Dive Brief:
- Cracker Barrel’s weekly year-over-year visits declined significantly during the week of Aug. 25 at the height of the controversy over its logo change, according to Placer.ai data shared with Restaurant Dive.
- The chain started the year with traffic down between 5% and 10%, but recovered in early summer, with traffic lagging only 1% to 2% weekly. But during the week of Aug. 25, traffic slid by 5.3%, nearly double the decline from weeks prior.
- Cracker Barrel reverted its logo in late August and ended its remodel program in September when traffic was down 10%, and the chain improved to a 7.2% decline during the week of Sept. 22. This is in line with the company’s expectations that fiscal Q1 2026 traffic will be down about 8%.
Dive Insight:
Cracker Barrel is working to move past its logo snafu. Earlier this month, the chain ended its relationship with Prophet, the global strategic and creative growth consultancy that it worked with for restaurant remodels and the logo redesign. The chain also restructured its corporate leadership.
Last month, activist investor Sardar Biglari also called for the ouster of CEO and President Julie Masino, calling management “worse than mediocre.” Biglari has been critical of the chain for 14 years, and his company lost its eight proxy battle with the chain last November.
Recovery has been slow, however, with traffic still down significantly compared to the summer months. Most of the weeks following its strategic reversal saw traffic slip by the double digits, R.J. Hottovy, head of analytical research at Placer.ai, said in an email.
“The company’s decision to switch back to its classic ‘Old Timer’ logo may be helping to reverse these trends, as our visitation data showed a modest improvement during the final week of September,” Hottovy said.
Cracker Barrel Weekly Year-Over-Year Traffic
Cracker Barrel expects its traffic issues to be partially offset by lower capital expenses over the next few years as it canceled an expensive remodel program. Remodels and rebranding were only one part of the chain’s turnaround strategy, which also includes improvements to the kitchen, menu innovation and guest experience.
The company has been working on improving food quality and efficiencies, and reducing food waste and has invested more in labor and training, which improved turnover rates, Masino said during the company’s most recent earnings call. It also saw positive customer feedback from the return of its Campfire meals during the summer, with items that started at $10.99, she said, adding that the seasonal menu boosted dinner traffic by 1%, the first such increase since fiscal 2019.
