steven36 Posted November 4, 2018 Share Posted November 4, 2018 Applebee's knows you're stressed, and it wants to make you feel better with cheap alcohol and lots of food. That's been the brand's strategy since John Cywinski took over as its president in March of last year. And it's working: Applebee's US same-store sales increased 7.7% in the third quarter of this year, setting a 14-year record. While fast food brands are ditching artificial ingredients and offering healthier alternatives, Applebee's has embraced comfort food for a banner year. "Americans are stressed," Cywinski Said "When stressed, they tend to go to comfort food ... and we're pretty darn good at comfort food," he said. "That's the role we play." "We look at ourselves as America's kitchen table," he said, noting that with about 1,800 locations, most Americans are within driving distance of a restaurant. "We're that affordable indulgence." What went wrong A few years ago, Applebee's was struggling. The brand started selling seared and grilled items and serving smaller portions to chase a more health-conscious consumer. With these initiatives, the brand was targeting just a small segment of their customers, the "up-and-coming guest," said Brian Vaccaro, a restaurant analyst with Raymond James. "They tried to pursue a customer who wasn't going to Applebee's anyway," said Stephen Anderson, a senior equity research analyst covering restaurants at Maxim Group. The strategy flopped,and sales declined. Applebee's customers have an average household income of $70,000, the company said. About 30% of its customers are Millennials, but it also sells to Baby Boomers and Gen Xers. And it serves more families and black and Hispanic customers than its peers. The brand struggled because it "took its eye off its core guest and lost sight of who Applebee's is, and what Applebee's stands for," Cywinski said. Cheap drinks and comfort food To get Applebee's back on track, Cywinski hired a new leadership team. He convinced franchisees to contribute toward Applebee's advertising fund. He rolled out drink promotion after drink promotion: Dollaritas, Dollar Zombies and, most recently, $2 Bud Lights. Alcohol accounts for about 15% of Applebee's business, Cywinski said. It's important because stressed out customers may want a drink with dinner. And when people come to drink, they often order food. When it comes to meals, Applebee's is focusing on "abundant value," Cywinski said. That means all-you-can-eat riblets and chicken tenders and creamy pasta dishes. Applebee's competitors Chili's and Olive Garden have also been performing well recently. Wage growth and higher employment rates have helped the consumer environment overall, Vaccarro said. Those are "all positive for casual dining," he noted. But Applebee's has been "significantly outperforming the industry," Vaccaro added. That may be because Applebee's has done such a good job of showing customers that it's about the value and the experience, he said. Skirting the health trend With a bigger advertising budget, Applebee's poured money into campaigns that highlight the brand's renewed commitment to indulgent food. The ads are designed to make you laugh and make you hungry, Cywinski said. One video, promoting the new pasta dishes, shows close-up shots of decadent dishes while "At Last" by Etta James plays in the background. Applebee's is still offering healthier options, Cywinski said. But the brand is focusing on comfort food. Applebee's is about "making people hungry [and] satisfying them," he said. "So that doesn't mean small portions, it doesn't mean pursuing niche trends." The company has found its sweet spots without leaning on trends. "They're not going after the avocado toast Millennials," said Anderson. "They're going after middle America." But Applebee's is paying attention to certain trends. Like other chains, Applebee's is investing in off-premise dining, technology and delivery. Link to comment Share on other sites More sharing options...
nir Posted November 4, 2018 Share Posted November 4, 2018 Yes. Also: Link to comment Share on other sites More sharing options...
steven36 Posted November 4, 2018 Author Share Posted November 4, 2018 8 minutes ago, nir said: Yes. Also: Fixed Link to comment Share on other sites More sharing options...
nir Posted November 4, 2018 Share Posted November 4, 2018 Strange way of fixing by substituting another topic on top of the original one. The new article deserves creation of a new topic. Such a way is usually known as a coverup. Lol. Again: Nice coverup. Lol. This was the not the article to which I replied. Lol. I'd have never commented or replied to any article about Applebees. Lol. Link to comment Share on other sites More sharing options...
steven36 Posted November 4, 2018 Author Share Posted November 4, 2018 8 minutes ago, nir said: Strange way of fixing by substituting another topic on top of the original one. The new article deserves creation of a new topic. Such a way is usually known as a coverup. Lol. Again: Nice coverup. Lol. This was the not the article to which I replied. Lol. I'd have never commented or replied to any article about Applebees. Lol. I'm not covering up nothing you complain in my post , I'm not a mod were i can delete it, so i fixed it .. If you don't want me to fix it just report it and don't bother to post it. I don't think you understand what fixed means? Link to comment Share on other sites More sharing options...
nir Posted November 5, 2018 Share Posted November 5, 2018 One can delete one's post unless a thread is locked. I have no reason to report any post. I know what an English word means and if not I simply look up in the dictionary. By coverup, I mean the fact that the article I replied to is covered up forever by another article about Applebee's and no one will ever know what the original article was. Link to comment Share on other sites More sharing options...
steven36 Posted November 5, 2018 Author Share Posted November 5, 2018 2 hours ago, nir said: One can delete one's post unless a thread is locked. I have no reason to report any post. I know what an English word means and if not I simply look up in the dictionary. By coverup, I mean the fact that the article I replied to is covered up forever by another article about Applebee's and no one will ever know what the original article was. The point is if your not going report it why bother your not helping the mods? So i fixed the post were the mods don't have to fool with locking it and i don't have to report my own post and bother the mods because you wont do it yourself,, when and if they ever found it . Your not one to be pointing us out on duping post . I've reported you under 3 different names for duping mine now because its the rules and you never fix them .. I'm only human and if i get a wild hair to post a lot of news sometimes i miss one or two and if i figure it out i fix it before the mods have to close it and just waste board space. Report them when you see them and don't bother me and it want be a problem for you unless i catch it myself and fix it. Link to comment Share on other sites More sharing options...
nir Posted November 5, 2018 Share Posted November 5, 2018 Deleting a post is very easy compared to deleting and replacing it with another article. Period. Speaking for myself, if it were my mistake, I'd make every effort to correct it. How another feels, thinks, and acts is beyond my control. End of the matter. Link to comment Share on other sites More sharing options...
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