Ever wondered who’s behind those delicious glazed donuts that have become an American institution? Krispy Kreme, the beloved donut chain, has changed hands several times since its founding in 1937. Krispy Kreme is currently owned by JAB Holding Company, a private investment firm that manages several well-known food and beverage brands worldwide.
When you bite into that warm, fresh Krispy Kreme donut, you’re enjoying a treat from a company that’s part of a larger family of brands. JAB Holding Company acquired Krispy Kreme in 2016, adding it to their impressive portfolio that includes other familiar names like Panera Bread, Keurig Dr Pepper, and JDE Peet’s. The company has seen leadership changes too, with Josh Charlesworth serving as President and CEO since January 2024.
Key Takeaways
- JAB Holding Company owns Krispy Kreme as part of its extensive portfolio of food and beverage brands.
- Krispy Kreme has undergone several ownership changes throughout its 80+ year history while maintaining its iconic glazed donut recipe.
- The donut company operates under a global business model with both company-owned stores and franchise locations worldwide.
History of Krispy Kreme
Krispy Kreme’s journey from a single doughnut shop to a global brand spans nearly nine decades. The company’s iconic Original Glazed doughnut and distinctive store experience have made it a beloved institution in American food culture.
Founding and Early Years
Krispy Kreme began in 1937 when Vernon Rudolph founded the first store in Winston-Salem, North Carolina. Rudolph had purchased a secret yeast-raised doughnut recipe from a New Orleans chef and set out to create something special.
The small shop initially sold doughnuts wholesale to local grocery stores. However, passersby kept stopping by, drawn by the irresistible aroma of fresh doughnuts. This unexpected demand led Rudolph to cut a hole in the wall to sell directly to customers on the sidewalk.
The Original Glazed doughnut quickly became the signature product. These hot, fresh treats were made using Rudolph’s secret recipe and specialized equipment, creating a unique product that customers couldn’t get enough of.
Rudolph’s entrepreneurial spirit helped the business thrive despite challenging economic times during the Great Depression.
Nationwide Rollout and Growth
By the 1950s, Krispy Kreme began expanding beyond Winston-Salem. They opened stores throughout the southeastern United States, building a regional following for their doughnuts.
The company developed a distinctive store design featuring green roofs and neon signs. Their “Hot Now” neon sign, which lit up when fresh doughnuts were coming off the line, became an iconic signal to customers.
In 1976, Krispy Kreme became part of Beatrice Foods but was later purchased by a group of franchisees in 1982. This buyback helped preserve the company’s traditional doughnut-making methods and quality standards.
The 1990s saw more aggressive expansion as the company moved into new markets across the United States. Krispy Kreme’s theatrical production method, where customers could watch doughnuts being made, created a unique experience.
Recent Developments
Krispy Kreme went public on the NASDAQ in 2000, which fueled further expansion. The company opened its first international location in Canada in 2001, followed by stores in the UK, Australia, and many other countries.
After experiencing some financial challenges in the mid-2000s, the company refocused on its core products and store experience. In 2016, Krispy Kreme was acquired by JAB Holding Company, a private German investment firm.
Today, Krispy Kreme operates more than 500 locations worldwide. They’ve expanded their menu beyond the Original Glazed to include seasonal offerings and specialty doughnuts.
The company continues to innovate while maintaining its heritage, with the hot Original Glazed doughnut remaining at the heart of the Krispy Kreme experience.
Ownership Structure
Krispy Kreme‘s ownership is dominated by a European investment company with deep roots in consumer brands. This family-owned holding company controls nearly half of Krispy Kreme’s shares and has expanded its portfolio to include many well-known coffee and food brands.
JAB Holding Company Overview
JAB Holding Company is a German-based private investment firm that serves as the majority owner of Krispy Kreme. The company controls approximately 44% of Krispy Kreme’s shares through its subsidiary Agnaten SE, making it the dominant shareholder by a significant margin.
JAB is owned by the Reimann family, descendants of Albert Reimann Sr. and Albert Reimann Jr., who built a chemical company that later expanded into investments. The family is among the wealthiest in Germany, with their holding company managing assets worth billions of dollars.
The firm focuses primarily on consumer goods and retail investments, with a special interest in coffee and food-related businesses. JAB has built a reputation for acquiring established brands with strong market positions and growth potential.
