Say “donuts,” and people in Japan think one thing: Mister Donut. Nothing much new with Japan’s top donut chain, but that’s precisely why economists are paying attention. Despite competition from big-name convenience stores, Mister Donut’s tried and true methodologies keep it far ahead in the game.
Defending the donut throne from 7-Eleven
Observing the state of Japanese snacks, things may seem rocky for Mister Donut. Its biggest rival, Krispy Kreme, made an unexpected comeback in 2022. Krispy Kreme has used an aggressive strategy, combining large retail shops with small stands in local grocery chains such as Maruetsu.
Japanese combini like Family Mart and 7-Eleven climbed into the donut ring back in 2016. In the past two years, 7-Eleven in particular has made a push to compete directly with Mister Donut by going beyond packaged donuts. In 2024, it revived a 2017 experiment by selling donuts freshly baked in the store, just like Mister Donut stores do.
The experiment involved selling donuts at 5,000 of its stores nationwide. It was a smashing success: The chain sold 2.4 million donuts in a mere three days.
Based on this, parent company 7 & i Holdings decided to make the experiment permanent. In February 2025, the chain began selling freshly-baked donuts at all of its stores nationwide.
The move seems like a natural extension of the chain’s existing business. Like most combini, it’s already known for selling freshly fried foods like kara-age, as well as seasonal favorites such as oden. Some in Japan, however, have worried that the move adds to the work of the chain’s franchisees, some of whom are already stretched past their breaking point due to chronic understaffing issues.
Why Mister Donut wins
But despite this growing competition, Mister Donut maintains its firm market lead.
Originally a franchise of an American chain, the company has thrived in Japan since Duskin opened its first store here in 1971. Since then, the company has thrived in Japan despite basically disappearing from the US. (Duskin itself is now wholly owned by US corporation Inspire Brands, which also owns Dunkin’ Donuts.)
As of 2025, “Misudo” maintains nearly 90% market share, even while the broader donut market has grown 112% since 2024. The donuts that once graced the combini registers have been relegated to the pastry aisles.
Clearly, no challenger can shake Mister Donut.
Mister Donut is known for its unique collaborations (e.g., its popular Pokémon collab, which accidentally went viral last year), as well as more upscale offerings. Earlier this year, it served a special menu in collaboration with Pierre Marcolini, world-renowned chocolatier. This marketing has set the standard for donut presentation, with competing products notably forced to target a similar aesthetic and recipe – Krispy Kreme’s approach in its initial 2006 push.
This leaves competitors in the lurch, inevitably compared to Mister Donut’s familiar and carefully crafted product. As one blogger wrote of the disappearing combini competition, “the donuts look the same, but the taste is two steps down.”
A human touch
What makes Mister Donut the donut leader? Tokyo Keizai chalks it up to the company’s traditional, human-focused management style. While a big-name combini is focused on customer data, market draw, and bottom lines, Mister Donut focuses on communication and donut quality.
New franchisees must acquire a license by attending a group training, where they learn the ropes while discussing process, recipe, and strategy with their peers from around the country. Even office employees are required to spend a year or two in the field helping to manage a store so they understand how the business functions on the ground, from the register to the fryer.
Direct customer feedback is another of Mister Donut’s strategies. Six times a year, COO Wada Tetsuya visits regions across the country, holding fan meetings to hear customers’ praises and concerns.
No nuts about it
Whether it’s their classic strategy, unique aesthetic, or just plain old inertia, Mister Donut is firmly in the lead, at least for now. With the broader Japanese economy struggling under stagnant wages and chaotic trade barriers, only time will tell how a discretionary product like donuts holds up. But whatever the future holds for donuts in Japan, Mister Donut will be paving the way.
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なぜコンビニドーナツは消えた？ミスドに負けて失敗した原因を元店員が徹底解説！Hikarisan Blog.
まれ変わった「ＦＡＭＩＭＡ ＣＡＦÉ ＤＯＮＵＴ」～さらにおいしいドーナツを目指して、品揃えやパッケージを一新～ FamilyMart.
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