Business

These Are America’s 10 Disappearing Restaurant Chains

There is a school of thought that says the restaurant business is always a good business – people need to eat. A glance at the sales of many of America’s largest restaurant chains over the past decade quickly dispels this myth.

“Many prominent chain restaurant brands have lost ground with sales over the last decade. As many American consumers gravitate toward a more contemporary dining experience and more exciting menu options, traditional restaurant chains are losing relevance,” Darren Tristano, Executive Vice President of Technomic, told 24/7 Wall St. in an email. “Today’s successful restaurant operator is challenged with keeping their menu fresh, their customers’ experience exciting and their concept contemporary.”

Many restaurants on this list are indeed casual, family dining establishments. The majority offers American Style cuisine — e.g., steak and burgers — in a bar or grill setting. These restaurants, such as Bennigan’s, Ground Round, and Damon’s, expanded quickly during the 1990s. Soon their presence was overshadowed by newer restaurants that consumers found more exciting, like Applebee’s, according to Tristano. Even now, new “fast-casual” restaurants such as Buffalo Wild Wings and Chipotle are outselling, and in many instances replacing, older restaurants.

The majority of the restaurant chains on our list have filed for bankruptcy over the past decade. Parent companies close large numbers of restaurants, as was seen with Ground Round Grill & Bar, Big Boy, and Bakers Square. These bankruptcies have left thousands of people without jobs. They also have, in some cases, lead to restaurant brands changing corporate hands.

Economic factors also contributed to this drop in restaurant attendance at these establishments. The recession has hit restaurants especially hard. Most of the bankruptcies declared by the companies on this list were filed in 2007 or later. When times are tough, small luxuries such as dining out may be cut. And restaurants whose customers no longer value them as relevant or exciting face the worst of this.

These are America’s disappearing restaurant chains.

These Are America’s Disappearing Restaurant Chains10. Black Angus Steakhouse
Change in sales (2001-2010): -62.3 percent
Sales 2001: $302.16 million
Sales 2010: $114 million
Change in units (2001-2010): -57 percent

Black Angus Steakhouse currently has 46 restaurants in six Western states. As of 2001 it had 107 restaurants. ARG Enterprises, the restaurant’s former owner, filed for Chapter 11 bankruptcy in 2004 and then again in 2009 before being purchased by Versa Capital Management. Many Black Angus Steakhouses were located in areas that were hit exceptionally hard by the mortgage crisis, causing business to decline significantly.

These Are America’s Disappearing Restaurant Chains9. Country Kitchen
Change in sales (2001-2010): -67.2 percent
Sales 2001: $250 million
Sales 2010: $82 million
Change in units (2001-2010): -74.3 percent

Country Kitchen is a rustic, home-style restaurant that serves self-described “comfort foods.” From 1977 to 1997, the brand was owned by Carlson Companies, which primarily deals with hotels. It is perhaps unsurprising that many Country Kitchens are attached to travel plazas and hotels. Overall popularity of the chain has fallen dramatically, with the number of restaurants dropping from 249 in 2001 to 64 in 2010.

These Are America’s Disappearing Restaurant Chains8. Tony Roma’s
Change in sales (2001-2010): -67.3 percent
Sales 2001: $318.22 million
Sales 2010: $104 million
Change in units (2001-2010): -72.2 percent

Tony Roma’s is a casual dining restaurant that markets itself as specializing in ribs, seafood, and steak. Over the years, the number of Tony Roma’s restaurants has dwindled, largely due to a decline in the brand. On a national scale, the number of Tony Roma’s has dropped from 162 to 45 between 2001 and 2010. However, the restaurant maintains a large international presence.

These Are America’s Disappearing Restaurant Chains7. Big Boy
Change in sales (2001-2010): -68.6 percent
Sales 2001: $580 million
Sales 2010: $182.25 million
Change in units (2001-2010): -65.2 percent

Big Boy is the restaurant with the most locations on this list. It is also, perhaps, the most well known. In 2000, the company’s owner, the Elias Brothers Corporation, declared bankruptcy following cash-flow problems and difficulties with expansions. The month before it filed for bankruptcy, the company closed 43 restaurants. The restaurant, which specializes in double-decker hamburgers, has not done very well since. In 2001 Big Boy had 405 locations. By 2010, that number had decreased to 141.