Acquisition of Krispy Kreme
JAB Holding acquired Krispy Kreme in 2016 for approximately $1.35 billion, taking the then-public company private. This deal valued Krispy Kreme at $21 per share, representing a premium of more than 25% over the stock’s market price at that time.
The acquisition came during a period when JAB was actively expanding its portfolio of coffee and breakfast-oriented businesses. Prior to the JAB acquisition, Krispy Kreme had been bought back from Beatrice Foods in 1982 by a group of early franchisees who had refocused the company on its hot doughnut experience.
In 2021, JAB returned Krispy Kreme to public markets through an IPO, but maintained its controlling stake in the company.
Other Brands Under JAB
JAB Holding has built an impressive portfolio of coffee and food brands that complement Krispy Kreme. Their holdings include Panera Bread, a popular bakery-café chain known for its artisan breads and healthy menu options.
In the coffee sector, JAB owns Peet’s Coffee, a specialty coffee roaster and retailer. They’ve also acquired Caribou Coffee, a premium coffeehouse chain primarily located in the Midwest United States.
The company has shown particular interest in specialty coffee brands, adding Intelligentsia and Stumptown Coffee Roasters to their collection. These high-end coffee companies are known for their direct trade practices and artisanal approach to coffee roasting.
JAB recently demonstrated its flexible portfolio management when Krispy Kreme sold a majority stake in Insomnia Cookies to other investment firms while maintaining a minority interest.
Controversial History and Modern Ethics
The ownership of Krispy Kreme involves a complex history that includes troubling connections to Nazi Germany and recent efforts to address this past through ethical business practices.
Reimann Family’s Past
The Reimann family, one of Germany’s wealthiest families, controls JAB Holding Company which owns Krispy Kreme. In 2019, the family publicly acknowledged their dark history related to Nazi Germany during World War II.
Albert Reimann Sr. and his son Albert Reimann Jr., who ran the company that eventually grew into JAB Holding, were Nazi supporters who used forced labor during the war.
The revelation came after the family commissioned historians to investigate their past. The research uncovered that the Reimanns used Russian civilians and French prisoners of war as forced laborers in their factories.
Upon learning about these findings, the family was reportedly shocked and embarrassed. They pledged to donate €10 million (approximately $11 million) to charity as a gesture of acknowledgment and remorse.
Modern Ethical Practices
Today, JAB Holding manages a diverse portfolio that includes not only Krispy Kreme but also luxury brands like Jimmy Choo and food companies such as Pret-A-Manger. The company has worked to distance itself from its troubling past.
The current generation of the Reimann family has implemented various ethical business practices across their brands. They focus on sustainability, fair labor practices, and corporate responsibility.
For Krispy Kreme specifically, the company has established programs for community involvement and charitable giving. They regularly donate products to first responders and healthcare workers during crises.
The company also publishes corporate social responsibility reports that outline their commitments to ethical sourcing of ingredients, reducing environmental impact, and supporting their employees.
These efforts represent attempts to build a positive corporate legacy that contrasts with the family’s historical ties to the Nazi regime.
Product Range
Krispy Kreme offers a diverse selection of doughnuts that have contributed to the brand’s worldwide popularity. Their menu features both classic favorites and creative seasonal options that keep customers coming back.
Signature Offerings
The Original Glazed doughnut remains Krispy Kreme’s most iconic product. This light, fluffy doughnut covered in a sweet glaze has been delighting customers since 1937. When the “Hot Now” sign lights up at stores, it signals that fresh doughnuts are just coming off the line.
Beyond the Original Glazed, Krispy Kreme offers more than 20 varieties of doughnuts daily. Popular options include:
- Chocolate Iced with Sprinkles
- Chocolate Iced Kreme Filled
- Strawberry Iced with Sprinkles
- Glazed Raspberry Filled
Many locations allow customers to watch the doughnut-making process through viewing windows, adding to the brand experience.
Seasonal and Limited-Edition Varieties
Krispy Kreme regularly introduces seasonal and limited-time doughnuts that correspond with holidays and special events. These creative offerings help maintain customer interest and drive repeat visits.
