Case Study: Applebees vs. Buffalo Wild Wings


Case Study: Applebees vs. Buffalo Wild Wings

Sticking to what a restaurant or bar does best can be tough for an expanding business. Category leaders strive to maintain a high quality core product and excel in their concept strata year after year. Concepts attempting to be all things to all people run the risk of losing their brand identity. It’s the difference between having one good chef knife or a butcher block full of dull knives. The following brief case study will illustrate the path of one sharp knife versus the dull knife set. Two brands both specialize in average food; one evolves with emerging trends, while the other stagnates. Real examples of this are Applebee’s and Buffalo Wild Wings or BWW.

Applebee’s, began in the early 80s as a casual dining grille and bar. The locations were decorated with local sports gear in order to give the feel of neighborhood bar. The concept saw phenomenal expansion to the point of becoming the largest casual dining chain in the world. Applebee’s for many years rode their train of success relying on a formula of casual dining but gradually shunning interactivity with the community. Buffalo Wild Wings also emerged in the early 80s with the goal of simplicity. They built their reputation around wings and became a category leader. Applebee’s strayed from its core dining concept, adding disparate menu options, and in the process lost focus on being a neighborhood bar and grille Fans and students chose to go neighborhood bar and grills with small, defined menus. Buffalo Wild Wings retained its brand simplicity and diners responded. Additionally, BWW recognized students’ love of sports in tandem with emerging internet technology would lead to a sea change in their business.

The internet age added a new dimension to business paradigms. Fantasy Football, a virtual football league game in existence since 1962- with the aid of internet technology became more accessible to the masses 2000s. The internet streamlined the process of creating leagues, managing teams and inviting friends to participate. Fantasy Football and the internet provided an opportunity for restaurants to invite football fans to visit locations- hold league drafts and watch games. Buffalo Wild Wings recognized the trend and sought to become the local sports bar of choice. BWW’s lighthearted ad campaigns invited fans to watch football, have a beer and eat wings. Conversely, Applebee’s diluted itself by mixing weight management menus with all you can eat ribs.

The good chef knife is BWW; they have low operating cost, regular sporting events to draw in crowds and a strong brand identity. The butcher block of dull knives became Applebee’s. Menu options abound at Applebee’s but their brand became diluted due to the lack of a signature offering. Concepts that lack strong identity run the risk of being sidelined in customer choices. Simplicity is at a premium among an ocean of complex dining concepts. Brands stand a better chance of success if they carve out a niche that can be summed up in the fewest words.

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About this Author

Pat Phelan is a leading industry expert in food and beverage concept development, implementation and operations and is the owner of Leap Hospitality, The Leading Comprehensive Food and Beverage Development Company.