Apple bees pitch brief

Applebee's: New Media Project Work.

1. NEW BUSINESS PITCH BRIEF
APPLEBEE’S
MEDIA PROJECT WORK

2. OVERVIEW
Applebee's recently confirmed that it is parting ways with their advertising agency of three years, CP+B (a member of
publicly traded MDC Partners).
The restaurant chain is ending its relationship with the MDC Partners agency as "part of broad plans to transform the
marketing and advertising direction of the brand," the company said in a statement. It wasn't immediately clear what that
would mean for its marketing, but a sizeable overhaul can be expected.
"CPB has been a valued creative partner during our three years together, but we're taking the Applebee's brand in a new
direction and believe our plans would benefit from fresh thinking and new approaches," said Darin Dugan, the chain's senior
VP-marketing and culinary.
Applebee's does not appear to be releasing an RFP or launching a formal review. Instead, a spokesperson said that "the
company will discuss the assignment of its account with a select few potential agency partners" when its contract with
Crispin ends in February 2016.
Applebee's spent $165.4 million in U.S. measured media last year, according to Kantar Media.
The question is: How can your agency get a slice of that Blue Ribbon Brownie?

3. BACKGROUND SUMMARY
The Applebee's concept focuses on casual dining, with mainstream American dishes such as chicken, steak, pasta, seafood,
and "riblets" (Applebee's signature dish). All Applebee's restaurants feature a bar area and serve alcoholic beverages (except
where prohibited by law). Their signature offer is the “2 for $20” menu, first introduced in 2009.
Each Applebee's restaurant is designed as an all-American, retro-verging-on-nostalgic family-friendly establishment
featuring high quality, moderately-priced food, alcoholic and non-alcoholic beverage items, table service and a comfortable
neighborhood atmosphere.
Applebee's main competition in the casual dining segment are national and multi-state restaurant chains such as Chili's, T.G.I.
Friday's, Olive Garden, Red Lobster and Buffalo Wild Wings, as well as fast-casual restaurant chains. In addition, there are
many independent restaurants across the country in the casual dining segment.
Clearly, Applebee’s faces stiff competition with very few differentiators between the top contending restaurants. Julia
Stewart, Chairman and CEO of DineEquity Inc. (which also owns IHOP along with Applebee’s), has said “We simply have to
move faster, think bigger and differently. . . We’re going to change the story at Applebee’s.” Stewart sees their challenge as
setting themselves apart from the casual-dining crowd with bold, aggressive changes.http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s
http://nrn.com/same -store -sales/ihop-shines-dineequity-focuses-applebee -s

4. SALES OF CASUAL DINING RESTAURANTS IN 2013
4.5%
3.8%
3.6%
2.3%
1.69%
1.62%
1.4%
1.2%
2.4%
SALES OF SELECTED CASUAL-DINING RESTAURANT CHAINS IN THE US IN 2013 (in billion U.S. dollars)
APPLEBEE’S
Chili’s Grill & Bar
Olive Garden
Outback Steakhouse
Red Lobster
The Cheesecake Factory
TGI Friday’s
Texas Roadhouse
Ruby Tuesday
Buffalo Wild Wings
0 1 2 3 4 5
1.1%
In 2013 Applebee’s was leading the market of casual dining restaurants with sales outperforming the 2nd ranked Chili’s Grill
& Bar by 16%. More recently, DineEquity Inc. reported that Applebee’s same-store sales took a downward turn in the third
quarter of 2015, possibly prompting the reconsideration of marketing strategies.

5. Buzz Score Ranking in 2015
LEADING CASUAL DINING RESTAURANT CHAINS IN THE US IN 2015, RANKED BY BUZZ SCORE
Chili’s Grill & Bar
Chili’s Grill & Bar
Olive Garden
APPLEBEE’S
Red Lobster
0 2.5 7.5 12.5 17.5 22.5
17.6%
16.7%
15.8%
14.6%
13.7%

