Efforts include a systemwide upgrade of operations, including better training of team members in both front and back of the house. In December, Applebee’s chief operating officer Sanjiv Razdan said the chain was testing a new prototype design, as well as upgrades to the bar and enhanced use of technology.
But IHOP has offered breakfast all day for 56 years, and Stewart said the opportunity is to capitalize on that consumer desire for pancakes at dinner with menu innovation and by looking for ways to create efficiency, like carside to-go service that allows diners to avoid waiting in a drive-thru line. DineEquity has also been working toward more efficient operations overall with the consolidation of brand support centers at the Glendale headquarters, which Stewart said would drive better collaboration and synergies between the two brands. The company is accelerating the pace of development for both brands domestically and internationally, looking for both traditional and nontraditional opportunities, she said.

In guidance for fiscal 2016, DineEquity expects domestic same-store sales to range between negative 2 percent and positive 2 percent at Applebee’s, and to increase between 1 percent and 4 percent at IHOP. Applebee’s franchise operators are expected to develop between 35 to 45 new restaurants in 2016. 31-ended fourth quarter, which was the 11th consecutive quarter of positive results for the family-dining chain.
The menu is being streamlined to improve kitchen consistency, and a new pipeline of menu offerings will be revealed in the spring, Stewart said. About one-quarter of the chain’s 1,600 restaurants are expected to be remodeled this year.

And DineEquity continues to explore a possible acquisition of a third brand, though there was no news on that front.

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