The Ruby Tuesday restaurant chain has completed the redesign of its interiors in the Washington area and is hoping a more modern, upscale look will appeal to customers old and new.
It’s out with the local bar memorabilia on the walls, and in with specially commissioned paintings, according to Kimberly Grant, vice president of operations for the Maryville, Tenn., company.
The company has a more modern lighting scheme, leather chairs, glassware replacing plastic cups, and other changes.
“Our guests have more and more choices, and we wanted to move closer to that high-quality casual dining experience,” said Grant, citing other chains like P.F. Chang’s and the Cheesecake Factory as examples.
The renovations cost the company $75 million, according to Grant.
The firm just finished redoing all 40 stores in the region, its largest market, and will finish the project nationwide by the spring.
The chain’s two most recent store openings were in Chantilly and Clarksville, Md., and another restaurant is scheduled to open in Prince William County next month.
Sales have been down for Ruby Tuesday during 2007; the company attributed its third-quarter slump to a lack of sales promotions when competitors were pushing deals.
In his most recent note to investors, analyst Joseph Buckley with Bear Stearns said the company will face challenges changing its image, particularly when it is still attempting to emphasize value.
“Ruby Tuesday is attempting to reposition its brand higher through improved and more expensive offerings, a remodel consistent with a higher-quality positioning and an emphasis on service,” Buckley said. “This is difficult for a 35-year-old brand in any sales environment, but even more so when casual dining is soft overall.”
