Political Action Committee Benefits Dunkin’ Donuts Franchise Owners
February 9, 2010 by Matt Ellis
Filed under DDIFO Insider
In 2010, Dunkin’ Donuts franchise owners will have the opportunity to get more involved in government relations beginning with the creation of the Dunkin’ Donuts Franchise Owners Massachusetts Political Action Committee (DDFO MassPAC).
Created as an independent entity, DDFO MassPAC is completely separate from the DDIFO, but exists to leverage the combined resources of Dunkin’ Donuts franchise owners to promote and protect the business interests of that group.
Former DDIFO Legislative Affairs Coordinator and franchise owner Rob Branca is assuming the position of the Chairman of DDFO MassPAC.
“We’ve already gained ground and achieved some success in the legislative arena, but we need to build on that,” said Branca. “Seasoned government relations professionals have advised us that forming a political action committee was the right step to demonstrate that we are involved and serious. We took that advice to heart and made the DDFO MassPAC a reality.”
Branca indicated he would look for a successor as Chairman of the committee once it was up and running so he could focus his attention on his increased responsibilities with the Brand Advisory Council and continue operating his franchises. He said his decision to resign as DDIFO’s Legislative Affairs Coordinator was based, in part, on the desire to allow others to get involved in the process.
A Political Action Committee, or PAC, is a private group that raises money for contributions to specific political candidates or parties. According to Branca DDFO MassPAC will be a vital tool for effecting positive change and minimizing potentially harmful outcomes in Massachusetts—home to 1350 Dunkin’ Donuts franchises.
“One of our chief concerns is that we are in strict compliance with the complex rules and regulations that surround the fundraising process, and operating through a PAC makes that much easier. We need to be ever vigilant not to besmirch our hard earned reputations as law abiding, small, family businesses,” he said.
Joseph Giannino, DDIFO’s new Legislative Affairs Coordinator, says the PAC will benefit DDIFO members because it helps put a face on the individuals and families who operate Dunkin’ Donuts stores. “Within the political landscape, it distinguishes these independent, small business owners from the large corporate brand and provides a forum for these men and women to address the real-life impact legislative and regulatory actions have on their livelihood.”
DDFO MassPAC has named David Martin Treasurer of the organization. Martin is Principal of The Chick Montana Group, a campaign finance business based in Dedham, Massachusetts. With more than 20 years of campaign financing experience, Martin is an independent, highly-skilled professional who was handpicked to ensure that the DDFO MassPAC operates according to state law and within the guidelines established by the Massachusetts Office of Campaign and Political Finance.
Among those guidelines are contribution limits, such as:
• An individual may contribute up to a total of $500, including in-kind contributions, to a PAC in a calendar year (husband and wife are two individuals, and may contribute up to $1,000 annually).
• An individual under age 18 is limited to a total of $25 in political contributions to all candidates and PACs in a calendar year.
• A PAC may not accept any contribution—including an in-kind contribution of goods, services, equipment, personnel, facilities or the like—from a business corporation, including a professional corporation, or from any association or organization comprised in whole or in part of business corporations or professional corporations.
You can learn more about DDFO MassPac at www.ddfomasspac.org. Contributions to the committee may be sent to DDFO MassPAC, 675 VFW Parkway #209, Chestnut Hill, MA 02467.
Changing the Face of Operational Compliance in 2010
January 6, 2010 by Matt Ellis
Filed under DDIFO Insider, Top Story
If there was one issue that galvanized Dunkin’ Donuts franchise owners in 2009 it was compliance. According to estimates provided to the DDIFO over 675 stores were placed onto the Operations Compliance Team in 2009.
Over the last 12 months, we have talked with dozens of franchise owners about their experience with the Compliance Team. Many described their participation as painful, frightening and abusive. But, as we enter the New Year, there appears to be a shift in the way the Brand is utilizing compliance and in the way franchise owners are responding.
One franchise owner who asked to remain anonymous said he has operated a small network for 13 years. When we spoke in December, 2009, he was weeks away from graduating from compliance. While the process was challenging, he says it was worth the effort. We asked him to grade his experience.