During fall, they typically offer pumpkin-spiced varieties, while winter brings holiday-themed doughnuts with festive decorations. Spring often features fruit-flavored options, and summer introduces refreshing varieties.
Recent limited-edition collections have included:
- Movie tie-in themed doughnuts
- Sports championship celebrations
- Collaborations with other popular brands
- Holiday-specific designs (Halloween, Christmas, Valentine’s Day)
These special releases generate social media buzz and often attract both regular customers and those who might not typically visit Krispy Kreme stores.
Business Model and Distribution
Krispy Kreme operates a unique business model centered on delivering fresh doughnuts through multiple channels. Their approach combines traditional storefronts with innovative distribution strategies to reach customers wherever they are.
In-Store Experience
The iconic Krispy Kreme in-store experience remains at the heart of their business model. When customers visit a Krispy Kreme shop, they often encounter the famous “Hot Light” signaling that fresh doughnuts are being made. This creates an irresistible draw for customers passing by.
Many locations feature glass windows allowing visitors to watch the doughnut-making process, creating a sensory experience that builds brand loyalty. The aroma of fresh doughnuts fills the air, encouraging impulse purchases.
The shops typically offer comfortable seating areas where customers can enjoy their treats with coffee or other beverages. This dine-in option complements their grab-and-go service, giving customers flexibility in how they enjoy their doughnuts.
Partnerships and Points of Sale
Krispy Kreme has expanded far beyond traditional storefronts through their hub-and-spoke distribution model. This system allows them to produce doughnuts at central “hub” locations and distribute them to various “spoke” retail points.
Their partnerships include prominent deals with convenience stores, grocery chains, and gas stations. These arrangements significantly increase their points of access without requiring full store investments.
A notable recent expansion includes their partnership with McDonald’s, which brings their products to an entirely new customer base. This collaboration demonstrates how their distribution model can adapt to different retail environments.
Krispy Kreme’s commitment to “Delivered Fresh Daily” means that even at third-party locations, customers receive doughnuts that maintain the brand’s quality standards.
E-Commerce and Delivery Services
Krispy Kreme has embraced digital transformation by developing robust e-commerce capabilities. Their website and mobile app allow customers to place orders for pickup or delivery, adding convenience to the purchasing process.
The company offers special online promotions and loyalty programs to encourage digital engagement. These incentives help drive traffic to their e-commerce platforms while rewarding repeat customers.
Their omnichannel distribution model integrates with popular food delivery services like DoorDash and Uber Eats. This strategy helps them reach customers who prefer ordering from aggregator platforms.
Corporate delivery services cater to businesses ordering for meetings and events. This B2B segment represents an important revenue stream beyond individual consumer purchases.
Brand Collaborations and Partnerships
Krispy Kreme has expanded its reach through strategic partnerships with major brands across various sectors. These collaborations have helped introduce their iconic doughnuts to new audiences while creating exciting limited-edition products that generate buzz and boost sales.
Food Industry Collaborations
Krispy Kreme recently announced an expanded national partnership with McDonald’s in a major move that brings their doughnuts to one of the world’s largest fast-food chains. This collaboration means Krispy Kreme doughnuts will be available at participating McDonald’s locations across the United States.
The rollout began in 2023 with pilot testing and has now grown into a nationwide distribution agreement. This partnership helps both brands reach new customers and create additional revenue streams.
Krispy Kreme has also collaborated with other food brands like Insomnia Cookies, allowing both companies to cross-promote and create special edition treats that combine their signature products.
Co-Branding Initiatives
Krispy Kreme has embraced creative co-branding initiatives with companies both inside and outside the food industry. In early 2025, they partnered with Pop-Tarts to create the “Krispy Kreme x Pop-Tarts Crazy Good Doughnuts” collection, bringing together two beloved breakfast treats.
They’ve also teamed up with celebrities like Dolly Parton for a “Southern Sweets” doughnut collection, adding star power to their limited-edition offerings.
In a surprising move, Krispy Kreme collaborated with fashion retailer PrettyLittleThing to create hot pink unicorn doughnuts that appeal to younger consumers, especially Gen Z. This partnership shows how the doughnut company is thinking beyond traditional food collaborations.
Corporate Social Responsibility
Krispy Kreme has made significant strides in its corporate responsibility initiatives, focusing on sustainability and community impact through their “Be Sweet” approach.