6. Not JUST for families ANYMORE
Traditionally, Applebee’s target segment has been families; but lately the brand is moving toward a younger crowd willing to
visit a different version of Applebee’s.
In 2012, Applebee’s launched a new concept called “The Bee’s,” which reserved its family-friendly vibe for daytime hours, but
aimed to attract a younger crowd of bar-goers at night. Their most recent advertisements rebrand the restaurant as more
of a Bar & Grill aimed at sports fans, young couples, singles, and co-workers looking for their Happy Hour.
It’s a considerable pivot compared with just a few years ago when Applebee’s expanded their kids’ menu and commercials
featured multiple generations enjoying meals together.
Today’s Applebee’s has a new “Pub Diet” - a healthier version of pub-style favorites - and an expanded bar menu titled “Apps
& Snacks” which features upscale and innovative appetizers like Brew Pub Pretzels & Beer Cheese Dip and Kobe-Style
Meatballs. It’s a calculated move to appeal to the “foodie” Millennial market .http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/
http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/
http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/
http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/
http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/ http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/
http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/
http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/
http://herecomestheshrink.com/2015/04/18/applebees-buzz-o-families/ http://www.pastemagazine.com/articles/2015/06/what-exactly-is-applebees-done-right.html
http://www.pastemagazine.com/articles/2015/06/what-exactly-is-applebees-done-right.html
http://www.pastemagazine.com/articles/2015/06/what-exactly-is-applebees-done-right.html
http://www.pastemagazine.com/articles/2015/06/what-exactly-is-applebees-done-right.html
http://www.pastemagazine.com/articles/2015/06/what-exactly-is-applebees-done-right.html

7. Bar-goers in the 25-34 age range are mostly married or in relationships, college educated males,
without children, who make a middle-class income.
AUDIENCE ANALYSIS
Target Audience: 25-34 bar goers
STATUS
Married (45%)
INCOME
$40K - $70K (48%)
GENDER
Male (58%)
FAMILY
Without Kids (66%)
AGE
25-34 (100%)
EDUCATION
College (71%)

8. Top 10 Psychographics
The top psychographic traits of this audience clearly indicate a party-oriented audience who appreciate aesthetics and arts, as
proven by the high relevance of Art Appreciators, Design Lovers and Readers.
Their hobbies, aside from bar attendance, are more outdoor oriented (travel, outdoor activities and playing sports, rank
highest). Food and Music, central elements in “bar & grill” places, are very popular with this target, as shown by the
psychographics. The sub-segmentation of the Foodies trait indicates a target looking for a balance between nutritional values
and enjoyment (Thoughtful eaters). While deep diving into musical behaviors we discovered that this group doesn’t just enjoy
music - they play their own music and tend to be involved in live music scenes. This is a group of educated, creative, financially
solvent young men who want more from their dining experiences than basic bar food and lackluster pop music in the background.
They, like the larger Millennial market, value unique experiences.
POPULARITY
101
142
51
72
17.97%
REACH
0.99% 9.15% 27.51% 37.81%
198
PARTY GOERS
FASHION LOVERS
BEAUTY & WELLNESS
AWARE
DESIGN LOVERS
THE SHELDONS
MUSIC LOVERS
ENTERTAINMENT
JUNKIES
POLITICALLY AWARE
PUBLIC FIGURES FOLLOWERS
TECHIES
PET LOVERS
BUSINESS PEOPLE
SPORTS LOVERS
OUTDOOR
ENTHUSIASTS
ART APPRECIATORS
MOTOR LOVERS
FOODIES
READERS
HOME DECORATORS
AND DIYs
TRAVELERS
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
7
8
9
10
1 Party Goers
Art Appreciators
Outdoor Enthusiasts
Travelers
Motor Lovers
Sports Enthusiasts
Foodies
Music Lovers
Readers
Design Lovers
37.81%
6.46%
2.75%
5.43%
11.13%
22.90%
23.74%
28.34%
20.29%
8.28%
198.89
166.19
154.55
146.73
133.45
121.09
118.67
102.56
106.72
109.96
184.87
144.4
130.19
130.01
127.47
126.84
125.65
117.02
115.89
109.07

