Amid slumping sales, Applebee’s has decided to test a customer loyalty program in 160 locations.
DineEquity is the parent company of Applebee’s.
“We are hitting the reset button at Applebee’s,” DineEquity CEO Julia A. Stewart said during a May 1 conference call. “We have to continue to evolve, move faster and think bigger in order to break through and differentiate our brand.”
Customers who sign up for the program can earn free food, discounts, and invitations to store events.
“We’re not commenting beyond confirming the test,” Dan Smith, Applebee’s Communications, told Loyalty360.
In the new rewards program, Applebee’s diners provide their phone numbers as an identification to record their purchases when they visit restaurants. They then receive coupons and discounts delivered via email or on the Perks website.
DineEquity has about 3,600 restaurants worldwide.
Stewart said DineEquity, which also owns the IHOP brand, wants to achieve operational excellent while “keeping our restaurants relevant.”
Applebee’s, the nation’s largest casual dining chain, plans to place tablets at every table in every one of its U.S. restaurants by the end of 2014. Folks can use the tablets to pay whenever they want and order things like appetizers, desserts or even play video games.
The company announced in December it would add 100,000 tablets for the casual dining chain’s 1,800 locations. After some technical difficulties in the initial deployment, it has just started the rollout for a group of 100 to 200 stores.
Applebee’s same-store sales decreased half a percent during its fiscal first quarter.
“At Applebee’s, we are conducting a comprehensive assessment of the brand, with the goal of achieving consistent and positive same-restaurant sales and traffic,” Stewart said. “We have the foundation to build momentum at both brands and maintain our commitment to create additional value for our shareholders.”