Sustainability Efforts
In 2023, Krispy Kreme published its first-ever “Be Sweet” Responsibility Report, highlighting their commitment to environmental sustainability. The report revealed that Krispy Kreme achieved carbon neutrality in some of their global operations through carbon offsets.
However, the company also faced challenges. Their ESG report disclosed a spike in carbon emissions in their Scope 1 and Scope 2 measurements. This transparency shows their commitment to accountability while working toward more sustainable practices.
The company has set specific environmental goals as part of their expansion strategy. These include reducing energy consumption in stores and implementing more eco-friendly packaging across their growing network of locations.
Community Involvement and Donations
Krispy Kreme has built strong community connections through various donation programs and local initiatives. Their Responsibility Fact Sheet outlines progress in “Loving Our Communities” as a key pillar of their responsibility framework.
One notable program is the Krispy Kreme Relief Fund, which provides company-funded financial assistance to US-based employees facing unexpected hardships or emergencies.
Their community engagement efforts also include:
- Doughnut donations to local events
- Fundraising partnerships with schools and organizations
- Support for first responders and healthcare workers
These initiatives have become central to Krispy Kreme’s brand identity as they continue expanding into new markets and communities.
Consumer Experience and Loyalty Programs
Krispy Kreme has invested heavily in creating memorable customer experiences and building loyalty through rewards programs. These initiatives help maintain customer relationships while encouraging repeat visits to their stores.
Rewards and Membership Benefits
Krispy Kreme switched to a points-based loyalty scheme in April 2023, moving away from their previous consistent discount model. Under the new program, members earn 10 points for every dollar spent at the chain.
This revamped rewards system allows customers to collect points toward free doughnuts, coffee, and other treats. Special promotions occasionally include their popular Chocolate Iced with Sprinkles doughnuts as reward options.
Krispy Kreme’s loyalty program is powered by NCR technology, which enables location-based rewards and special invitations. This tech helps the company connect with customers wherever they are.
During the program’s launch, Krispy Kreme offered 12 special deals, including free doughnuts and coffee to encourage sign-ups.
Customer Feedback and Engagement
Krispy Kreme actively engages with customers through social media and their mobile app. They frequently run special promotions tied to holidays, sports events, and cultural moments.
The Nationwide Rollout of their mobile app has made it easier for customers to order ahead, skip lines, and track their reward points. This convenience factor has been particularly appealing to younger consumers.
Customer feedback is taken seriously, with the company often adjusting offerings based on popular requests. The brand’s promotions and rewards program effectively incentivize repeat purchases and foster customer loyalty.
Store events like watching doughnuts being made through the “doughnut theater” create memorable experiences that customers share on social media, providing organic marketing for the brand.
Innovations in Production and Quality
Krispy Kreme has invested heavily in modernizing their production processes while maintaining the quality that made their doughnuts famous. These innovations help deliver fresh doughnuts to more customers while preserving their signature taste.
Manufacturing Process Optimizations
Krispy Kreme is embracing automation to expand their reach and efficiency. Over the next 18 months, the company plans to have at least 18% of their doughnuts produced on automated lines. This technology allows them to maintain consistency while increasing production capacity.
Their hub-and-spoke distribution model has been refined to ensure “Delivered Fresh Daily” doughnuts reach more locations. This system uses central production facilities (hubs) that supply fresh doughnuts to smaller retail outlets (spokes).
Unlike previous ownership under Beatrice Foods, which reportedly changed the secret recipe to cut costs, current production innovations focus on efficiency without compromising quality.
Quality Assurance Measures
Krispy Kreme maintains strict quality standards to ensure every doughnut meets their famous taste profile.
Their “Hot Light” system indicates when fresh doughnuts are being made, creating transparency in their production process.
The company balances innovation with tradition. They introduce new flavors through partnerships with brands like Mondelez International, General Mills, and Mars while protecting their classic recipes.
Quality control checkpoints throughout production verify ingredients, cooking temperatures, and glaze consistency. This dedication to quality assurance helps maintain Krispy Kreme’s reputation for exceptional Fresh Doughnuts.
Every store follows standardized procedures to ensure that customers receive the same delicious experience regardless of location.