These Are America’s Disappearing Restaurant Chains6. Gloria Jean’s Coffees
Change in sales (2001-2010): -69.1 percent
Sales 2001: $135 million
Sales 2010: $41.75 million
Change in units (2001-2010): -73.6 percent

Gloria Jean’s Coffees was founded in Chicago, IL, in 1979. By 1995, the brand spread to Australia, where it is a huge success today. In the U.S., the brand, which was owned by Diedrich Coffee, expanded rapidly, reaching 330 locations by 2001. This expansion proved too much for the company, which began to have financial troubles. Diedrich sold off the international segment of Gloria Jean in 2005. In 2006, it sold a large number of cafes to Starbucks. In 2009, Diedrich sold the remaining Gloria Jean’s Coffees to Praise International North America. As of 2010, only 87 cafes remain.

These Are America’s Disappearing Restaurant Chains5. Don Pablo’s
Change in sales (2001-2010): -69.8 percent
Sales 2001: $268.25 million
Sales 2010: $81 million
Change in units (2001-2010): -70.2 percent

Don Pablo’s is a national chain that serves Tex-Mex-style food. In September 2007, Avado Brands, Inc., the restaurant’s parent company, filed for Chapter 11 bankruptcy. The company sold off a number of its assets, including many buildings that were subsequently auctioned off to other restaurants, such as Buffalo Wild Wings. From 2001 to 2010, the number of Don Pablo’s fell from 131 to 39.

See the rest of the list here.

(Charles B. Stockdale—24/7 Wall St./The Blaze)

 

Comments (132)

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  • NeoFan
    Posted on November 21, 2011 at 4:11pm

    I thought Shenanigans would be on the list. Maybe they are wearing more flare these days and business is better?

    Report Post »  
    • Ari Ben TZion
      Posted on November 21, 2011 at 4:16pm

      Well, I personally think we should start bringing in Romanians and Russians on H1 work visas to startup restaurants in the same way we bring them in for I.T., jobs.

      Might-as-well send the entire country to hell in a hand basket.

      Report Post » Ari Ben TZion  
    • firstHat
      Posted on November 21, 2011 at 4:22pm

      Click the link to the full article. Bennigan’s (that’s what you meant, right?) is number one on the list.

      Report Post »  
    • Libertyluvnmomma
      Posted on November 21, 2011 at 5:12pm

      chains of crap food.

      sometimes a bad economy weeds out the defective. Like nature!!

      wish it worked on atheists,marxists and green-peace.

      Libertyluvnmomma  
    • Fantastic Four
      Posted on November 21, 2011 at 5:58pm

      The TPS reports with or without a cover sheet clearly shows mnagements out of control spending, rules and regulations are tanking the working class

      Report Post » Fantastic Four  
    • ghostsouls
      Posted on November 21, 2011 at 6:31pm

      OMG does that mean people are going to have to…….ugghhhhh……..I mean do they need to………arggghhhh……..GULP…….cook at home????? Oh Noooooeeeessss!!

      Report Post » ghostsouls  
    • Detroit paperboy
      Posted on November 21, 2011 at 6:32pm

      You do realize the Obama administration iand members of the black caucus are advocating using food stamps at restaurants ? Its true… Or they could bail out the industry directly.

      Report Post »  
    • banjarmon
      Posted on November 21, 2011 at 7:33pm

      HOOTERS are still BIG!!

      Report Post » banjarmon  
    • GoodStuff
      Posted on November 21, 2011 at 9:03pm

      Too bad Taco Bell and Burger King aren’t on the list. The dirtiest dirt-riddled dirt holes in the history of America.

      Report Post »  
    • Conservophiliac
      Posted on November 21, 2011 at 11:05pm

      This is what ONLY 15 pieces of flair will do to a company. That is why we encourage people to express themselves.

      Report Post » Conservophiliac  
    • cemerius
      Posted on November 22, 2011 at 8:23am

      @ Conservophiliac

      Jennifer Anniston’s character is what the American people should direct to the White House and Congress….”heres your flair!”