“Overall I’d give it a B. At first, I felt threatened and felt they suspected me of something. But, working with my Compliance OM (Operations Manager) every week for the past 11 months was very helpful. There was good communication and clear expectations. He told me exactly where I stood,” he said.
This franchise owner’s story stands in contrast to tales told by other franchisees we talked with earlier in 2009. It could be reflective of his specific experience or, it could be an indication that compliance is evolving into a more collaborative procedure.
According to Andrew Mastrangelo, Manager of Public Relations for Dunkin’ Brands, compliance is designed to enhance, coach and teach franchise owners. “We’re continuing to work with our franchisees in a collaborative way in regards to focusing on store standards and to improve the guest experience.” He declined to get into further detail about how the system might change under the leadership of new CEO Nigel Travis and incoming Brand Operating Office Paul Twohig.
But, Scott Campbell, franchise owner and co-chairman of the Brand Advisory Council’s (BAC) Operations Compliance subcommittee, says he wouldn’t be surprised if compliance undergoes an overhaul in 2010. He says there have been discussions about possibly folding compliance into field operations. The result would be a greater emphasis on collaboration and less of an emphasis on litigation.
“In the past franchisees would tell me that compliance was easy to get into and hard to get out of. There was a sense that it was an extension of Loss Prevention and fears that entering compliance would lead to a legal exit,” said Campbell. “But, we’ve seen progress in the program from the franchisee perspective and I think it makes sense to have compliance and operations under one umbrella. It means one point of contact and much better communication overall.”
That kind of organizational change could mean the end of the system where a franchisee is assigned a new OM to work with them through compliance process. Sometimes, according to franchise owners we’ve talked with, Compliance Team OMs were difficult to work with and rude to employees.
One franchisee, who asked that his name be withheld, says the OMs are key to the process. “They could communicate better from the start when there are new initiatives so we know exactly what is expected. If Dunkin’ actually ran stores they would know what it’s like for us, but they don’t so their OMs have to do a better job.”
Without fail, franchise owners say they believe compliance to brand standards is crucial to the success of their business. But, they also say they would much rather work with an OM they know to improve their shortcomings.
For now, compliance still falls under the purview of Vice President of U.S. Compliance and Business Development for Dunkin’ Brands Bill Bode. DDIFO President Jim Coen wonders if a reorganized compliance program can still be administered by an executive whose role is to develop new stores and market development agreements. “Compliance and development don’t really belong together,” said Coen. “similar to what Nigel did with having loss prevention report to finance instead of legal it would be better for all parties if compliance reported to operations as opposed to development.”
Hope Springs from Tragic Death
January 6, 2010 by Matt Ellis
Filed under DDIFO Insider, Victoria Fund
Victoria Marie Sousa was only 12 years old when she died from complications from the H1N1 flu. A bright, athletic girl, her life was shaped by her love for family and her strong faith. Now, in her memory, her family has created the Victoria Foundation which follows the tenets of Sister Catherine McCauley, who founded the Sisters of Mercy in 1831.
Louis Sousa, Victoria’s father, is partner in the Rhode Island law firm of Lisa & Sousa, LTD. The firm represents many Dunkin’ Donuts franchise owners and has been the general counsel for the DDIFO for over 20 years.
“Our hope in establishing the foundation is to foster the spirit of our daughter by giving young girls and women educational and athletic opportunities they would not be able to enjoy without help,” said Sousa. “Personal satisfaction comes from providing the opportunity to flourish in a nurturing educational environment, and pursue athletic achievement, following the same path our daughter would have followed but for her passing. It is immensely rewarding.”
“We were saddened to learn about Victoria’s death,” said DDIFO President Jim Coen. “After the creation of the Foundation that bears her name we wanted to make sure the entire Dunkin’ Donuts franchise community was aware of the story so those that are willing to help can contribute to the cause, and make a difference in a young person’s life, in the name of Victoria. The Victoria Fund graphic above will always have a place here at www.ddifo.org.”
In December, the Foundation awarded its first scholarship to a Rhode Island student athlete so that she may attend St. Mary’s Academy Bay View in East Providence. Sousa says the family was moved by the gesture.
