Applebee’s is one of the largest casual-dining chains in the U.S., but recent data from Placer.ai suggests customers may be tapping the brakes on visits.
The restaurant chain’s owner, Dine Brands (DIN), is knee-deep in a revamp that includes remodels and a dual-brand strategy that co-locates Applebee’s with IHOP. Now, it’s also adding new menu items to help kickstart foot traffic this fall, including Sizzlin’ Skillets and Halloween-inspired choices.
The shifts are happening at a crucial time, given that many main street customers are being squeezed by higher prices as gasoline, fuel oil, and other everyday items are outstripping wage growth.
Applebee’s foot traffic slips 3.7% over the summer
Placer.ai leverages a panel of tens of millions of devices and uses machine learning to estimate visits to retail locations nationwide.
In a report shared with me, Placer.ai estimates that Applebee’s foot traffic has slipped in most months in 2026, with a particularly steep 3.7% dip over the summer, when gasoline prices began spiking due to the war in the Middle East.
Applebee’s Foot Traffic YoY Change in Visits:
- January 2026: -3.0%
- February 2026: -1.6%
- March 2026: -8.7%
- April 2026: -11.3%
- May 2026: -4.5%
- June 2026: -6.9%
- July 2026: 3.1%
- August 2026: -7.0%
- September 2026: -1.9%
- June–August 2026 vs. June–August 2025: -3.7%
- Source: Placer.ai
“Applebee’s visits have fallen year over year in most months of 2026, and summer traffic was down 3.7% from 2025. A bright spot was July, when visits rose 3.1%, likely helped by the Dollarita promotion,” said R.J. Hottovy, Head of Analytical Research at Placer.ai.
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Dine Brands’ CEO John Peyton acknowledged the challenge in August during the company’s earnings conference call:
“Inflation in food away from home, elevated gas prices, and declining consumer sentiment contributed to more deliberate spending behavior. Guests aren’t walking away from dining out, but they are making intentional choices of when and where they choose to ” said Peyton. “Applebee’s reported comp sales of negative 1.8%.”
According to AAA, U.S. gasoline prices average $4.33 per gallon, up from $3.06 one year ago. Over the past year, real average hourly earnings, or earnings adjusted for inflation, decreased 0.7%, says the Bureau of Labor Statistics.
Applebee’s menu addition comes at a critical time in its strategy shift
The casual dining market is competitive and well-developed in the United States, and many of Applebee’s rivals have been struggling. TGI Fridays, for instance, was hit particularly hard by Covid, and declared bankruptcy in 2024.
Dine Brands hasn’t suffered nearly as much, but a decision to delay remodels in 2020 during Covid has left it playing catch-up, investing heavily to modernize its stores. In addition to remodels, management is also diving into a dual-location plan that could eventually result in up to 900 restaurants featuring IHOP and Applebee’s menu items in one place.
So far, Dine Brands has remodeled 66 locations through the second quarter, with over 100 remodels planned for 2026. The company’s portfolio includes 1,557 Applebee’s locations exiting the second quarter.
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The dual-location strategy is in its infancy, with just 45 mash-up Applebee’s and IHOPs open. The results so far are encouraging, and CEO Peyton targets having 80 open by the end of this year, with more coming next year. Peyton believes they have an advantage over rival chains that have tried similar strategies.
“When other brands in the past have tried duals like KFC and things like that, they’re competing dayparts. What’s so compelling about this is Dine Brands just happens to own the premier AM and premier PM brand. IHOP, since it was invented in 1967 (sic) [ 1958, ] has been trying to address dinner as its most difficult daypart,” said Peyton at a Piper Sandler conference in September.
“And so for the IHOP franchisees, this is a solution to dinner that they’ve been looking for, for 60 years,” Peyton continued. “For Applebee’s franchisees, it’s the morning daypart, which they’re closed for. So it’s a whole new revenue opportunity they didn’t have.”
Applebee's
Applebee’s makes a push to bring in more customers with fall menu changes
The dual-brand strategy is paying off, with sales at those locations increasing by 1.5x to 2x as customers embrace the option to combine breakfast and dinner items and alcohol.
Applebee’s has always enjoyed a loyal following of guests, but with foot traffic sinking and inflation worsening, the company is under pressure to drive home its value proposition with new menu choices.
As a result, the restaurant has added a variety of fall-themed options to its menu, with Sizzlin’ Skillets starting at $12.99.
- Cheesy Chicken Skillet: Grilled chicken breast smothered in a Parmesan and White Cheddar cream sauce, topped with Applewood-smoked bacon and crispy onions, served sizzling with garlic mashed potatoes and seasoned broccoli, all for just $12.99.
- Chicken & Shrimp Scampi Skillet: Grilled chicken breast paired with sautéed shrimp in a garlicky lemon-butter sauce, served sizzling, with garlic mashed potatoes and seasoned broccoli.
- Garlic Sirloin Skillet: Seasoned top sirloin steak grilled and smothered in buttery garlic and parsley, served sizzling with garlic mashed potatoes and seasoned broccoli.
Applebee’s also rolled out limited-time items for Halloween:
- Hallowings Bucket: 20 Boneless Wings for just $12.99, available To Go and for delivery from Oct. 25 through 31. No promo code required. While supplies last.
- Spooky Sips: featuring $6 cocktails and $4 mocktails, like the Tipsy Zombie or Graveyard Dirty Soda, when paired with any seasonal meal.
The restaurant chain has also rebooted its gift card plan to help drive sales through and after the important holiday season. The promotion includes a $10 bonus when a customer buys a $50 card and flash sales offering two $10 bonus cards if purchased between specific dates: 10/30 – 11/1, 11/25 – 11/30, and 12/22 – 12/26.
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