      Report Post » cemerius  
  • sapper
    Posted on November 21, 2011 at 4:06pm

    have not seen a big boy’s since I was a kid on vacation in another state. Didn’t know they were still around. Bennigans went out of buisness in Houston years ago. Tony Romas is way too pricey for what you get. Tried them once when I lived in Arkansas and never went back. Never heard of the rest of them. I know Bennigans had the same problem as Tony Roma, food was ok but way over priced…..that tends to drive business away. Plus we have a ton of those type of restaurants here that are better and cheaper. Like Cheddars, TGI friday, Chilis, Texas Roadhouse, ******* Barrel, etc.

    Report Post »  
    • Anonymous T. Irrelevant
      Posted on November 21, 2011 at 5:06pm

      Plenty of Frisch’s Big Boys around Cincinnati, so far.
      Thank Chris Dodd, Barney Frank, Franklin Raines, and Barry for these disappearing businesses.

      Report Post » Anonymous T. Irrelevant  
    • trueblueday
      Posted on November 21, 2011 at 10:26pm

      I thought they just broke ground for one in our neck of the woods. The previous one went under about eight or nine years ago. Guess they’re going to give it another try.

      Report Post »  
    • riverdog1
      Posted on November 22, 2011 at 2:15pm

      what did dodd and the rest do to these restaurants? answer, nothing. you run a biz badly you lose.

      Report Post »  
  • GrumpyCat
    Posted on November 21, 2011 at 4:06pm

    Ate in a Country Kitchen this summer on travel and all I can say is that they can’t go out of business fast enough.

    Report Post »  
    • hojo
      Posted on November 22, 2011 at 7:25pm

      Can’t disagree with you more. Love the place.

      Report Post » hojo  
  • rdk
    Posted on November 21, 2011 at 4:05pm

    I think the message is that mid-price restaurants need to have dynamic menus. The really fast food ones will remain because they are really inexpensive and really fast and do modify their menu and presentation somewhat. The mid-price ones have to establish a reason for going there.

    Report Post »  
  • panick
    Posted on November 21, 2011 at 4:04pm

    The only one of them my wife and I ever frequented was Bakers Square and we stopped going there about 10 years ago as their prices got higher and their service and quality got worse. They were obviously into corner-cutting and the inevitable result from that genius MBA strategy is now happening.to them.

    Tony Roma’s & Black Angus were OK but we only went there when they had a 2 for 1 deal or other significant special because there are too many restaurants (S. Calif anyway) who equal or better these two for barbecue and beef. Bennigans competes with very well run chains like Applebees, TGIF( some are run well but I could see them in the next 11-20 category), BJ’s, Cheesecake factory Chilis and Red Robin which all expanded their menus to cover both the “yuppie” finger foods and the homestyle comfort foods that Bennigans serveS — and they did it far better. Got food poisoning from a Bennigans but I’m not biased…..

    Report Post »  
  • CCRYDER
    Posted on November 21, 2011 at 3:59pm

    Bob’s Big Boy – Van Nuys Blvd, in the Valley – best damn burgers ever and the T&S special sauce was killer! If they would bring the T&S sauce back and market it in stores, they would make ga-zillion$$$ !

    Report Post »  
    • YellowFin
      Posted on November 21, 2011 at 4:19pm

      Bob’s Big Boy on Colorado Blvd in Pasadena, CA

      In the late 50‘s and early 60’s, Bob’s was a hot spot with their drive in and roller skating servers. Friday nights were for cruising the Blvd and getting to Bob’s for a burger and fries. Great memories and good times.

      Report Post » YellowFin  
    • Old Truckers
      Posted on November 21, 2011 at 8:56pm

      Bob’s Big Boy on Colorado Blvd.

      About 1965 I went there often with a lovely girl who I cared about a lot.
      Memories of Kristen come to me often.

      Report Post » Old Truckers  
    • Searcher4Truth
      Posted on November 22, 2011 at 12:25am

      There is now a little Big Boy on Del Mar and Lake in Pasadena. Same food–new memories! One of my favorite Bobs is in Burbank where you can sit in the same booth the Beatles sat in back in the early 1960s.

      Report Post » Searcher4Truth  
    • Bluebonnet
      Posted on June 9, 2012 at 9:48pm

      YELLOW FIN. Exactly. Bob‘s Big Boy in Pasadena in the 50’s was the first I’d eaten too.
      Yeah, it was the hangout for all the kids in that area, and the most fabulous hamburger I’d ever eaten.
      Found out I went to middle school with a kid who’s family started the first IN & OUT in Baldwin Park, Calif. Now they’re all over the place. That was also a great hamburger & still is.