“Her parents broke down and cried when we approached them about our desire to help their daughter. Last night they presented us with an album with their daughter’s picture on page 1, with many more pages to fill for deserving young women in the future.”
Donations to the Victoria Foundation are being accepted through Lisa & Sousa, LTD. 5 Benefit Street, Providence, RI 02904.
Dunkin’ Donuts Coffee Served Here
December 11, 2009 by Matt Ellis
Filed under DDIFO Insider, Top Story
It sounds like a developer’s dream: open a Dunkin’ Donuts franchise near a major commercial building or hospital. Employees, visitors and patients will surely stop in for a cup of coffee on their way in, their way out or during a break. Landing such a development deal would surely be profitable—even in a tough economy. But, as many franchise owners have learned, profits dry up and customer counts drop when the building lands its own deal to sell Dunkin’ Donuts coffee on-site.
Talk to any franchise owner in any market and he’ll tell you he is either being affected by one of these channel distribution deals—often called “office coffee”— or fears he soon will be. One franchise owner in Pennsylvania said his weekly sales dropped 40% after a commercial building near his shop established an office coffee program.
“Some people now walk right by our shop to buy coffee there because they know it’s cheaper. Of course it’s cheaper—they don’t have the overhead I do,” said the owner who asked his identity remain anonymous.
Office coffee is operated by Sara Lee through a deal with Dunkin’ Brands. According to a 2007 press release, “Sara Lee Foodservice is successfully partnering with Dunkin’ Donuts to be the exclusive provider of Dunkin’ Donuts coffee to foodservice customers across the United States. This exciting agreement gives Sara Lee the right to sell and market Dunkin’ Donuts coffee to offices and cafeterias.”
Carmen Marzella remembers attending the meeting in Michigan when office coffee was first announced. An attorney and franchise owner from North Carolina, Marzella was serving on the RAC at the time.
“They described at the meeting how this was going to not only be good for the brand, but also for the franchise owners,” he said. “They told us it would drive customers and increase overall sales.” Marzella hasn’t seen that spike in his market.
Dennis Gramm is an investor in HSG Restaurants in Indiana. He witnessed the impact of office coffee directly. After HSG invested a half a million dollars in a location next to the Howard Regional Medical Center in Kokomo, Indiana in 2008, Gramm noted almost a 100 customers a day stopped visiting the store because the hospital began serving Dunkin’ Donuts coffee.
“When we opened the store we experienced higher than anticipated sales. We expected that to level off, especially because the downturn in the auto industry was hitting Kokomo especially hard,” said Gramm. “But, once the hospital started selling Dunkin’ Donuts coffee, we started seeing an impact on sales.”
Gramm recalls talking to the food services administrator at the hospital who said they were selling three thousand cups of coffee a day. The hospital’s pricing was comparable to the HSG shop next door and it was much more convenient for hospital visitors and employees.
Franchise owners we talked with say they understand the Brand’s desire to increase sales through third party partnerships like the one with Sara Lee. What they don’t understand is why they are never informed of a new deal that will impact their sales and customer count.
According to Gramm, he would have created different economic forecasting for their Kokomo location had they known a deal was brewing with the hospital.
“Institutional use needs to be highly selective because it has potential to impact the viability of neighborhood stores,” he said.
Marzella points out office coffee and other channel distribution programs are permissible because there is no language in the franchise agreement that prohibits them. He and others say they’d like to see better lines of communication so that an owner would know that an office coffee program is about to start in their area—or that one is pending at a location they are developing.
If there is one bright spot amid the office coffee situation it is that coffee brewed in office buildings is typically of poorer quality than coffee made in the stores.
According to Gramm, more customers have returned to the store next to Howard Regional Medical Center in search of a better cup of coffee.
“The hospital staff was telling our store manager the coffee wasn’t as fresh or flavorful so they had to come back,” he said.
Bill Aims to Clarify Rules on Tip Pooling
December 11, 2009 by Matt Ellis
Filed under DDIFO Insider
A bill filed in the Massachusetts House of Representatives would change the current law defining who can collect tips at quick service restaurants (QSR) like Dunkin’ Donuts.
