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A&W Is Redesigning Its Restaurants for the First Time in Years — Here’s How It’s Trying to Avoid What Happened to Cracker Barrel

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Why This Matters

A&W's restaurant redesign aims to blend nostalgic Americana with modern architecture to appeal to both longtime fans and new customers, emphasizing its rich history and handcrafted quality. This strategic approach highlights the importance of balancing innovation with brand heritage to maintain customer loyalty and avoid backlash, as seen with other chains like Cracker Barrel. For the tech industry, this underscores the value of thoughtful branding and customer experience in the evolving restaurant landscape.

Key Takeaways

Opinions expressed by Entrepreneur contributors are their own.

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A&W is reaching back to its roots to shape its future. A new “modern heritage” blends the Americana look of A&W’s original roadside root beer stands and classic diners with contemporary architecture. The restaurants are between 2,200 and 2,800 square feet and seat 40 to 70 guests. The chain will keep its signature orange and brown color scheme and add outdoor seating, according to CoStar.

The fast-food giant has had to tread carefully. Restaurant chains face a real risk when they redesign long-familiar locations: go too sleek, and customers push back. That’s exactly what happened to Cracker Barrel, which had to roll back a logo and interior overhaul after public backlash. Instead, A&W has followed the lead of chains like Pizza Hut, which has been restoring retro touches like Tiffany-style lamps and checkered tablecloths across dozens of locations to capitalize on nostalgia.

A&W has real history to draw on. Founded more than 100 years ago, it’s one of the oldest fast-food chains in the country, with over 850 locations across 35 states and Asia. Its root beer is still made fresh in-house from a 1919 recipe.

“We’re doubling down on the handcrafted quality, genuine hospitality and meaningful connections with the communities we serve,” said CEO Betsy Schmandt.