Founding father of XX-XY Athletics Jennifer Sey analyzes why prospects rejected the pitch to vary the restaurant chain’s emblem on ‘The Night Edit.’
Cracker Barrel on Wednesday launched its fourth quarter earnings outcomes, however a lot of the eye centered on the restaurant chain’s swift reversal of its controversial emblem redesign that went viral on-line.
The corporate — primarily based out of Lebanon, Tennessee — reported whole income of $868 million, down 2.9% from the identical quarter final yr. The corporate additionally stated that visitors has fallen 8% for the reason that August rollout of its simplified, text-only emblem. Shares tumbled practically 10% in after-hours buying and selling on Wednesday.
On the earnings name, President and CEO Julie Masino acknowledged that Cracker Barrel had underestimated the deep connection prospects really feel towards the corporate’s nostalgic imagery.
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“We wish longtime followers and new friends to expertise the total story of the individuals, locations, and meals that make Cracker Barrel so particular,” Masino advised buyers. “That is why our staff pivoted shortly to modify again to our old-timer emblem and has already begun executing new advertising, promoting and social media initiatives leaning into Uncle Herschel and the nostalgia across the model.”
A Cracker Barrel restaurant in Sterling, Virginia, on Aug. 26, 2025. (Al Drago/Bloomberg by way of Getty Photos / Getty Photos)
Along with the brand reversal, Masino famous that Cracker Barrel has begun changing its 4 modernized check shops again to conventional interiors. Cracker Barrel revealed earlier this month that solely 4 of its 660 eating places have undergone remodels and confirmed that the undertaking is not going to transfer ahead. The up to date design changed the model’s signature Americana décor with a smooth, minimalist look.
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“The suggestions we obtained from our friends in current weeks on our model refresh and retailer remodels has proven us simply how deeply individuals care about Cracker Barrel,” Masino stated, including that new advertising will lean in to Uncle Herschel and the model’s nostalgia. “We thank our friends for sharing their voices and love for the model and telling us once we’ve misstepped.”
Cracker Barrel CEO Julie Felss Masino walks out of an workplace constructing in Brentwood, Tenn., Thursday, Aug. 28, 2025. (Zak Bennett for Fox Information Digital / Fox Information)
Nevertheless, Masino argued that the chain, which has 70,000 staff, has not stored tempo as shopper habits — in terms of meals, journey and expertise — have modified dramatically previously decade.
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“We deeply worth the sturdy emotional connection our friends have, not simply to the old-timer emblem or classic Americana decor, however to the sense of custom and nostalgia these signify,” she stated. “That connection is highly effective, and we acknowledge there are different areas the place we should proceed bettering, particularly in our meals and total visitor expertise. Happily, these had been already a part of our multi-year plan, and we’re shifting ahead with a renewed give attention to each.”
Basic view of a Cracker Barrel Nation Retailer in Nashville, Tennessee, Wednesday, August 27, 2025. (Zak Bennett for Fox Information Digital / Fox Information)
Masino additionally highlighted a number of vibrant spots within the quarter, together with the return of “Uncle Herschel’s Breakfast,” the rollout of a brand new service mannequin often called “The Herschel Method,” and continued momentum in its loyalty program, which added 300,000 members previously 4 weeks.
“There’s a lot to be optimistic about, and our groups are targeted on getting again to a optimistic trajectory,” she stated.
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In August, Cracker Barrel launched a redesigned emblem that eliminated the picture of an old-timer leaning towards a wood barrel — an emblem of the chain’s Southern allure and hospitality for greater than 5 many years. The transfer was seen by some as a nod to fashionable “woke” tradition. The rollout triggered a swift backlash, erasing greater than $140 million in market worth on the peak of the controversy.