State Representative Linda Dorcena Forry, (D-12th Suffolk), who is Co-Chair of the Joint Committee on Community Development and Small Business, filed the bill on behalf of the DDIFO and its members.
“While the intent of the original tip pooling law is clearly just, in practice we need to make it more precise,” said Forry. “This bill will allow quick service restaurants to place tip jars back in front of cash registers without the fear of a class action law suit. We need to do everything we can to make sure our workers earn good wages in this difficult economic time.”
Under present Massachusetts state law, no one with “managerial authority” can collect tips. While intended to prevent business owners and managers who don’t work in direct service operations from skimming employees’ tips, the statute fails to actually define managerial authority. Therefore, when literally construed, the law denies tips to nearly everyone in the team service environment that many quick service restaurants such as Dunkin’ Donuts utilize.
“We are confident the Legislature will recognize the importance of clarifying the existing law so that employees at Dunkin’ Donuts shops and other QSRs will be able to receive tips from customers who are pleased with the service they receive. On behalf of the DDIFO and its members I wish to thank Rep. Forry for her assistance on this important issue,” said Jim Coen, president of the DDIFO.
Tip pooling has been an issue across the country prompting class action lawsuits filed on behalf of restaurant workers—many of them at high end restaurants—who felt cheated when managers or supervisors shared in the tip pool. But, sit-down restaurants—especially expensive ones—operate differently from QSR’s.
Earlier this year a California Appeals Court ruling found shift supervisors were entitled to share in the tips because their while their jobs incorporate certain managerial functions, they also are involved in customer service.
Shift leaders at most Dunkin’ Donuts franchises work the counter to maintain good customer service during peak periods. In addition, they do not have the authority to hire fire or discipline an employee; nor do they earn the same wages as a manager. In some cases, their salary is only slightly higher than that of a service employee which means they rely on tips to earn a living wage.
The Massachusetts bill will be discussed before the Joint Committee on Community Development and Small Business before it moves to the full Legislature.
Related Articles: Maintaining Compliance with State Labor Laws
Rewarding Exceptional Service is Upheld in California
Starbucks wins California Tip-pooling Case Appeal
Morton’s Restaurant Settles Tip Pooling Suit
DDIFO Eying Opportunities on Capitol Hill
November 5, 2009 by Matt Ellis
Filed under DDIFO Insider, Legislative Updates

CFA Day 2009 Photo courtesy of the CFA, Inc./Todd R. McQueen
On February 3-4, 2010 DDIFO Legislative Affairs Coordinator Rob Branca will be in Washington representing the DDIFO at the second annual CFA Day (Coalition of Franchisee Associations).
“I’m really looking forward to getting together with other operators from other franchise systems and with our elected officials and their staffs to discuss important legislation,” said Branca. “It’s important that we bring our perspective to these folks and discuss how new laws and reforms will impact our businesses.”
Last year, DDIFO President Jim Coen attended the first CFA Day. “It was a tremendous experience and demonstrated to me that DDIFO needed to be at the table with other franchise groups, members of Congress and their staffs to ensure our agenda was understood,” said Coen.
After naming Branca Legislative Affairs Coordinator, Coen suggested he and DDIFO Government Relations Liaison Joseph Giannino attend the 2010 CFA Day.
According to Misty Chally, the Deputy Executive Director for CFA, representatives from 10 different franchisee associations make up the CFA Board of Directors. Each system sends two people to be a member of the CFA’s Board of Directors. She says the idea of bringing franchise representatives directly into the halls of Congress grew out of an interest among franchise groups to get involved in the legislative issues of importance to their business.
“It’s impossible for franchise owners to keep up with all the issues and initiatives that can impact their business, that’s why CFA keeps them updated and acts as their voice on Capitol Hill,” said Chally. “The first CFA day on the Hill was a huge success and we’re looking forward to another successful event next year.”
Among the issues Branca is eyeing for 2010 are healthcare reform, credit card fee reform and cap-and-trade. Healthcare reform will, of course, impact virtually all businesses in the U.S. but, as Branca points out, Massachusetts franchise owners are already working under a healthcare reform law that mandates employers with 11 or more employees are required to provide health insurance coverage or pay a “Fair Share” contribution of up to $295 annually per employee.
