Support NeoGAF

[XiaNaphryz]

Following up on the BK record increase earlier, several other chains are also reporting greater than average sales (industry average is 2.3% according to NPD).

IHOP reports highest sales increase in decade:

DineEquity Inc. upgraded its fiscal 2015 guidance for IHOP on Wednesday after reporting the strongest quarterly sales increase for the family-dining brand in more than a decade.

IHOP’s domestic systemwide same-store sales climbed 6.2 percent for the June 30-ended second quarter, chalking up a two-year increase of 9 percent.

As a result, the company now expects same-store sales for the year to increase between 4 percent and 6 percent at IHOP. Earlier projections were for an increase between 2 percent and 5 percent.

For IHOP it was the ninth consecutive quarter of positive sales.

Stewart credited promotions of the Summer Stacks pancakes and the return of Brioche French Toast, along with a new menu design rolled out in June that emphasized food freshness and included more photos.

During the quarter, IHOP also rolled out a new smiley logo — the first logo update in more than two decades — and a related “Summer of Smiles” marketing campaign that included the brand’s 57th anniversary celebration on July 7 with the offer of a short stack of pancakes for 57 cents.

Marketing during the quarter also focused on IHOP’s breakfast-all-day menu. “Seventy percent of Americans wish restaurants would serve breakfast all day long,” said Stewart. “IHOP has been doing that for almost 57 years.”

Breakfast now accounts for more than 60 percent of total sales across all dayparts at IHOP, she added.

Del Taco 2Q sales rise 6%

Del Taco Restaurants Inc. said that its sales and profits both grew in the second quarter in its first report as a public company this week.

Same-store sales for the Lake Forest, Calif.-based chain rose 6 percent in the quarter ended June 16. On a two-year basis, which factors out one-time impacts such as weather, same-store sales are up 10.8 percent.

Net income for the quarter was $4.6 million — a considerable improvement over the $100,000 loss the company reported in the same period a year ago.

“Our strong fiscal second quarter results further position us for an exciting year,” CEO Paul Murphy said on the company’s earnings call, its first since investors approved Del Taco’s Reverse merger with Levy Acquisition Corp. June 30. That approval took the 550-unit Mexican chain public.

The deal strengthened the chain’s balance sheet at a time when sales have started showing some momentum. Same-store sales have been up for seven straight quarters despite heavy competition.

The acquisition enabled the company to pay off $68.6 million in debt in the quarter, executives said.

With lower debt costs, the company expects to ramp up growth. But the chain does plan to close 13 underperforming locations by the end of the year, likely in the fourth quarter. Del Taco expects to sublease those locations, reducing its total rent expense.

Unlikely fast-food restaurants are killing the rest of the industry

After years of declining business, Arby's and Burger King are coming out on top.

Arby's just reported same-store sales growth of 7.6% compared with last year's second quarter.

Burger King's sales are up 7.9%.

Both restaurants' sales growth far exceeded the industry average of 2.3%, according to NPD Group.

Executives say business is booming thanks to its "We've Got the Meats" marketing campaign and successful redesign of stores. The company has reported same-store sales growth for 19 quarters.

"It's been a process," Arby's CEO Paul Brown told Business Insider in February. "We stepped back and made a conscious decision to differentiate ourselves in the marketplace.

Arby's has the food quality of fast-casual restaurants but the price and convenience of fast food, Brown said.

This has allowed the brand — which has nearly 3,000 stores — to reach fans of both categories.

The brand slow-cooks and hand-slices its roast beef for sandwiches every day. Arby's also offers a variety of deli sandwiches.

"We're in a unique position because consumers perceive our food as high quality, but we are routinely priced below fast-casual competitors," Brown said. "This gives us an expanded base of customers."

In two years, Arby's has added just one new item to its menu, the beef brisket, Brown said.

The company says it keeps things exciting by retooling the meats, cheeses, and breads it already has into new combinations.

This helps prevent food waste and protects workers from becoming overwhelmed.

