Dunkin' Donuts Goes After Starbucks With Espresso Drinks and Mobile Payments

The coffee rivalry continues

Dunkin' Donuts continues on its quest to give Starbucks a run for its money: The Massachussetts-based doughnut and coffee chain hopes to delve further into the espresso-based drinks market, reports the Associated Press.

Dunkin' has long offered lattes and even introduced a macchiato last year, but sales of espresso drinks make up only a small portion of its total beverage revenue. By featuring said drinks more prominently with revamped menu boards (and social media marketing), Dunkin' hopes to sell more of them, noting that "Espresso drinks fetch more money than regular drip coffee and help attract younger customers, who tend to come in groups and get food to go with their drinks."

The chain also continues to expand its mobile ordering and payment system, an area Starbucks has already tackled: The ability to order and pay ahead via Dunkin's mobile app launched in the New York metro area yesterday (the program was previously rolled out to select Rhode Island and Massachussetts stores). It's no surprise Dunkin' hopes to follow in Starbucks' footsteps here, as more than 20 percent of Starbucks' U.S. transactions are now done through its mobile app, and Starbucks customers who use the mobile order-and-pay feature also have a higher check average.

Dunkin' is also currently testing cold-brew coffee, which Starbucks launched last year.

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