      Report Post »  
  • copper creek
    Posted on November 21, 2011 at 3:59pm

    If they had donated to obummers election campaign they would have been given all the money they wanted.

    Report Post »  
    • teddyc73
      Posted on November 22, 2011 at 10:07am

      You know dude, I dont agree with the President on anything and I hope he is not reelected for the good of the country but these childish names used for him like “obummer” are really getting old. He is still the President so at least show some respect, even if its more for the office and not the man. Plus it makes you no better than those on the left that love to use insults. Plus, not ever article has to have a political comment.

      Report Post »  
  • MIlitary Nurse
    Posted on November 21, 2011 at 3:57pm

    I am sure it is the econcomy, but in Obummers defense he’s only been in “control” for 3 years…those were 10 year stats. With that said, I am sure it has to do with “cheaper” places or the increase in different kinds of resturants, that thins out the money pool. Tony Romas is a good place, but a bit pricey…as Famous Daves is probably better and less pricey. Several of those resturants I have never even heard of, so they are not all over the place. yet again thinning the money pool to just that region.
    Just my .02 worth

    Report Post » MIlitary Nurse  
  • garyM
    Posted on November 21, 2011 at 3:54pm

    OFF TOPIC:
    Has anyone heard the talking heads commenting on China devaluing it’s currency? Greece going broke, Spain and Italy in economic trouble. US has 15 trillion dollar debt! Gee I wonder what would happen if we all used the same currency all over the world, would that solve the problem? Just wonder when someone will come up with this theory and play right into fulfilling Bible Prophecy!
    I haven’t heard it yet, could not be far away though!

    Report Post »  
  • campt1
    Posted on November 21, 2011 at 3:53pm

    Start growing your own food, Hussein will control the food industry shortly.

    Report Post » campt1  
    • SgtB
      Posted on November 21, 2011 at 5:02pm

      Shortly? Ever heard of Wickard v. Filburn? Once your family food plot is seen as keeping you from partaking in commerce they will burn it. Its already happened once and the “Supreme Court” upheld it. I’m also for growing your own food, but I just wanted to point out that the food markets are already pinned under the weight of gov’t control and regulation.

      Report Post » SgtB  
  • A Conservatarian
    Posted on November 21, 2011 at 3:52pm

    Awwww Tony Roma’s :( used to love that joint when I was younger, along with Flakey Jakes (which disappeared too)

    Report Post » A Conservatarian  
  • MrHoggLegg
    Posted on November 21, 2011 at 3:51pm

    Our economic problems will continue to deteriorate faster and faster ✡ The only possible solution to our problems is to reduce the size of government and regulations on businesses ✡ However the majority of people in this country prefer to keep their heads buried in the sand ✡ If they don‘t know what’s going on ✡ Well things are bound to get better ✡ WORLD WAR is COMING! ✡ And the MAJORITY is not taking Notice! ✡ The REPUBLIC IS LOST and only the young will Suffer ✡ Those of us that are elderly will soon be going to our Everlasting Reward ✡ And so we will be spared the hardships that the young will have to endure! ✡ GOD BLESS THE USA!

    Report Post » MrHoggLegg  
    • jakartaman
      Posted on November 21, 2011 at 5:17pm

      MRHOGGLEGG,
      You are absolutely correct. Even without Israel bombing Iran (which will happen – no alternative)
      Or if not Iran w/nukes will hold the world oil production hostage- in either case depression.
      But even without that happening our own government wants us to collapse economically.
      The world is going to take Ben’s printing press – can you say dollar devaluation.
      There is no way out – so the smart ones will be prepared. When the freebies stop to the inner-city – they will come for yours!

      Report Post »  
    • bikerr
      Posted on November 21, 2011 at 6:40pm

      Focus,focus,focus, Try to stay on topic of restaurants going down. Maybe get your head out of the sand.

      Report Post »  
  • otmonger
    Posted on November 21, 2011 at 3:46pm

    Thank you Obama for all you have done for this country!!!!

