Cracker Barrel will report its quarterly earnings on Wednesday, giving investors and customers alike a sense of whether the chain is still paying the price for its failed $700 million rebrand fiasco.
In August, the brand unveiled its new logo, which dropped the illustration of a man – “Uncle Herschel” – resting his arm on top of a wooden barrel, a folksy image that has embodied the brand’s Southern hospitality for the last 56 years. Some interpreted the change as an appeal to the woke movement.
The logo change sparked a backlash that wiped over $140 million off the chain’s market value at the height of the crisis as customer outrage and investor unease fueled what became the steepest losing streak in months. Shares are down over 7% year-to-date.
President Donald Trump even weighed in, calling on the chain to return to its roots.
“Cracker Barrel should go back to the old logo, admit a mistake based on customer response (the ultimate Poll), and manage the company better than ever before,” Trump wrote in an Aug. 26 post on Truth Social.
“They got a Billion Dollars worth of free publicity if they play their cards right. Very tricky to do, but a great opportunity. Have a major News Conference today. Make Cracker Barrel a WINNER again,” Trump added.
CRACKER BARREL REMOVES MODERN DECORATIONS, RESTORES ‘OLD TIMER’ SIGNAGE AFTER INTENSE CUSTOMER CRITICISM
Cracker Barrel Old Country Store Inc.
Later that day, Cracker Barrel reversed its plans.
“We thank our guests for sharing your voices and love for Cracker Barrel. We said we would listen, and we have. Our new logo is going away and our ‘Old Timer’ will remain,” the company posted on X.
In May, Cracker Barrel, beloved for its Southern comfort food, front-porch rocking chairs and gift shop filled with knickknacks and old-fashioned sweets, launched an ambitious overhaul of its 660-plus restaurants – an effort that quickly backfired.
The sweeping makeover included “decluttered” dining rooms, a revamped menu and other changes aimed at updating a brand long rooted in nostalgia.
EXCLUSIVE VIDEO: CRACKER BARREL CEO DODGES QUESTIONS AFTER LOGO FLIP-FLOP
CRACKER BARREL EXECUTIVE INSISTS RESTAURANT REMODELS ARE ‘WHAT THE GUESTS ASKED FOR’
Less than a month later, the Tennessee-based restaurant chain announced that it would also halt all alterations of its stores.
“Like any good relationship, sometimes you just need a little tune-up,” Cracker Barrel shared in a Sept. 15 social media post. “We’re going back to the things that made us all fall in love in the first place.”
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