9. Top 10 Psychographics
sports
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
1 Athletes
Team Sports Fans
Adrenaline Junkies
Addicted to Sport
Fans of Fighting
Individual Sports Fans
3.56%
8.60%
1.90%
5.36%
2.68%
1.43%
105.68
87.08
87.4
72.85
78.03
64.34
99.41
94.16
83.03
80.64
79
65.94
music
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
1 Musicians
Radio Listeners
Top 40
Dancers
Metalheads
Background Beats
Signature Soundtrack
Old Stylers
2.13%
5.87%
8.80%
1.68%
0.93%
4.31%
7.14%
1.63%
168.39
153.16
91.26
61.14
60.63
33.48
32.79
31.75
137.73
134.92
97.15
64.75
61.15
52.69
56.32
44.97
7
8
foodies
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
1 Alcohol Connoisseurs
Thoughtful Eaters
Home-Chefs
Fast Food Fans
Self-Conscious Snackers
Food-To-Go
44.53%
0.46%
0.75%
6.79%
0.59%
0.44%
190.73
127.88
91.32
38.81
36.8
21.08
181.61
102.63
80.47
59.91
43.01
31.24

10. INSIGHT
The media usage and the advertising strategy spectrum indicate printed media is the most relevant way to grab this
audience’s attention. The most popular Magazines are those that revolve around this group’s hobbies (craft beers,
outdoor sports/activities, tattoos), while they use online publications as news sources for local events and
activities.
Digging further into their media usage, we come to see how printed media like Magazines and Newspapers,
supporting the reader psychographic trait, are most relevant. Radio resonates with the music savvy
characteristic of this target, and comes in 3rd, while wide-reaching media like TV and Websites are slightly less
relevant for this segment.
The most relevant activities this group engages in online are related to travel, motors, news/search engine
(where they find websites regarding local activities and events).
MEDIA USAGE

11. TOP MEDIA
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
1 Magazines
Newspaper
Radio
Website
TV
Apps
40.05%
8.50%
30.47%
83.91%
39.04%
32.19%
141.51
153.70
129.20
106.25
107.25
41.60
147.37
138.46
135.66
134.64
124.20
77.95
REACH relevance
1005002.50%2%1.25%0.50%<0.01% 130 160
DRAFT Magazine
All About Beer Magazine
Craft Beer and Brewing
Outside Magazine
Rat Rod Magazine
Powder
Inked Magazine
Field & Stream
Inked Girls Magazine
Street Chopper
FAVORITE HOBBY MAGAZINES
MEDIA USAGE

12. TOP ADV STRATEGY
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
1 Print Ads
Outdoor Ads
Tv Ads
Online Ads
Unconventional Ads
2.91%
1.27%
3.68%
7.96%
2.49%
74.05
54.05
34.33
25.61
12.12
76.9
58.4
52.09
52.48
34.57
FAVORITE WEBSITE
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
7
8
9
10
1 Travel
Motor
News and Search engines
Technology
Music , Entertainment
Food
Green
Sport
Education and Culture
Business
16.44%
6.36%
26.56%
8.35%
51.03%
21.47%
4.34%
17.39%
23.63%
4.20%
139.77
143.87
117.52
135.67
100.88
117.12
137.39
114.96
109.26
132.59
135.63
129.4
126.28
126.21
123.6
123.46
122.02
119.7
119.32
118.57
MEDIA USAGE

13. INSIGHT
Given the “musician” proclivities of the audience, music has the potential to be a powerful draw. Featuring local
bands on the playlist as well as hosting live music events would be especially advantageous.
Applebee’s could also experiment with handing over the mic to its talented target audience once in awhile. Along with classic
karaoke nights, it could be interesting to give the attendees the opportunity karaoke with a live band, for a more immersive
experience. Another way to stimulate them could be play their own produced songs in the bar, selecting the songs through
online contests able to generate buzz.
Applebee’s target audience places a lot of importance on music, which means knowing their tastes is vital to ensure a positive,
memorable experience. Indie and alternative music is on top for both relevance and reach, while other rock branches follow
with lower reach and relevance index scores.
Other than the rock styles, this target show also interest toward more danceable genres like dance and electronic which
gathers 23% of the audience.
In addition to playing the right tunes, good beverage selection is obviously important to them. As we saw, craft beers are a sure
attraction for the audience and having some of the most popular brands would become a certain plus.
Note:
Craft beer magazines make up 3 of the top 10 favorite magazines for this group, indicating that Applebee's would do well to
partner with some of the favorite craft brands of this demographic, like Stone Brewing Co. and Dogfish Head, along with each
restaurant partnering with its local craft brewers.
In terms of food preferences, this group of young men is unusually health-conscious, with am emphasis on organic and natural
foods, as well as a passion for ethnic foods. Applebee’s is right on target with its Sriracha shrimp and wonton tacos.
BUSINESS OPPORTUNITies