    Report Post » otmonger  
    • SimpleTruths
      Posted on November 21, 2011 at 5:05pm

      Yeah, because Obama is responsible for creating the crappy menus and food at these chains. The fact of the matter is the country is having a restaurant revolution, there are more independent great chefs starting up great places all over the country. Watch the Food Channel for a minute, if you can remember how to use your remote to change channels from FOX.

      Report Post » SimpleTruths  
  • stpppim
    Posted on November 21, 2011 at 3:46pm

    Big Boy Shruggs
    Tony Roma Shruggs
    Don Pablo Shruggs
    Gloria Jean Shruggs
    …

    Report Post » stpppim  
  • BurntHills
    Posted on November 21, 2011 at 3:45pm

    Bakers Square too?! what?! no more French Silk pies to take to the inlaws back in Chgo?!

    Report Post » BurntHills  
  • lel2007
    Posted on November 21, 2011 at 3:45pm

    I presume most are failing because of the poor economy, which will worsen with the lose of jobs at failed restaurants. Economic death spiral. I expect movie theaters to be next to collapse.

    Report Post » lel2007  
  • BurntHills
    Posted on November 21, 2011 at 3:44pm

    Oh, so THAT‘S what happened to our special little Bennigan’s. we used to drive 2 hrs to go there for bdays.

    Report Post » BurntHills  
  • teddrunk
    Posted on November 21, 2011 at 3:43pm

    Today, most chain restaurants are terrible anyhow. When I was 18 and dating, and wanted to take my date out to eat to a really nice restaurant, they had “steak houses”. It was a place a guy could actually get something to eat. A nice steak, a baked potato, some mushrooms maybe, and they threw a vegetable on the plate for show, that you’d never bother to eat anyhow. Maybe a Miller with the meal, and an after dinner smoke, Camel Filters in my case. It was heaven. Today‘s restaurants only serve food that you’d enjoy if you had a burro and were Mexican, or if you wanted salad and bread sticks, and had breasts.

    Report Post »  
    • BonnieBlueFlag
      Posted on November 21, 2011 at 4:15pm

      Ted, if you had some Skynyrd in your GTO it sounds like a great date. I wish I could have seen the 1970s. Well, I can watch Smokey and the Bandit and daydream of a better world gone by.

      Report Post » BonnieBlueFlag  
    • teddrunk
      Posted on November 21, 2011 at 4:40pm

      Bonnie, I wish I had a GTO. All I had was a lowly ‘63 Impala Super Sport with the 4 speed & 409. It did have one awesome 8 track tape player & speakers in it. Traded it in in ‘74 for a dark blue Trans Am with the screamin’ chicken on the hood. I should of kept the Impala.

      Report Post »  
    • Cavy2see
      Posted on November 21, 2011 at 10:57pm

      Or remember the Mom and Pop little resturants…99 for breakfast and that isn’t a percent sign either…or my Dad used to speak highly of the Horn and Hardhart (not sure of spelling) where you put the money in the wall and the food came out a little tiny window…I remember it vaguely…as a kid in NYC back way back in the dim days…don’t go out much …. stuff is too salty in places I can afford or it is too spicey for me…cooking at home is a good thing…at least you know how it was made…store still make money when you do that…and people get jobs working there too…so it helps…I know resturants do hire…but they get weird wages…sometimes a lot of $$ cash and sometimes not…the banks are at fault…so is our congress and president too…not to mention that Soros guy… we need our Mom and Pop stores back and resturants run by locals…oh and McDonalds food isn’t too awful…if you need a fast lunch but I don’t go there much since the kids are grown…oh well…we will try to pray for our nation…only God’s helping us …as some don‘t like religion they probably don’t like our country either because it has rules to follow to keep us a civilization…not a dark ager…

      Report Post » Cavy2see  
    • AmericanStrega
      Posted on November 22, 2011 at 10:47am

      You’re right Ted. “Mr. Steak” was my favorite when I was a kid. My folks would take us all out for dinner there once a year (that was all they could afford). It was always a special dinner. The food was fantastic too. Also, there was a place called “The Gables” in Corvallis, Oregon that had THE best prime rib and all the extras. They closed down five or six years ago. What a loss! Man, they’re prime rib was to die for.

