America’s favorite old-fashioned eatery/country store is testing out new ways to prove to diners that it’s still kicking. Cracker Barrel is in the middle of throwing new initiatives at the wall and seeing what sticks.
In recent years, the restaurant chain has attempted to prove its hip with the kids…
Without compromising its signature country charm.
But the question remains… will these new strategies actually help…
Or is the company already over the hill?
Cracker Barrel’s New (Confusing) Strategy
Since the pandemic, Cracker Barrel has struggled to win back its customers. Since older diners make up most of the restaurant’s base, COVID-conscious consumers have been hesitant to come back…
And it shows in the restaurant’s earnings.
THIS PAST YEAR, CRACKER BARREL’S STOCK DROPPED 37%. IN THE PAST FIVE YEARS, STOCKS FOR THE CHAIN DROPPED 70%.
Even the CEO recognizes that the situation is looking a bit dire…
During the company’s May presentation, CEO Julie Felss Masino mentioned, “We’re just not as relevant as we once were.”
To combat the irrelevancy, Cracker Barrel has decided to go big or go home. The company announced plans for a revamp of the entire business model:
From their menu items…
To the layout of the restaurants…
To the overall look and atmosphere of their brand.
Out with the old and in with the new, as they say. The country store’s new ambitions include designing smaller restaurants…
With interiors that feel more bright and less cluttered…
In favor of more modern sensibilities.
But Cracker Barrel’s next best bet is what the company heralds as its most risky and ambitious…
This new strategy is…
An early bird special?
Making The Early Bird Cool
The answer to all of Cracker Barrel’s problems, the company decided, is in the early bird special.
In fact, they were so excited about it that they launched the new special in february without marketing it at all. Essentially, the new deal runs every weekday, offering discounted dinners starting at $8.99 between 4 and 6 p.m.
But if this is the company’s attempt at staying relevant…
WHY ARE THEY RESORTING TO MARKETING TACTICS RESERVED FOR THEIR SENIOR CLIENTELE?
According to industry analysts, Cracker Barrel might actually be onto something.
It’s true: Americans are all dining earlier. So much so that restaurants are now seating 10% of diners between 2 p.m. and 5 p.m.
So for the old country store, this bet could turn out in their favor. Not to mention, the move could also attract some younger families looking for a good deal and an early dinner time.
Now the company’s next challenge lies in attracting younger customers to the deal.
The issue lies however in how they market the deal, since early bird specials are still synonymous with older diners in the public zeitgeist.
Not to mention, currently fast food and fast casual restaurants are competing with each other to give diners better deals…
Since rising inflation has caused more consumers to forgo restaurant outings for the grocery store.
Is This Old Country Store Over The Hill?
Ultimately, the only thing that can save Cracker Barrel is not the ambition of their ideas…
It all lies how they exceute their strategy.
Be Great,
GCTV Staff
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