14. TOP MUSIC GENRES
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
7
8
9
10
1Indie and Alternative Music
Folk and Traditional Music
Punk
Country Music
Metal
Classic Rock and Oldies
Dance and Electronic Music
Hard Rock and Progressive
Jazz and Blues
Reggae and Caribbean Mu...
44.00%
22.79%
20.36%
27.05%
18.32%
38.58%
23.67%
20.93%
15.55%
7.43%
142.24
144.95
142.85
129.4
126.95
112.32
119.29
112.97
106.92
110.96
149.13
142.69
140.02
134.35
128.25
127.42
126.03
120.4
113.14
108.78
REACH popularity
1005007%5.50%4%2.50%<0.01% 150 200
Founders Brewing Co.
Left Hand Brewing Company
Odell Brewing Co
Lagunitas Brewing Co
Anchor Brewing Company
Stone Brewing Co.
Dogfish Head Beer
Sierra Nevada
Goose Island Beer Co.
Magic Hat Brewing Company
TOP 10 BEERS
BUSINESS OPPORTUNITies

15. BUSINESS OPPORTUNITies
OTHER KIND OF FOOD
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
7
8
9
10
1 Cholula Hot Sauce
Sriracha Rooster Sauce
Frank's RedHot
Huy Fong Foods, Inc.
Tabasco
Tapatío Hot Sauce
OLD BAY® Seasoning
Thai food
Mexican food
Texas Pete Hot Sauce
0.29%
0.28%
0.85%
1.02%
0.62%
0.25%
0.45%
0.11%
0.09%
0.13%
189.28
188.59
170.16
163.16
162.46
162.02
156.38
164.22
160.58
155.99
141.69
141.05
133.7
129.94
126.98
122.91
121.52
121.48
118.6
116.67

16. INSIGHT
Printed ads with eye-catching artwork in newspapers and magazines could leverage the artistic leanings
indicated by the art and design ranking interests of this audience.
We drilled down into their art preferences to pin down some ideas about which kind of visual content attracts
them most.
On top by relevance we find “Mondo,” an art gallery frequently featuring art inspired by film, television and
comics. Other frequently-followed art sites reveal a preference for photographers whose style is more
unconventional, like street-art and lomography to mention a couple. Many of these artists have collaborated or
are currently collaborating with music artists.
CREATIVE INSIGHTS

17. CREATIVE INSIGHTS
top visual art & design
# NAME REACH POPULARITY RELEVANCE
2
3
4
5
6
7
8
9
10
1 Mondo
Offerman Woodshop
Pop Chart Lab
Jeremy Fish
Neil Krug
Fucked Up
Moshik Nadav Typography
Spoke Art
This Wild Idea
BuzzFeed DIY
0.17%
0.14%
0.06%
0.18%
0.07%
0.10%
0.06%
0.23%
0.13%
0.29%
194.14
190.37
193.49
186.02
190.41
187.82
187.03
179.67
181.57
175.69
142.86
139.7
139.27
137.68
137.59
137.01
135.19
134.33
133.67
132.62
POPULARITY
184
189
175
180
0.17%
REACH
0.06% 0.12% 0.23% 0.29%
194
THIS WILD IDEA
SPOKE ART
BUZZ FEED DIY
MOSHIK NADAV
TYPOGRAPHY
OFFERMAN
WOODSHOP
POP CHART
LAB
FUCKED UP
JEREMY FISH
MONDO
NEIL
KRUG

18. If you need
more insights
on this target and
its competitors
click HERE
or drop us a line
[email protected]
We are here to help!http://www.cubeyou.com/contacts
http://www.cubeyou.com/contacts
http://www.cubeyou.com/contacts
http://www.cubeyou.com/contacts
http://www.cubeyou.com/contacts