Family operators unveil new arsenal of weapons; established family operators like Denny's, Shoney's, IHOP and Bob Evans rapidly are making the transition from their breakfast and no-frills ambience by adopting a more contemporary appearance and targeting all three meal dayparts

Nation's Restaurant News, June 29, 1992 by Bill Carlino

by Bill Carlino

Shaking their static image, family restaurants are striving to wean traffic away from their casual-themed competitors with everything from sleek, new unit prototypes to an influx of new lunch and dinner menu items.

Established family operators like Denny's, Shoney's, IHOP and Bob Evans rapidly are making the transition from their heritage of breakfast and no-frills ambience by adopting a more contemporary appearance and targeting all three meal dayparts.

Traditional morning menu staples like eggs, sausages, hash brown potatoes and oatmeal are now being augmented by such eclectic lunch and dinner selections as T-bone steaks, Oriental stirflies, barbecue ribs and pasta combination entrees.

Bob Evans Farms, a 268-unit family operator based in Columbus, Ohio, has boosted dinner revenues to about 47 percent of total sales through new menu promotions -- most notably the introduction of ,Daily Dinner Specials," a series of weekday evening entrees priced at $5.95.

"Lunch and dinner continue to present a tremendous growth opportunity in this category," explains Roger Williams, group vice president of marketing for the Columbus, Ohio-based operator. "Our goal is to hike dinner business by at least 10 percent."

In May, Bob Evans launched an array of new products, including corn-onthe-cob, fresh-squeezed lemonade, chicken Monterey, barbecue ribs and pound cake dessert topped with fresh strawberries and ice cream.

"Our business, like most others in the industry, is largely determined by heavy users," Williams explains. "Our strategy is to give those people a reason to stay heavy users."

In addition, the chain has opened a total of 20 units since the beginning of the year, including 14 Bob Evans restaurants, its Cantina Del Rio casualthemed Mexican dinner house and five Bob Evans General Stores -- the company's three-in-one concept featuring a restaurant, bake shop and gift concession stand.

Bob Evans also has embarked on a store remodeling effort, retrofitting existing units with a more updated look, featuring a lighter interior color scheme. However, Williams says the restaurant's exterior will still resemble the company's trademark red farmhouse.

IHOP pushes for sales beyond breakfast

Another family operator that has mounted a campaign to broaden its meal roots beyond breakfast is the Glendale, Calif.-based IHOP Corp.

The 500-unit operator, for whom pancakes represented the cornerstone of its menu since the chain was founded in 1958, not only has abbreviated its name to an acronym from its former International House of Pancakes incarnation but also has launched menu items that target other dayparts.

"What we discovered as a result of consumer research is that customers who weren't regular users knew us only for pancakes rather than a broad-based family restaurant," says Steve Pettise, executive vice president of marketing for IHOP. "So we've undertaken a major change in positioning strategy."

The most dramatic of IHOP's new menu highlights was the introduction of 12-ounce and 16-ounce T-bone steaks, available with eggs as a breakfast entree or with a soup, salad and a choice of potato during lunch and dinner. In addition, the chain added a turkey breast filet and a turkey breast sandwich duo.

The company also raised $31 million via an initial public offering and introduced the country to "regular guy" Cliff Beemis as its new television spokesman.

As an added customer enticement, IHOP is rolling out a new remodeled look to accompany its eclectic fare. Cosmetic changes include increasing its seating capacity to 154 from its usual 110-chair average. The new IHOP building will feature more booths, a mansard roof and a more angled exterior than its traditional A-frame facade.

Shoney's aims for lunch, dinner patrons

Boosting lunch and dinner customers is a target squarely in the strategic cross hairs of the Nashville, Tenn.-based Shoney's.

To lure that demographic, the 824unit family restaurant stalwart of the South has rolled out two separate portion sizes of top sirloin, a chicken and shrimp combination and a series of "homestyle" dinners like meat loaf, catfish and country-fried steak.

According to Steve Sanders, division president of Shoney's, the chain is gearing to launch a series of pasta dinners, entree salads and "Summer Sollups"-- a new menu line that includes burger baskets and barbecue ribs and chicken.

"We're not taking a cookie-cutter approach to our menu," Sanders states. "We're going to become progressive and exhibit a willingness to change if customer needs dictate that we do."

Sanders says Shoney's marquee project this year, however, has been the implementation of its "Project 85," a QSC program designed to maintain the weekly mystery shopper's scores above the 85-percent level.

The company also is covertly developing a new Shoney's prototype, which will depart from the chain's traditional brown-shaded exterior and striped awning facade to present a more updated appearance complete with a stucco exterior and an upgraded decor package.