Brands are being renewed to “re-engage consumers”

We’ve seen a lot of new menu messaging lately, a common tactic aimed at reversing slow traffic. For example, according to Technomic, the number of limited-time offers in the restaurant industry has increased by 53% over the last four years.

But there are other ways to breathe new life into your business than just getting creative in the kitchen. Updates and rebrands are also extremely effective business drivers, and that’s why we’ve seen so many in the last few years, they say Andrew K. Smith, Managing Partner of Savory Fund.

Related: What does the future hold for the new GoTo Foods?

“A brand refresh can result in a 10% to 20% increase in sales if done right,” he said. “It makes consumers feel like the brand is new again, they’re excited again and they might come back once a month. That’s huge.”

This is particularly large, he added, in a challenging macro environment such as that currently affecting much of the restaurant industry.

“It’s important to pay attention to the foundation of your brand when volumes are slower,” he said.

However, refreshes aren’t just a card to play when the going gets tough. Rather, it is important to understand the timing of the brand. Is it tired or outdated?

Mo’Bettahs, for example, which acquired Savory Fund in 2017, underwent a brand refresh about two years ago – about 14 years after its founding. The chain wasn’t in trouble, but consumers were starting to “focus on the brand,” Smith said. Mo’Bettahs was acquired in October by private investment firm Blue Marlin Partners and Dallas-based private equity firm Trive Capital, with Savory retaining a minority stake.

Taco Bell, founded in 1962, has undergone several brand refreshes — some more extensive than others. In 2016, the chain introduced, among other things, a new logo (with different shades of purple) for the first time in more than 20 years Elements of “brand development”..

“That’s the thing about refreshes and the capital that goes with them; Some can be a whisper – they clean up and make things a little more sophisticated. Others are massive rebrands,” Smith said. “It’s important to learn what customers like, what the flow is in the restaurant, how they react to menus, chairs and ambience.”

Sure, these things cost money, and money is hard to come by for many operators right now, but that 10 to 20 percent increase justifies the work in most cases. A rebranding exercise also future-proofs the company and differentiates it when competition intensifies.

“This is a good way to make sure you are prepared for the future and for growth,” Smith said. “Focus on your four walls, improve the quality of your stores, get better equipment, freshen things up.”

Recent rebrands and updates

Condado Tacos celebrates its 10th anniversary^Th anniversary this year by “evolving its brand identity and introducing new menu items, all based on guest feedback,” said founder Joe Kahn. The revamp includes new design elements, digital properties and packaging. This also includes “increased protein options, crispier.” and lighter chips and boldly seasoned burritos.”

In September, Smashburger announced a “brand transformation” with a new visual identity and a revamped menu. In a statement, Chief Executive Denise Nelsen said the changes were made “after extensive regional market testing.”

Sometimes rebrands occur not just in response to consumer input or timing, but rather to reflect the evolving nature of a company. Lehigh Valley Restaurant Group, for example, relaunched in November as Lehigh Valley Restaurant Brands, which included the company’s new partnership with Wingstop.

In September, Matt the Miller’s Tavern, a central Ohio staple, became MTM Tavern | renamed steakhouse. Also this month, Mazzio’s Pizza, based in Tulsa, Oklahoma, changed its name to Mazzio’s Pizza and Wings to reflect a greater focus on its wings platform, including the new Kickin’ Wings.

In June, Perkins Restaurant & Bakery changed to Perkins American Food Company. The effort includes a redesign of the restaurant and a refreshed look and logo.

“We look forward to reintroducing ourselves to our guests and showing that we have accessible and affordable options, elevated and innovative American classics, and a staff that goes above and beyond,” President Toni Ronayne said at the time. “We are constantly evolving to create new foods and experiences that are relevant to today’s customers.”

Also in June, Blaze Pizza underwent a “brand overhaul,” complete with a new menu and “inventory purpose,” as CEO Beto Guajardo explained at the launch event.

In August, The Habit Burger Grill evolved into Habit Burger & Grill. Dropping the “the” and adding an ampersand has “always been at the core of its identity,” the company said.

“We’re not changing, we’re simply embracing what we’ve always been – an ‘&’ brand,” Chief Marketing Officer Jack Hinchliffe said in a statement. “This simple rebrand is a tribute to our diverse menu, our commitment to fresh, quality ingredients and the connections we have built with our customers and communities over the years.”

Earlier this year, Focus Brands renamed itself GoTo Foods, signaling its transformation into a platform company and positioning itself for whatever comes next.

“GoTo Foods represents a limitless vision firmly rooted in reality as we harness the power of our platform business and look toward a future of endless possibilities,” CEO Jim Holthouser said in a statement.

Of course, such efforts are nothing new. For example, Jamba dropped “Juice” from its name in 2019, while Dunkin’ dropped “Donuts” the same year. Crumbl Cookies became just Crumbl at the end of 2023. But as Smith noted, “Everyone is now focused on their brand – their foundation, the structure and the redesign of the business.” They should be. If you’re not investing in building new restaurants, you should be investing in your brand.”

Contact Alicia Kelso at (email protected)