Ryan's ramps up media blitz with $1.7M radio, TV push

Nation's Restaurant News, April 22, 1996 by Jack Hayes

GREER, S.C. -- In a move to broaden its brand identity in major markets, where such competitors as Golden Corral have become aggressive media users, 227-unit Ryan's Family Steak Houses Inc. will spend $1.7 million advertising on television and radio in 1996 -- triple the amount of its commitment last year.

Claiming its 1995 media expenditure, which was five times greater than the previous year's, helped score big sales gains in targeted markets like Atlanta, the company's 1996 advertising blitz will extend to approximately one-third of Ryan's stores.

The company's 1995 fall campaign in Atlanta, which began the last week of September and ended the first week of December, drove sales up by 9.5 percent over 1994 totals in that market.

"Before the campaign began our [20] Atlanta Ryan's were up by only 4 percent for the year," said marketing vice president Ilene Turbow.

"We've come from nothing to what will be this year a sizable campaign," Turbow said, noting that the effort emphasizes brand image and a strong message of value and variety. Another market slated for repeat advertising this year is Charlotte, N.C.

"It's a major step," added chief financial officer and finance vice president Fred Grant, noting that the company plans to open at least 27 new Ryan's this year across its 21-state territory.

Complementing its heightened media effort, Ryan's is doing more in-store marketing with such programs as the Square Meal lunch deal, a $4.99 package offering choice of entree -- sirloin tips, hamburger steak, chicken tenders or chicken breast -- plus salad bar and beverage.

Merchandised with four-color panel displays, the Square Meal lunch deal was first tested in early 1995 and now is offered to all stores. Some 90 Ryan's are using it, Turbow estimated.

"It's making the entree selection a lot more visible, but the bulk of our business is still with the MegaBar," Turbow said. The $4.99 Square Meal matches the lunch price of Ryan's MegaBar.

Grant estimated that MegaBar meals account for more than 60 percent of Ryan's revenue. The MegaBar sees greater customer use during lunch, he added.