While IHOP’s strategy and execution provide a solid long-term positioning, the brand may need to pivot further towards value to weather the mid-term and possibly long-term economic environment.
unit level trends
Church’s is executing around a well-conceived strategic plan that works well in today’s operating environment so long as its target market can survive the ongoing inflation scare.
Pizza Hut enjoys substantial scale and strong brand equity as the 2nd largest national player in the $1B+ chain pizza segment by domestic system sales. The brand has historically been distinguished by its Pan Pizzas, Stuffed Crust products and fun innovation. Its ongoing repositioning towards a modern delivery concept includes a conversion of dine-in assets to smaller stores optimized for delivery to go with brand upgrades that include: product quality enhancements; stronger value offerings (including national price points); increased national ad spend to support value and its sports sponsorships; delivery speed improvements; and progress with Hut Rewards.
Denny’s unique “America’s Diner” brand positioning provides the promise of everyday value with craveable, indulgent products (comfort food) served around the clock in a friendly and welcoming atmosphere. Its “See You at Denny’s” messaging is designed to prompt consumers to check out the brand’s ongoing makeover which includes a menu overhaul using higher quality ingredients to go with remodeled stores featuring a more comfortable dining space. The chain’s core menu equity reflects: everyday value; LTO innovation; warm, friendly “come as you are” atmosphere; and 24/7 availability.