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- TGI Fridays CEO Ray Blanchette shared four things he’s focusing on after its bankruptcy filing.
- He told BI he hopes to improve sales and menu innovation and refocus TGI Fridays’ brand.
- Blanchette also highlighted Gen Z and millennials with young families as key focus groups.
Two years after stepping down as CEO, Ray Blanchette has returned to the top job at TGI Fridays, focused on revitalizing the brand and driving its growth.
Blanchette spoke to Business Insider about how he hopes to get TGI Fridays back on track following its recent bankruptcy filing.
The casual dining chain has faced major challenges in the last few years.
Originally opened in the 1960s as a singles bar in New York City, TGI Fridays grew to become an international chain famous for its burgers and pub-grub appetizers.
However, throughout the 2010s, TGI Fridays closed more than 200 restaurants in the US. Its plans to take the company public in 2020 also coincided with the start of the COVID-19 pandemic, halting those plans indefinitely.
Ultimately, last November, the chain filed for Chapter 11 bankruptcy protections, citing the impact of the COVID-19 pandemic and its capital structure as key factors in the filing.
There have also been a series of leadership changes. After five years as CEO, Blanchette stepped down in May 2023. He was replaced by Brandon Coleman III, who was only in the position for a few months, and then by Weldon Spangler, who took over the position in October 2023, Nation’s Restaurant News reported.
Blanchette returned as CEO in January after working as a full-time franchisee within the chain, which he said helped him feel more connected to the brand and its franchisee base.
Blanchette said he wants to leave the bankruptcy filing in the rearview mirror and refocus on the brand’s strengths, starting with a menu revamp coming May 13.
Here are four ways he hopes to lead the chain’s comeback.
Sales are the chain’s top priority after TGI Fridays filed for bankruptcy last year.
Blanchette told Business Insider in a video interview that before he gets out of bed in the morning, he’s thinking about the company’s sales. Driving top-line sales is his “No. 1 priority” for the chain’s comeback.
“We’ve seen some great progress in the restaurants that I own, and we are fortunate to have seen a meaningful turnaround in same-store sales this year,” he said.
“We think that as we’re learning, we can build off of that and continue to grow sales in a powerful way,” he continued.
Growing sales is no easy task, but Blanchette said he’s been encouraged by growth in the casual dining industry with chains like Chili’s, which saw a significant 31.4% increase in same-store sales at the start of the year.
“I think what happened at Chili’s is encouraging for everyone in casual dining, and what they’re continuing to see is inspiring to us,” Blanchette said.
Blanchette wants to reengage employees and refocus on the “celebration” aspect of TGI Fridays’ brand.
Blanchette said that the company’s bankruptcy filing in November 2024 was an “enormous distraction,” compounded by a simultaneous change in management.
However, he wants customers and franchisees to focus less on the bankruptcy filing and more on the fun, playful side of TGI Fridays’ brand.
“Celebration is kind of at the heart of everything we do. And so we’re trying to reengage our team members by giving them food that they’re prouder to serve,” he told BI. “We’re stopping the conversations and the distractions around the bankruptcy and getting focused on remembering that the jobs that we create around the globe change people’s lives.”
Blanchette cited the chain’s growing international business, including 391 restaurants in 41 countries.
“We want to lean into that and continue to grow and not forget to celebrate along the way,” he said.
Blanchette is revamping the menu, with a new food and cocktail menu coming May 13.
When it comes to resonating with younger generations, Blanchette said that menu innovation — from adding new items to improving the quality of items already on the menu — is one of the chain’s top priorities.
He also said that innovation can pose a unique challenge, as it “increases complexity in a lot of cases.”
“I’ve spent my time trying to rally the organization around getting excited about these new products,” he said, naming the chain’s recent steakhouse menu, which features hand-cut steaks and is available at select franchise locations.
Blanchette said the idea really resonated with franchisees, and the chain is now seeing interest from its international franchisee partners.
“Creating a pull rather than a push on these new ideas has been a big priority,” he said.
Blanchette said he wants to tap into generations like Gen Z and millennials with young families.
Blanchette said menu innovation is one way he thinks TGI Fridays could win over customers in younger generations, such as Gen Z.
“This is a generation with a very high food IQ, and I think they tend to be more food curious,” he said, citing a trend toward spicy food and more “fusion” flavors with international influences. “They’ll try spices from abroad even if they don’t know exactly what the flavor is until they try it. And so we think innovation is especially important for this younger generation.”
Blanchette added that the chain is also focusing on millennials, especially those with young kids, since their tastes in restaurants tend to change once they become parents.
“I think Fridays, because the environment’s a little louder, can compete much harder for those young families because you don’t have to give up your entire sense of self,” he said. “You can still have a handcrafted cocktail, you can still have handmade interesting food when you go out.”
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