Business
Cracker Barrel Restaurant sign
It’s not this one; people like this one (Jeffrey Greenberg/Getty Images)
identity crisis

Cracker Barrel sinks after unveiling new logo, which some people — including Donald Trump Jr. — really hate

The company’s stock was down more than 12% in early trading on Thursday, as the 56-year-old chain tries to reinvent itself.

Tom Jones

On Wednesday, Southern-themed restaurant chain Cracker Barrel revealed a new, stripped-back logo, as the company presses on with its biggest branding overhaul since it shook things up in 1977. So far, people online have reacted as well as they did to British carmaker Jaguar’s rebrand late last year — that is, not very.

The new, minimalist design leaves the brand name on a plain orange background, chopping out the cartoon barrel that previously sat there, the man leaning against it, and the “Old Country Store” written beneath them. Though a press release from the restaurant says the new logo roots it “even more closely to the iconic barrel shape and wordmark that started it all,” critics aren’t convinced. One X user lamented, “Noooooo they private equity’d Cracker Barrel,” and the US Graphics Company responded, “Each sunrise, farther from God.” Others have taken issue politically as well as aesthetically — Donald Trump Jr. is not a fan.

The market’s view was similarly dim, with CBRL trading down 12% on Thursday.

Cracker Barrel logo: Old Vs. New
Cracker Barrel

The logo refresh builds on revamped restaurant and store interiors announced last year, in addition to a new fall menu and free side promotion this weekend. It also comes amid a bit of a moment for the casual dining industry more widely, with Americans increasingly viewing casual chains as the value option — though how well positioned Cracker Barrel is to make the most of that appetite is another question.

Cracker Barrel revenues chart
Sherwood News

Though annual revenues reached a record $3.47 billion last year, sales haven’t grown quite so healthily as they had for the company serving up “Hashbrown Casserole Shepherd’s Pies” and “Uncle Herschel’s Favorites.” From 1994 to 2004, Cracker Barrel’s revenues grew more than 270%; in the 20 years since then, they’re up just 46%. Will a new logo reinvigorate sales? So far, it’s not looking good.

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Premium seats help push airlines higher following third-quarter results

Shares of American Airlines are climbing toward the carrier’s best trading day since August 12, when ultra-budget rival Spirit issued its initial warning about its ability to survive. American’s shares are up more than 7% on Friday afternoon.

Investors’ optimism comes a day after American posted a better than expected full-year earnings forecast. In a call with investors, American said that it’s ramping up its premium cabin offerings.

“Our ability to grow capacity in premium markets will be further supported as we take delivery of new aircraft and reconfigure our existing fleet. These efforts will allow us to grow our premium seats at nearly two times the rate of main cabin seats,” said CEO Robert Isom. American’s CFO Devin May said that nose-to-tail retrofits of certain widebody jets will bump the number of premium seats available on those planes by 25%.

Extra legroom has been a boon for major carriers, particularly this quarter. Delta Air Lines said its premium product revenue grew 9% in Q3, compared to a 4% drop in economy seat revenue. Similarly, United Airlines said its premium revenue grew 6%, outpacing economy. Shares of both airlines were up more than 3% on Friday.

Carriers with less exposure to first- and business-class tickets like Southwest Airlines and JetBlue didn’t see the same amount of momentum on the day.

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