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re: I don't understand how donut shops stay in business

Posted on 1/23/24 at 4:14 pm to
Posted by Covingtontiger77
Member since Dec 2015
10936 posts
Posted on 1/23/24 at 4:14 pm to
In LA, especially NOLA metro, the donut shops make their money from video poker machines.

Old folks and video poker degenerates sit there all day feeding the machines.
Posted by CatfishJohn
Member since Jun 2020
16854 posts
Posted on 1/23/24 at 4:14 pm to
quote:

Retail space isn't cheap and I never see or hear from anyone who eats donuts on a regular basis. How many donuts do they have to sell to turn a profit? And who's eating that many donuts?


I buy donuts most Sundays

And they're a very common thing at our office for birthdays or just pam receptionists wanting to feel better about themselves so they try to fatten others.

Posted by ShaneTheLegLechler
Member since Dec 2011
62047 posts
Posted on 1/23/24 at 4:15 pm to
quote:

the asian ones


Are there any other kind?
Posted by bulldog95
North Louisiana
Member since Jan 2011
21023 posts
Posted on 1/23/24 at 4:17 pm to
They make other things. Many do busicuits, bacon, sausage, kolaches, etc…..
Posted by BigApple
Member since Jun 2022
889 posts
Posted on 1/23/24 at 4:17 pm to
quote:

video poker


Yep. Most donut shops with machines clear 6 figures a year from poker .. a few make well into 200k plus range.
Posted by CatfishJohn
Member since Jun 2020
16854 posts
Posted on 1/23/24 at 4:18 pm to
quote:

Are there any other kind?


Hipster ones that have $7 donuts are proliferating in our country.

But I don't need some fancy frickin donut. I want the warm gooey glazed donut made by the hands of Asian child labor.

GOAT:



Posted by Pettifogger
I don't really care, Margaret
Member since Feb 2012
83263 posts
Posted on 1/23/24 at 4:18 pm to
Texas Asian donuts complete with strip mall “DONUT” sign is the only way to go.

I know dudes who have gone to the same one almost daily for a decade or more and have no clue what the name of the shop is
Posted by Limitlesstigers
Lafayette
Member since Nov 2019
3760 posts
Posted on 1/23/24 at 4:20 pm to
quote:

You ever see an asian donut shop? those little kids are in the back working for free.

My best friend growing up was a kid with Cambodian parents and he started working at his family's shop when he turned 12.
Posted by WaydownSouth
Stratton Oakmont
Member since Nov 2018
9616 posts
Posted on 1/23/24 at 4:20 pm to
Krispy Kreme has cars in the drive thru every time I pass. Doesn’t matter time of day
Posted by MSTiger33
Member since Oct 2007
20958 posts
Posted on 1/23/24 at 4:22 pm to
There is a speciality donut place near me that has a line out the door everyday.
Posted by Fat and Happy
Baton Rouge
Member since Jan 2013
18497 posts
Posted on 1/23/24 at 4:26 pm to
The cost to make 1 donut is extremely small so the profit margin on 1 donut by itself is massive.

So if their product doesn’t cost much of anything to make, all they are gonna do is make money
Posted by Shexter
Prairieville
Member since Feb 2014
16669 posts
Posted on 1/23/24 at 4:29 pm to
quote:

the asian ones


Are there any other kind?


The Mary Lee's on Florida near Broadmoor was owned by a Mexican family. The son and his Mexican cousin who was a foreign exchange student went to Spring Break in PCB with us in the early 90's.

quote:

Baton Rouge’s longest running brand, Mary Lee Donuts has expanded and created quite the early morning empire in Louisiana since 1969. So, it only makes sense that owner Vic Dunlap knows how to fancy up some fried dough.


quote:

Though you may see a bunch of doughnut shops in the area sporting the name Mary Lee, Dunlap says each franchise offers something different.

Each of our stores is individually owned and operated,” he says. “They have their own tastes. Even though they’re all under the same umbrella, they have their own personal touches they put on it. One will like working with chocolate more, and one may like working with maple.”
This post was edited on 1/23/24 at 4:40 pm
Posted by Sao
East Texas Piney Woods
Member since Jun 2009
68123 posts
Posted on 1/23/24 at 4:30 pm to
A very good documentary about this topic is The Donut King on Hulu. Features a Cambodian refugee who became the largest owner of shops in the West by forming a way of putting other Cambodian families in business. So successful, they pushed Dunkin out of the West Coast for eons. Couldn't compete w the family model. He had an incredible gambling addiction after years of wealth and it all but crumbled for him. Fascinating shite. Great watch.
Posted by ob1pimpbobi
College Station
Member since Jul 2022
2637 posts
Posted on 1/23/24 at 4:31 pm to
Kolache's >>>>>>>>> Doughnuts
Posted by deeprig9
Unincorporated Ozora
Member since Sep 2012
70132 posts
Posted on 1/23/24 at 4:32 pm to
quote:

We get donuts brought to our office by vendors or contractors almost on a daily basis.


This is how they make money, not on someone coming inside and buying one donut. It's a guy coming in to buy 3 dozen for his sales call later that morning.
Posted by mudshuvl05
Member since Nov 2023
1616 posts
Posted on 1/23/24 at 4:33 pm to
quote:

you are in a convenient location
this is key for the longevity of a donut shop, even in small towns. I've seen donut shops in out-of-the-way locations fold up in no time; while another stays rolling from 4 am to 2 pm because it's in a busy travel corridor. being next to a popular, busy gas station is premo.

it has to do with the morning time routine of americans. coffee shops are the same way. time after time i see coffee shops open and close in 12 months because they don't offer drive through. the average american on his/her morning commute doesn't want to park, get out and walk in, order and pay for a cup of coffee, and walk back out. for many it's not feasible, for others it's a pain in the arse when they still feel like arse.

if Starbucks, dunkin, krispy kreme, e.g., morning time heavy eateries, half-assed it when chosing locales and made them walk-in only, their entire enterprise would fold in 24 months.
Posted by weadjust
Member since Aug 2012
15480 posts
Posted on 1/23/24 at 4:34 pm to
I know a guy that is in the donut business with multiple locations. He’s been making bank for years. His house huge.
Posted by jeffsdad
Member since Mar 2007
23274 posts
Posted on 1/23/24 at 4:34 pm to
Is Southern Maid Donuts still a thing in Shreveport?

Nevermind, looked it up myself and yep they are still in business.

If you like donuts and traveling thru Shreveport, stop and get some. They are ten times better than the donuts you buy elsewhere.
This post was edited on 1/23/24 at 4:37 pm
Posted by IAmNERD
Member since May 2017
21622 posts
Posted on 1/23/24 at 4:36 pm to
quote:

We get donuts brought to our office by vendors or contractors almost on a daily basis.

Yep. And almost all service stations (ones with more than 4 gas pumps anyway) all have a donut cabinet in them. It's usually Krispy Kreme, but I've noticed a couple near me are the local mom and pop.

Plus as it's been pointed out, most don't only sell donuts. There is one down the road from my shop that sells breakfast sandwiches on English muffins and kolaches. Not to mention, they're only open until like noon, if that late.
Posted by Emteein
Baton Rouge
Member since Jun 2011
3954 posts
Posted on 1/23/24 at 4:45 pm to
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