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ROBERT SIEGEL, HOST:
Applebee's announced this month that more than 130 of its restaurants will close by the end of the year. The reason - millennials.
AUDIE CORNISH, HOST:
The casual dining chain rebranded itself in the past few years as a modern bar and grill1. Applebee's executive John Cywinski recently told investors2 that the company had hoped the effort would attract a new kind of customer.
(SOUNDBITE OF ARCHIVED RECORDING)
JOHN CYWINSKI: A more youthful and affluent3 demographic with a more independent or even sophisticated dining mindset, including a clear pendulum4 swing towards millennials.
SIEGEL: Applebee's tried to lure5 millennials with dishes like barbecue shrimp6 in a Sriracha lime sauce, chicken wonton tacos and this item.
(SOUNDBITE OF ARCHIVED RECORDING)
UNIDENTIFIED MAN: We dare you - yes, you - to try ham topped with pulled pork topped with bacon. Yep, we double-dog dare you to try the triple hog7 dare you.
CORNISH: That's a pork-ham-bacon sandwich, but that triple pork bonanza8 and the rest of the company's makeover didn't seem to catch on. Sales at Applebee's dropped more than 6 percent from last year. Applebee's executive John Cywinski again.
(SOUNDBITE OF ARCHIVED RECORDING)
CYWINSKI: From my perspective, this pursuit led to decisions that created confusion among core guests as Applebee's intentionally9 drifted from its - well, I'll call its middle America rules and its abundant value positioning.
SIEGEL: In other words, millennials didn't go for it and the regulars got turned off. In fact, Applebee's is not the only big restaurant chain struggling.
JOE PAWLAK: You see very weak results from people like Ruby10 Tuesdays, Fridays and Chili11's as well.
CORNISH: That's Joe Pawlak from Technomic, a food service research firm.
PAWLAK: Consumers are saying that all these people are offering the same food items. The decors are the same and also that prices have become very high in these places.
SIEGEL: So it may be time for yet another new look at Applebee's if they really want to stand out in the crowd. Step one, Applebee's has announced a return to all-you-can-eat specials and an expansion of the popular two-for-20 menu. Mozzarella sticks and chili lime chicken, anyone?
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