Credit card fee reform is also something of great interest to all retailers. Currently three separate bills have been introduced in the U.S. Senate and House of Representatives. The toughest, from Senator Richard Durbin [D-Ill.], would give retailers antitrust protection so they could jointly negotiate lower rates. Also, merchants would have the option of not accepting cards that charge them higher fees, which are used to offer consumers rebates and perks. One of the House bills would let stores charge minimum and maximum amounts for card purchases. Currently, fees are split between the merchant’s bank and the card-issuing bank.
Congress has already passed the Credit Card Accountability Responsibility and Disclosure Act of 2009, or Credit CARD Act of 2009, which will go into effect in February 2010.
“The legislation we’re watching now will level the playing field between credit card companies and franchise owners,” Branca said. “Currently, the credit card companies internalize all the profits and externalize onto merchants the risks, burdens and costs.”
Branca adds, he expects lawmakers he meets at CFA Day will listen to the concerns the DDIFO and other small business representatives have regarding the current fee system.
“Its important lawmakers hear from constituents,” said Giannino. “Often times in Washington you see special interests walking in and out of hallowed halls of Congress. But, when a group of local business owners take time out of their schedules to visit Capitol Hill and talk about an issue—that has impact.”
Weighing in on Press Coverage
October 20, 2009 by Matt Ellis
Filed under DDIFO Editorials, DDIFO Insider

Matt Ellis, DDIFO Communications Director
Op-Ed by Matt Ellis, DDIFO’s Communication Director.
Response to the Boston Globe’s recent article “Franchisees say Dunkin’s brewing trouble” illustrates the differing opinions franchise owners have about seeing their issues discussed in the press. Some lauded Jenn Abelson’s article as an important discussion of an issue of interest to the entire Dunkin’ Donuts franchise community; others saw it as an improper public airing of dirty laundry. In either case, any news related to Dunkin’ Donuts strikes a chord because of the popularity and positive perception people have for Dunkin’ Donuts and its products.
The role of press in society has been debated for hundreds of years. When our Founding Fathers determined that America should have a free and open press, many viewed it as a dangerous proposition. In 1823, Thomas Jefferson wrote, “The only security of all is in a free press. The force of public opinion cannot be resisted when permitted freely to be expressed. The agitation it produces must be submitted to. It is necessary, to keep the waters pure.”
Jefferson saw the press as a necessary tool to keep government in check. But, over the years, the role of the press has expanded to give voice to all—especially those who feel subjected to injustice.
In the 40+ year history of Dunkin’ Donuts, the press has taken a generally positive approach to its reporting of the company’s growth and popularity. But, like any entity which evolves from a family-owned business to a privately held mega-brand, Dunkin’s press appeal has changed. The push for profits amid growing competition in the coffee business has prompted the press to dig deeper for news. Conflict and controversy sell papers and, recently, there have been plenty of both.
In its 20 year existence, the DDIFO has both sought press coverage and shied away from it. Recent news stories, like the Globe’s recounting of attorney Robert Zarco’s talk at the DDIFO member’s meeting in Worcester on September 22, 2009 and Holly Sanders’ New York Post articles about Dunkin’s litigation strategy and internal surveillance have caused some franchise owners to wonder if the DDIFO is using the media to advance its own agenda.
Two years ago, DDIFO adopted a new mission statement, “We communicate, we educate, we advocate.” As DDIFO has become more active in the areas of government relations, public relations and brand advocacy, we have shared stories with the press for the expressed purpose of giving a voice to franchise owners. The goal of this organization and its leadership is to support Dunkin’ Brands and protect the interests of its franchise owners.
Naturally, with a franchise community as diverse as Dunkin’s there are going to be those occasions when a story in the press is viewed as damaging—not beneficial.
One of the challenges of managing an organization like DDIFO is determining when issues that threaten the livelihood of its members should be discussed internally—through the Brand’s executive team and its elected franchise representatives, or through public discourse. This is something we take seriously. While the press has sometimes served to facilitate internal discussions on issues like profitability, it has also served to divide the membership. That is regrettable.
