Smokey Bones Faces Uncertain Future as Twin Peaks Takes Over in Illinois

Lakeland, Florida, USA - In a bold move that could alter the dining landscape in Florida and beyond, FAT Brands is making sweeping changes to its chain of Smokey Bones restaurants. The owner, having acquired Smokey Bones for $30 million in 2023, is converting approximately half of its 61 locations into Twin Peaks establishments. This strategic shift aims to leverage the higher profitability of Twin Peaks, which is akin to Hooters but with a unique spin on the “sports lodge” concept.

The decision comes after a year of solid sales growth for Twin Peaks, which rose nearly 23%, compared to a modest 2.2% at Smokey Bones. FAT Brands‘ initiative will see 30 locations rebranded as Twin Peaks, while nine underperforming spots are set to close. The first transformation took place in Lakeland, Florida, late last year, and with many more in the pipeline, the industry is buzzing with the prospect of this shift.

Implications for the Smokey Bones Brand

Once boasting over 100 locations, Smokey Bones will now downsize to just 15 outlets as the rebranding progresses. Updates regarding specific closures remain scarce, especially for the two existing locations in Illinois—Rockford and Springfield—where employees have reported a lack of information concerning their futures. It seems the winds of change are not blowing in their direction, as the Twin Peaks location tracker does not list any upcoming openings in these areas.

This transformation isn’t just a cosmetic overhaul; it’s essential for survival in a competitive market where average annual sales at Twin Peaks hit around $6 million, compared to Smokey Bones‘ $3.5 million. The conversion process itself is expected to take about nine months, which is significantly faster than starting a new build from scratch, a process that could take over two years.

Broader Industry Context

What does this mean for the restaurant industry as a whole? According to the National Restaurant Association, the restaurant sector is on course to reach $1.5 trillion in sales this year. Consumers express a desire to dine out more if finances permit, with a substantial percentage prioritizing dining experiences over cost. Interestingly, 64% of full-service and 47% of limited-service customers value the overall experience, pointing towards the importance of concepts like Twin Peaks that promise a lively atmosphere.

In an industry where 90% of fine dining operators focus on enhancing in-house dining traffic, FAT Brands‘ move aligns perfectly with market trends. The company plans not only to convert existing Smokey Bones locations but also aims to stimulate growth through potential franchising, ensuring that the brand evolves to meet customer demands.

As we keep an eye on the situation, the excitement surrounding Twin Peaks continues to rise, filled with opportunities and challenges. For current Smokey Bones patrons and potential new customers alike, this transformation could bring something new to the table—both in terms of menu offerings and the overall dining experience.

Only time will tell how these changes will unfold, but one thing is certain: with stronger profits and a thrilling dining atmosphere promising to fill the gap left by Hooters, Twin Peaks is set to become a formidable presence in the restaurant scene.

For more details on this evolving story, check out the reports from the State Journal-Register and Restaurant Business Online.