Focusing on the core product has benefited Arby's when McDonald's overloaded menu is said to be hurting business.

McDonald's same-store sales fell 0.7% in the second quarter.

 

[old]

Arby's has a good breakfast offering and the coffee is pretty good too.

 

[Escape Goat]

IHOP is fantastic. Its hard to go wrong in their menu. I want blueberry pancakes now with a side of bacon now. Grrrr

 

[many places]

People love fast food.

 

[old manatee]

That's full-menu all-day breakfast for you.

 

[rpmurphy]

I haven't seen many Arby's coupons lately in my mail. Sucks, because I wouldn't go there otherwise.

 

[Fracas]

Breakfast food is hitting the top.

His will be done.

 

[LostMyNarbles]

At first I thought it was quality competition that was hurting McDonald's, but after the report by BK and now this I can't help but wonder what their future is going to be like.

 

[Goro Majima]

At first I thought it was quality competition that was hurting McDonald's, but after the report by BK and now this I can't help but wonder what their future is going to be like.

I kinda wonder if people are just burnt out on McDonald's. It's been a while since I was running down a list of fast food places in my head and picked McDonald's over all of them with so many choices out there.

Arbys is one of those places people forget about so it never sounds that awful when people suggest it.

 

[x Power Pad Death Stomp x]

I like Arby's well enough, but the ones around here are expensive as hell. 15$ after tax for a "value" meal? No thanks.

 

[mreddie]

Stoners and drunk people?

 

[slyfox]

Whats the best thing to get at IHOP? I'm visiting the US and don't really have a clue.

 

[akira28]

I just came to this thread to say Fuck McDonalds.

Get rid of the 420 special? get rid of dollar nuggets? You are useless to me. Your breakfast hours are also completely inconvenient.

Whats the best thing to get at IHOP? I'm visiting the US and don't really have a clue.

Breakfast sampler. Full on American breakfast.

(smuggle in your own pure maple syrup though.)

 

[Aurongel]

Hmm, seems like breakfast options and direct McDonalds replacements are on the rise across the board.

 

[makingmusic476]

Arby's to up their forecasts upon Jon Stewart's retirement.

 

[KingBroly]

Their Waffles must be really good.

Spoiler

No seriously, how are the waffles?

 

[perfectchaos007]

Del Taco tried to bring back their franchise back to Houston, but the location failed in a matter of months. Too much competition in our market for them to survive...unfortunately.

 

[Poodlestrike]

Dammit, I can't find that SMBC graph joke that correlates misery to Arby's visits.

Anyway, place is awful.

 

[Dead]

Del Taco tried to bring back their franchise back to Houston, but the location failed in a matter of months. Too much competition in our market for them to survive...unfortunately.

Yeah I noticed it was shut down the other day

Dont think I went in there even once.

 

[perfectchaos007]

Yeah I noticed it was shut down the other day

Dont think I went in there even once.

When you have Chachos just down the road....its difficult

 

[Log4Girlz]

Whats the best thing to get at IHOP? I'm visiting the US and don't really have a clue.

Make a thread once you've visited. IHOP is nasty and I want to hear about how disappointed you are in us for recommending anything.

 

[fredrancour]

Increasing success for Arby's conclusively settles all future religion threads for the GAFOT in the future, imo: Arby's cannot be accidental. The Creator exists, and attempted to punish us, but found even He did not comprehend our depravity, and He threw his hands up and walked away afterwards.

Spoiler

Or maybe Applebee's was plan B, and then he gave up after our ability to fetishize misery rose to that challenge too.

 

[ZeroRay]

Had IHOP twice this week.

Hmm...guess whatever they're doing is working.

 

[GiantEnemyGoomba]

IHOP is so good it's ridiculous. Double chocolate pancakes, pancakes with cinnamon roll filling/icing, bananas foster brioche French toast. I'm drooling just thinking about it.

 

[Admiral Woofington]

I'm so hungry I could eat at McDonalds

 

[Zeus Molecules]

Yeah McDonalds just needs to bring back a decent dollar Menu.