One thing remains clear: without Dunkin’ Donuts the DDIFO has no role. Our goal is the success and profitability of the company and its franchise owners. We recognize the importance of supporting the initiatives necessary to keep Dunkin’ on the right track; we also recognize that when that track bends in the wrong direction, we have an obligation to set it straight. Sometimes that means making the discussion public.
Long Island Carves Out its Own Ad Space
October 7, 2009 by Matt Ellis
Filed under Franchise Owners News
After existing in the large shadows of New York City’s advertising market forever, last month Long Island Dunkin’ Donuts franchisees formed their own committee to oversee ad spending in their local market. The plan, according to committee chairman and franchise owner Mike Imperato, is to enhance the Brand’s overall marketing efforts. “The Brand is behind this 100%,” said Imperato.
“In the last five years, the number of Dunkin’ Donuts on Long Island has doubled to 180. As a result of our numbers it made sense to create our own marketing group and Dunkin’ Brands loved the idea. In fact, they even collect the $50 each store contributes every week,” he said.
Long Island is sometimes considered the entire piece of land—four counties–that runs 118 miles from New York Harbor to Montauk Point. But, because two of those counties, Queens and Kings, are technically part of New York City, Long Island is broken out by the counties of Nassau and Suffolk. Combined, the two counties have over 2.7 million inhabitants.
By separating from New York City’s advertising market, Imperato says Long Island can better control how ads are bought and placed. He cited one example where stores across the road from one another were competing for customers by offering different coupons in local papers.
“A lot of the stores were cannibalizing one another. This new system will make it much more coordinated and benefit all franchise owners,” said Imperato.
Also, the group has input on the additional monies that will be spent in LI and to make suggestions to the Brand’s national marketing group.
“Dunkin’s behind us 100%,” said Imperato. “They said this was a great idea.”
Imperato knows the local market. He started working for a Dunkin’s in 1971 as a porter, then worked his way up to a baker and finally, in 1986, bought his first store. His vision for a local marketing group came from years watching Long Island stores get lost in the New York ad market.
“We have greater market penetration than ever before. That’s why this was the right time to do this,” he said.
With Dunkin’ Brand’s Help: Mike White is Back in Business!
October 6, 2009 by Matt Ellis
Filed under Brand News

Open for business 10 days after the Flood with the Dunkin' Truck!
Dunkin’ Donuts franchise owner Mike White has learned what it means to tangle with Mother Nature. On September 21, after 25 inches of rain fell in a five day period in metro Atlanta, water and backed-up sewage flooded two of his Dunkin’ locations.
The situation was dire; White’s locations at 875 Towne Lake Parkway and 9755 Highway 92 had to be shut down. Employees, many of whom were personally affected by the floods, were left without any paycheck and White was powerless to do anything.
Luckily, Dunkin’ Brands had White’s back. “The Brand’s response has been unbelievable,” said White, a franchise owner since 2002. “Without even telling me they put together a plan to help out.”
Dunkin’ Donuts mobilized its 18-wheel supertruck—a mobile store often used at big events like NASCAR races and concerts, to White’s Highway 92 location.
“This is just the kind of thing the Supertruck is designed for,” said Andrew Mastrangelo, Manager of Media Relations for Dunkin’ Brands. “It left Massachusetts and made it to Mike’s location in about two days, thanks to the efforts of the operations and field marketing teams both in Atlanta and at Brand Central, including Al Hodges, Pam Randolph, Michelle Stasiukevicius, John Carpenter and Brandy Zimmerle.”
See the Flood at Dunkin Donuts Highway 92:
Even before the Cherokee County Board of Health was able to give the truck a permit to sell coffee, they were already giving it to emergency responders in the area. Three days after the truck arrived, White says, they were serving coffee, donuts and sandwiches.

Dunkin' Is Open For Business!
“Customers have been thrilled because there isn’t much open around here right now. Thanks to the signs they put up and word-of-mouth we did $2,000 in sales this past Sunday,” said White.
The floods have disrupted normal life in the area but White says, having fresh, hot Dunkin’ Donuts coffee available has made surviving the disaster a little easier.
Dunkin’ Brands has also worked with various vendors to get them to donate time and materials to help White get back on his feet. He expects to re-open the Highway 92 location by the end of year and he’s looking at whether it makes sense to do a complete remodel before reopening the Towne Lake Parkway location.
