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The Wall Street Publication > Blog > Lifestyle > Contained in the Applebee’s-IHOP combo restaurant mannequin that is set to broaden within the US
Lifestyle

Contained in the Applebee’s-IHOP combo restaurant mannequin that is set to broaden within the US

Editorial Board Published August 12, 2025
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Contained in the Applebee’s-IHOP combo restaurant mannequin that is set to broaden within the US
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Dine Manufacturers CEO John Peyton on the Applebee’s-IHOP combo eating places.

Dine Manufacturers’ newest technique goes past menu revamps, restaurant redesigns and social media campaigns, in line with its CEO John Peyton.

As an alternative, the corporate is targeted on strategically combining its morning-focused model, IHOP, with its evening-centric one, Applebee’s. The aim is to create a dual-branded mannequin that permits it to seize and serve prospects all through each daypart – breakfast, lunch, dinner and late night time – in a approach that, as Peyton places it, “no other restaurant company can.”

By merging Applebee’s and IHOP underneath one roof, Peyton advised FOX Enterprise that it had created a extra worthwhile dual-branded mannequin, which it now plans to broaden nationwide. 

The corporate first launched the idea abroad and already has 20 areas open throughout the Center East, Mexico, and Canada. Dine Manufacturers has seen great success with its dual-branded Applebee’s and IHOP location in Texas that opened earlier this yr, and it’s trying to take a look at the idea in further U.S. markets.

The primary U.S. joint Applebee’s-IHOP restaurant is situated in Seguin, Texas. (Dine Manufacturers World)

Dine Manufacturers goals to have 10 to 12 dual-brands by the top of the yr, although there shall be “significantly more than that in 2026,” Peyton mentioned. 

FIRST IHOP-APPLEBEE’S JOINT RESTAURANT COMING TO US: WHERE AND WHEN IT OPENS

Peyton described the dual-branded restaurant as a “beautiful integration” of the 2 ideas. It encompasses a single kitchen, cross-trained front- and back-of-house employees, and a streamlined, mixed menu. The menu contains 105 of the top-selling gadgets from every model.

With the brand new mannequin, Peyton mentioned franchise homeowners at the moment are making two to 3 instances extra money from the mixed Applebee’s-IHOP areas in comparison with what they beforehand earned from a single IHOP. He mentioned that with each additional greenback of revenue, about 40 cents finally ends up as pure revenue. 

Peyton attributed a part of the dual-model’s success to the truth that prospects order each breakfast and dinner gadgets all through the day. That added flexibility is boosting total gross sales and rising the visibility of the Applebee’s model.

An inside of the first Signage for Applebee's and IHOP dual branded restaurant in Seguin, Texas.

The within of the primary Applebee’s-IHOP dual-branded restaurant in Texas. (Dine Manufacturers World)

The transfer comes as Dine Manufacturers goals to achieve a aggressive edge in an business that’s nonetheless grappling with pandemic-era debt, slowing foot site visitors, labor shortages and rising prices. A rising variety of restaurant manufacturers have both been attempting to reinvent themselves with issues resembling slimmer and new menus, modified appearances and a brand new model voice following years of economic difficulties. 

Chains together with Chili’s, TGI Friday’s, Denny’s, Ruby Tuesday, Rubio’s Coastal Grill and Crimson Lobster, have both shuttered areas or filed for cover in chapter courtroom to handle the debt accrued, notably in the course of the pandemic.

APPLEBEE’S BONELESS WINGS, $1 MARGARITAS A PROFITABLE STRATEGY IN TOUGH ECONOMY: DINE BRANDS CEO

One notable problem the restaurant business faces is determining find out how to deliver again cost-conscious prospects as they cope with increased costs and financial uncertainty, which have made them extra selective about spending.

Whereas the corporate noticed encouraging indicators, together with a rise within the variety of higher-income company and a rise in its most loyal prospects at Applebee’s throughout the latest fiscal quarter, Peyton acknowledged that prospects are nonetheless feeling the pinch.

Signage for Applebee's and IHOP dual branded restaurant in Seguin, Texas.

Signage for the Applebee’s and IHOP dual-branded restaurant in Texas. (Dine Manufacturers World)

Each IHOP and Applebee’s core prospects earn lower than $100,000 a yr, in line with Peyton. 

“We’re seeing some encouraging progress, but certainly, you have to fight for every dollar that the guests choose to spend outside their house,” Peyton mentioned. 

CLICK HERE TO READ MORE ON FOX BUSINESS

Whereas Peyton mentioned this new idea is a “significant growth engine for both brands,” it will not totally exchange its previous standalone Applebee’s or IHOP areas. 

“There’s room for both. It depends on the market, it depends on what restaurants are already in that market and what the competition is,” Peyton mentioned. “There are some markets that make a lot of sense for dual brands and there are markets where Applebee’s or an IHOP can do $5 million or $6 million in revenue and don’t mess that up.”

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