TL;DR
Legacy fast-food restaurants are undergoing makeovers to appeal to millennials who value experience and atmosphere. Brands such as KFC, Arby's, and Taco Bell have seen sales increases after redesigning their stores.
Millennials expect more than a good meal when dining out—they care about the overall experience. According to a recent Adweek article , the rise of fast casuals such as Panera Bread and Shake Shack are forcing older fast-food brands to remodel their décor and the experience they provide to customers.
"Consumers care that they're in a pleasant, well-designed, clean and beautiful environment. When it comes to fast food, reliable food and quick service are no longer enough to satisfy millennials," said Lori Gross, executive director of strategy and growth at Landor.
Since KFC has started redesigning stores, the brand has seen 3 percent store sales growth. Arby’s remodeled 179 stores in the U.S. in 2015 and has seen a 15 percent sales increase from the redesign.
Taco Bell is testing out multiple redesigns and CMO Marisa Thalberg says, “ It's about bringing the brand's DNA and its best self forward. It's an opportunity to make our dining rooms great places to hang out and stay, and make it just as compelling as going through the drive thru."
As consumer tastes change, brands know that the restaurant experience must shift to match the menu revamps. In order to change consumers’ perceptions of what you are serving, store redesigns must align for an overall improved experience.
In this story
This story was originally published in 1851 Franchise on September 21, 2016. Burnaze summarizes and links to the original reporting.
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