Aus: http://www.theage.com.au/small-business/franchising/krispy-kreme-cuts-another-21-stores-20101110-17n8y.html

Krispy Kreme will shutter another 21 outlets - slashing their range by almost half - as a restructure plan announced last week takes effect.

The locally owned Australian arm of Krispy Kreme, currently in voluntary administration, brings the number of stores closed to 24, eliminating 186 part-time and causal jobs, as well as 15 full-time positions.

[moetownblues]

More news from Aus: http://www.theage.co...1110-17n8y.html

Krispy Kreme will shutter another 21 outlets - slashing their range by almost half - as a restructure plan announced last week takes effect.

The locally owned Australian arm of Krispy Kreme, currently in voluntary administration, brings the number of stores closed to 24, eliminating 186 part-time and causal jobs, as well as 15 full-time positions.

That is about 42% of the biggest interest outside of the USA, that is huge. Western society is adapting to healthy living and as such companies such as krispy kreme, McDonalds, Hungry Jacks and KFC have to seek alternative markets to survive. That means pushing thier product on 3rd world and developing countries such as Thailand. Western health authorities have been warning of the dangers of obesity for decades and now western society is paying attention and changing it's eating habits.

[moetownblues]

More news from Aus: http://www.theage.co...1110-17n8y.html

Krispy Kreme will shutter another 21 outlets - slashing their range by almost half - as a restructure plan announced last week takes effect.

The locally owned Australian arm of Krispy Kreme, currently in voluntary administration, brings the number of stores closed to 24, eliminating 186 part-time and causal jobs, as well as 15 full-time positions.

That is about 42% of the biggest interest outside of the USA, that is huge. Western society is adapting to healthy living and as such companies such as krispy kreme, McDonalds, Hungry Jacks and KFC have to seek alternative markets to survive. That means pushing thier product on 3rd world and developing countries such as Thailand. Western health authorities have been warning of the dangers of obesity for decades and now western society is paying attention and changing it's eating habits.

[phetaroi]

That is about 42% of the biggest interest outside of the USA, that is huge. Western society is adapting to healthy living and as such companies such as krispy kreme, McDonalds, Hungry Jacks and KFC have to seek alternative markets to survive. That means pushing thier product on 3rd world and developing countries such as Thailand. Western health authorities have been warning of the dangers of obesity for decades and now western society is paying attention and changing it's eating habits.

There are lots of reasons for the challenges KK is facing in the U.S. It's hardly health, considering that all recent estimates indicate the most obese people in the U.S. now as compared to in the past. You have to remember that virtually every grocery store chain in the US now makes their own in-store donuts, rather than relying on KK. Out here in Colorado, the three national chains here -- Safeway, King Soopers (Kroger), and Albertsons -- all make their donuts in-house...which is why KK failed here...as did Dunkin Donuts.

[zaphodbeeblebrox]

Out here in Colorado, the three national chains here -- Safeway, King Soopers (Kroger), and Albertsons -- all make their donuts in-house...which is why KK failed here...as did Dunkin Donuts.

Maybe you should tell that to the KKD franchises in Thornton and Lone Tree that are still open in your lovely state!

[LomSak27]

moetownblues posted

I must admit when I saw this article in the news this morning I was not supprised. You walk past of one of these stores (Basically just shop fronts) you would be lucky if you saw a single customer inside. I guess that Aussies find this stuff disgusting or far to expensive.

Good to hear Moetown as I had thought the national dish of Australia is a meat pie with a hole to squirt ketchup in.

[phetaroi]

Out here in Colorado, the three national chains here -- Safeway, King Soopers (Kroger), and Albertsons -- all make their donuts in-house...which is why KK failed here...as did Dunkin Donuts.

Maybe you should tell that to the KKD franchises in Thornton and Lone Tree that are still open in your lovely state!

Yes, you're right, there are still a very few franchises...I went past one the other day somewhere. But, for example, all in Colorado's second largest city (Colo Springs) are gone.

That doesn't negate my pointing out that the grocery chains are what hit the donut chains so hard. Same reason we only have one drug store chain here in COS.

[moetownblues]

moetownblues posted

I must admit when I saw this article in the news this morning I was not supprised. You walk past of one of these stores (Basically just shop fronts) you would be lucky if you saw a single customer inside. I guess that Aussies find this stuff disgusting or far to expensive.

Good to hear Moetown as I had thought the national dish of Australia is a meat pie with a hole to squirt ketchup in.

That is tomato sauce we don't have ketchup