      Report Post »  
  • Locked
    Posted on November 21, 2011 at 3:42pm

    Out of all of these, I have only heard of Bennigan’s, and have never eaten there. I think the article is dead-on in what it indirectly said: they’re one-trick ponies that couldn‘t compete with the image advertised by other chains like Applebee’s or Buffalo Wild Wings. Nor, though not mentioned, the fast-and-cheap food from McDonald’s/Burger King.

    Report Post »  
  • CatB
    Posted on November 21, 2011 at 3:40pm

    Food stamp President — unintended (?) consequences. Or perhaps exactly what they want ….

    TEA!

    Report Post »  
    • Bible Quotin' Science Fearin' Conservative American
      Posted on November 21, 2011 at 3:54pm

      Yea, it couldn’t be that these chains failed to remain competitive in an open free market. Yea, it couldn’t be their fault or responsibility. Go join the OWS movement, commie.

      Report Post » Bible Quotin' Science Fearin' Conservative American  
    • 13th Imam
      Posted on November 21, 2011 at 4:32pm

      Cat

      The Food Stamp president is also president Devaluation , president Apology, president Vacation, president No Jobs, president Transparent, president Uniter, And I understand that he has never worked harder in his life. But considering he has never had a real job , that is understandable.

      Report Post » 13th Imam  
  • Rayblue
    Posted on November 21, 2011 at 3:38pm

    Tacorias are booming around here. Just got one named the Tamale Ranch that’s built into the Exxon station on SH 146. And WHY is not a matter of conjecture.

    Report Post » Rayblue  
  • LOJ
    Posted on November 21, 2011 at 3:36pm

    Its a shame…This country stood for Freedom to live and Prosper, and now the Government is destroying the economy and our Freedoms with Regulations and Collapse.

    Report Post »  
    • riverdog1
      Posted on November 22, 2011 at 2:18pm

      what goverment regulation are closeing these restaurants? you can’t use spoiled meat? can’t pay staff 10 cents an hour? quit with the talking points spew and join the real world.

      Report Post »  
  • I_Hate_Libs
    Posted on November 21, 2011 at 3:33pm

    Who doesn’t like a Big Boy Burger?

    TEA!

    Anyone But Obama 2012!

    Report Post »  
    • InversionTheory
      Posted on November 21, 2011 at 3:39pm

      I miss Bennigan’s. That Flaherty’s Famous Fish was awesome!

      Report Post »  
    • OhioRifleman
      Posted on November 21, 2011 at 3:40pm

      I can’t eat there any more. Every time I have in the past five years, it screws me up big-time.

      Report Post » OhioRifleman  
    • CatB
      Posted on November 21, 2011 at 3:41pm

      Or Slim Jim …

      TEA!

      Good soup too!

      Report Post »  
    • fatjack
      Posted on November 21, 2011 at 3:45pm

      I_Hate_Libs
      Posted on November 21, 2011 at 3:33pm

      Who doesn’t like a Big Boy Burger?
      _______________________________________-

      Mooshell

      Report Post » fatjack  
  • SmallGovBigGuns
    Posted on November 21, 2011 at 3:32pm

    i will continue to eat at my local ma n pa shops so much better

    Report Post »  
  • thegreatcarnac
    Posted on November 21, 2011 at 3:29pm

    I am really sad that McDonalds is not among them. Maybe next year.

    Report Post »  
    • hammer71
      Posted on November 21, 2011 at 3:34pm

      Keep dreaming…

      Report Post »  
    • grayling646
      Posted on November 21, 2011 at 3:38pm

      The reason Mickey D’s is not on the list is because a coupla hundred million Americans disagree with you.

      Report Post »  
    • DadInFishers
      Posted on November 21, 2011 at 3:50pm

      Really? McDonald’s is an incredible company and a shining example of successful American capitalism. It is one of my all-time favorite companies. McDonald‘s makes tens of billions globally and to think it’s largely run by teenagers or the uneducated! They have fine tuned their systems so well the restaurants practically run themselves. And on top of that, their food remains inexpensive, albeit horribly unhealthy, but often tasty (even if we are eating burgers made of 50% soy or whatever they pack into those things).

      Report Post »  
    • teddyc73
      Posted on November 22, 2011 at 10:02am

      Oh so you want all those people that work for McDs out of work? Um…ok.

      Report Post »  
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