DDIFO president Jim Coen stopped in to see White right after the supertruck got up and running. “I was amazed at the customer response. Everyone was thanking Mike for being there; they were so appreciative,” said Coen.
“The one thing I’m glad about now is that there’s cash coming in so I can pay my employees. We are making every effort to make sure all full time employees can get some money coming in and the Brand said they are looking at ways to help those employees who were especially impacted by the flood,” White said.
Since the rains first started falling White has been working non-stop. He says the situation is going to set him back for a while but he’s optimistic he’ll get back on his feet, especially because he’s received so much support from so many people.
Before he opened his first Dunkin’ shop, White was a career military man. He was drafted into Vietnam but rose to the rank of Major and retired as a test pilot for the U.S. Army. He says he learned a lot in his 22 years in the military including this: “What doesn’t kill you makes you stronger.”
DDIFO Eyes National Expansion with Addition of Chicago Board Member
September 10, 2009 by Matt Ellis
Filed under DDIFO Insider, Top Story

From Right to Left: Dan Connelly, Director; Asheesh Seth, Director; Pat Kaufmann, Clerk; Kevin McCarthy, Chairman; Jim Coen, President; Joe Kimball, Treasurer; Carl Lisa, Sr., General Counsel
The DDIFO, already the largest independent association of Dunkin’ Donuts franchise owners in the U.S., took a major step toward national expansion this week when its Board of Directors voted to add Asheesh Seth, the leader of the Midwest Dunkin’ Donuts Franchise Association (MWDDFA), to its board.
“This is a big step forward. It sends a significant message to the entire Dunkin’ Donuts franchise community that the DDIFO is ready, willing and able to advocate for the interests of franchise owners on a national basis,” DDIFO President Jim Coen said.
“I look forward to the opportunity to work more closely with the DDIFO and hope that we can strengthen the position of existing franchise members while, at the same time, working toward the goal of a nationwide association,” said Seth.
Seth is the Director of Operations for Sterlite Software, an information technology company in Chicago. A Punjabi Indian born in the US, Seth became acquainted with several South Asian Dunkin’ franchise owners through his work providing IT services to their franchises. When the MWDDFA was founded in 2005 he was asked to join as Executive Director.
“I enjoyed working with the Association because it provided opportunities for education among franchisees to better run their networks and also promoted unity among all franchise owners,” said Seth.
Those goals mirror the mission of the DDIFO. At the board’s September 8, 2009 meeting, Chairman Kevin McCarthy noted the importance of growing the board membership to be more inclusive.
“We are pleased with the recommendation of Chicago area franchise owners to add Asheesh Seth to the Board,” McCarthy said. “He has great IT skills and his experience working with MWDDFA is a wonderful and professional addition.”
MWDDFA’s membership represents all nationalities, but primarily consists of South Asians comprised of Pakistani and Indian Americans. In the Illinois/Indiana market, approximately 90 percent of the Dunkin’ franchises are owned by members of this group. Presently, the MWDDFA represents 400 of the 500 Dunkin’ Donuts shops in the market.
In his role with MWDDFA, Seth maintained the organization’s Web site, organized board and membership meetings and oversaw internal and external communications including those between the MWDDFA and the DDIFO.
According to Seth, the MWDDFA members have long been aware of the DDIFO and value the knowledge in such publications as the DDIFO Insider, Legal and Legislative Updates and News You Can Use. He also acknowledges the numerous concerns shared by Midwest and Northeastern Dunkin’ franchise owners, like higher food costs, lower revenues, credit card interchange fees, menu labeling, loss prevention and Brand-approved vendors. Through his new role with the DDIFO, Seth hopes to serve in the best interests of all Dunkin’ Donuts franchise owners and ensure that appropriate growth models exist within the system. He also believes in the DDIFO’s vision of a national association.
“Franchise owners in the Chicago area have expressed confidence that the new DDIFO is moving forward in a positive, professional and effective manner to enhance and protect the business interests of all of its members. I intend to do everything I can to fulfill that mandate,” said Coen.




