May 07, 2004
Krispy Kreme gets burnt

THERESA: It's Friday, so let's give away some merchandise - I have a couple workout DVDs, including "Calorie Killer," from the Fast and Firm series and Yoga Journal's "Yoga Step By Step, The Total Guide to Beginning Your Home Practice," with Natasha Rizopoulos. Also, I have a box of Arnica samples from the Boiron company in Newtown Square, great for relieving muscle aches and reducing inflammation. So please comment today and we'll draw later this afternoon to see who wins this stuff.

Here's a news item that caught my eye. Krispy Kreme is feeling the pinch because of increased consumer interest in low-carb diets. The company today cut its earnings forecast by 10 percent, its first profit warning since going public four years ago, saying the popularity of low-carbohydrate diets has hurt demand.

Company CEO Scott Livengood said that the low-carb trend "had little discernible effect on our business last year. However, recent market data suggests consumer interest in reduced carbohydrate consumption has heightened significantly following the beginning of the year and has accelerated in the last two to three months."

Whether you're on Atkins or not, donuts are certainly not a cornerstone of a balanced diet. I'm no proponent of the Atkins diet, so I like to think some people may be choosing to eat oatmeal and bananas and skim milk for breakfast instead of donuts, good carbs instead of empty, sugary, high fat treats. While this trend isn't good for Krispy Kreme, it's gotta be good for the nation's health, dontcha think?


Comments

As a die hard Krispy Kreme fan, who has been weight conscience and in pretty good shape, I must say that everything is good in moderation. Now that the stores are in the area I usually stop by a Krispy Kreme store twice a month to have one doughnut and that satisfies the craving and gets it out of my system. When I make the trip to the store, I'm fully aware of what I'm doing and what I'm going to get, I don't pig out and let my eyes get bigger than my stomach. I'm a firm believer in not denying yourself anything. Moderation is the key to everything.

Posted by: mary on May 7, 2004 10:07 AM

It is amazing, how a "HOT" sign can bring people together!! Krispy Kreme is not just a donut, it is a culture... I, myself eat about three a year, and only if it is "HOT"... Krispy Kreme has changed the way we do business...
What an American dream!! If you don't like the donuts, that is fine, but you have to love what Krispy Kreme stands for...
Business practicality, simplicity, and good old fashioned common sense!

Posted by: Connie on May 7, 2004 10:21 AM

That's really amazing that the low-carb thing would impact Krispy Kreme like that. It'll be interesting to see if we, as a nation, end up any thinner as a result of low-carb mania. Although I have friends who've dropped a lot of weight with the low-carb approach, I worry about the long-term health impact of all this. Yeah, you lose, but don't most people eventually put it all back on? And when they do, don't they gain more?

Posted by: Jenice on May 7, 2004 10:22 AM

I just received this press release, which really cracked me up: "In celebration of the widely-anticipated opening of Shrek 2(tm), M&M's is introducing the first-ever OVERSIZED version of its signature M&M'SŪ chocolate candies - new "Ogre-sized" M&M'S.
The M&M'S Brand SHREKŪ Mix, featuring 50 percent bigger Milk Chocolate and Peanut M&M'S Chocolate Candies for an even bigger chocolate taste, is currently in stores and theaters -- just in time for the release of Shrek 2.
"We wanted to create a chocolate taste fit for an ogre and his princess," notes Janis Smith-Gomez, Vice President of Marketing, M&M's brand. "Nothing says big chocolate taste like ogre-sized M&M'S; add that to the biggest movie and the biggest star, and you've got an unbeatable recipe for ogre-sized fun."
Yo, kids, let's all get ogre-sized!!!

Posted by: Theresa on May 7, 2004 12:10 PM

Laurie: The scariest thing I read recently was that diseases related to obesity have passed cigarettes as a cause of preventable deaths in the U.S. (See http://www.foxnews.com/story/0,2933,113704,00.html)
In other words, prosperity is killing us. I also read another report that malnutrition affects intelligence, thus children in poor countries (and poor areas of the U.S.) who don't get enough to eat are doubly disadvantaged. (See http://www.foxnews.com/story/0,2933,115151,00.html)
It is one crazy world, that people can be dying of excess while others starve.
How'd I get here from Krispy Kremes?
There are so many ways food manufacturers shape our diets. We, the consumers, should demand that they give us healthier foods. The malnutrition story points out that large food manufacturers have had a positive impact on consumer health by offering fortified products (like iodized salt, for example). If Krispy Kreme's bottom line is tied to expanding Americans' bottoms, they deserve to lose profits!

Posted by: Laurie on May 7, 2004 12:48 PM

Let's face it...As summer approaches we all become more weight conscious, because we must shed our coats. As a result the low-carb frenzy is at an all time peak. I am definitely cutting my carbs for health and weight reasons, however, the Krispy Kreme lover in me will not allow me to completely give them up. I don't have any plans to trade them in for another vice either. You know, everything in moderation.

Posted by: Tonya on May 7, 2004 01:05 PM

I wish I thought the Atkins diet was a better alternative. I don't. Maybe Krispy Kreme should just wait until the next round of studies concludes that all-Donut diets are REALLY what's healthy. I'm sure it's coming.

Posted by: Jill on May 7, 2004 01:06 PM

Laurie, I hate to sound reactionary, but c'mon -- the problem here is not Krispy Kreme's presence in the world, but people who can't know what is good for them. I just LOVE Krispy Kremes. And, in the last month, I probably ate two. Like Mary, I go as a treat, eat one, love it and move on.

Posted by: Wendy on May 7, 2004 01:10 PM

I am not a huge fan of Krispy Kremes, but I am a fan of sweets in general. I am very much in eating healthy and being fit. I think the new Krispy Kreme idea is great for people who want a little something tasty, but don't want to feel as guilty. Sometimes however, when people think a food is low-fat or low-carb they will eat more than just one, where as, if they had a regular donut they would probably have just one. Overall, I think it's great that major companies are getting into make more healthy foods and trying to be more in-tune with healthy dieters.

Posted by: Amina on May 7, 2004 01:38 PM

I agree with Amina--I would rather have Dunkin Doughnuts then Krispy Kremes any day! I do think it is a good idea to make a lower fat doughnut but again I think people think--less calories then I can eat more than one. I think you can have a doughnut every now and then but not as an everyday breakfast food--not when there are so many other options out there! Otherwise, like that commerical you might as well attach the doughnuts right to your hips because ladies that's where it's going :)

Posted by: Barb on May 7, 2004 02:25 PM

I'm with the other ladies - everything in moderation. I LOVE Krispy Kremes and can honestly say I have one about every 4 months. One regular doghnut is about 200 calories and although void of any nutritional value, like anything, its about knowing when to say no.

Posted by: lynn B. on May 27, 2004 11:29 AM
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