August 2025 Restaurant Trends: Key Insights for Buying and Selling Restaurants

The restaurant industry continues to evolve at a rapid pace. From Cracker Barrel crying “uncle” and restoring Uncle Hershel to the logo to restaurants reconsidering plant-based concepts, headlines abound.

For buyers, sellers, and operators, understanding today’s market shifts is critical to making sound decisions and maximizing value. At We Sell Restaurants, we track restaurant innovation and sentiment to those buying a selling a restaurant the perspective they need when planning their next move.

Here are the latest insights shaping the restaurant landscape as we move through 2025.

Cracker Barrel “Cracked” Over Consume

r Sentiment for Rebranding

In an era where consumer loyalty is increasingly tied to nostalgia and authenticity, the recent Cracker Barrel logo debacle serves as a stark reminder of the risks involved in rebranding a beloved restaurant chain. On August 18, 2025, Cracker Barrel unveiled a new, minimalist logo as part of its "All the More" campaign, eliminating the iconic illustration of "Uncle Herschel"—the overall-clad man leaning against a barrel that had defined the brand since 1977. The updated design featured only the chain's name in a simplified, text-only format, aiming to modernize the image while retaining the signature gold and brown tones. This move was part of a broader $700 million transformation plan, including restaurant remodels with brighter interiors, updated menus, and efforts to attract younger diners.

The backlash was swift and intense. Social media erupted with criticism, particularly from conservative voices and long-time patrons who accused the company of going "woke," abandoning its Southern roots, and committing "brand suicide." Shares of Cracker Barrel plummeted more than 15% in the days following the announcement, erasing up to $200 million in market value. Even President Donald Trump weighed in, urging the company to revert to the old logo and "admit a mistake based on customer response," later praising the reversal as a win for fans. CEO Julie Felss Masino initially defended the changes, noting that internal research showed 87% of respondents liked or loved the new logo and emphasizing that "Uncle Herschel" would remain in menus and stores. However, the outcry proved overwhelming.

We Sell Restaurants founder and restaurant expert, Robin Gagnon, captured the sentiment perfectly in a Cracker Barrel LinkedIn post that went viral during the height of the controversy. Drawing from her extensive marketing experience in the South, she expressed a "visceral reaction" to the watered-down design, questioning why the company would homogenize its unique charm instead of embracing it. "People don’t go to Cracker Barrel for bland," she wrote. "They go for biscuits, meat-and-three plates, and all-day breakfast. They sit on the rocking chairs, wander through the oversized candy section, and pick up a seasonal ornament on the way out." Predicting a rollback within six to nine months—or a shareholder-forced decision if not—she noted that the polished image didn't align with the typical Cracker Barrel guest. Her post garnered nearly 300,000 impressions and over 1,200 comments, with the vast majority aligning with her view.

Comments flooded in, echoing themes of tradition and nostalgia. One user shared: "I loved Cracker Barrel growing up in the 80s. I would save my little allowance money to shop at the store when we went in on Sundays. It was a treat back in the day. I am all for KEEPING TRADITIONS alive! Marketing pivots are vital these days for keeping brands alive but I also support tradition and keeping a brand as it should be. Maybe focus on customer loyalty program and marketing vs a departure from original." Another lamented: "They had a Brand Story and they just ruined it with the rebranding." A third highlighted the financial fallout: "Shareholders already made their decision. Cracker Barrel lost $200 Million in market value today. That will get someone's attention for immediate rollback."

Just six days after my initial prediction Cracker Barrel caved. In a statement, the company announced: "We thank our guests for sharing your voices and love for Cracker Barrel. We said we would listen, and we have. Our new logo is going away and our ‘Old Timer’ will remain." Shares rebounded by about 7% in after-hours trading, underscoring the market's preference for the familiar. Branding experts weighed in, noting that the redesign diluted the chain's uniqueness and misjudged its core audience's emotional connection to nostalgia. As one analyst put it, the logo wasn't the problem—alienating loyal customers was.

What this means for restaurant sellers and buyers:

For restaurant buyers and sellers, this controversy highlights the critical role of brand identity in driving value. A strong, authentic brand can command premium prices in transactions, while missteps like this can erode customer loyalty and depress valuations. Sellers should emphasize their establishment's unique story and heritage in listings, as buyers increasingly seek concepts with proven emotional resonance. At We Sell Restaurants, we've seen how preserving traditions—much like Cracker Barrel's rocking chairs and country charm—can differentiate a business in a competitive market. If your restaurant's brand needs a tune-up without losing its soul, our Certified Restaurant Brokers can help evaluate and strategize for maximum appeal.

Restaurants Reconsider Plant-Based Exclusivity

Eleven Madison Park, one of the world’s most celebrated restaurants, recently shifted away from its all-vegan menu to reincorporate meat and seafood. While plant-based dining has grown in popularity, this move underscores the challenges high-end operators face with profitability, labor costs, and guest demand. This is not the only restaurant to abandon vegan only. By Chloe (now Inday), started as a popular vegan fast-casual chain. They rebranded to Beatnic in 2021, maintaining a plant-based menu. However, after being acquired in 2024, the chain, now called Inday, introduced meat and dairy dishes to its menu, moving away from its exclusively vegan offerings. This shift was driven by a desire to appeal to a broader customer base, including flexitarians and omnivores, as the vegan restaurant scene faced challenges in sustaining growth.

In another example, The Volstead in Philadelphia, PA initially launched as Philadelphia’s first zero-proof bar and vegan restaurant, The Volstead announced an "evolution" in 2024 to a concept that blends vegan, vegetarian, and omnivore styles. This shift was motivated by the need to remain financially viable and appeal to a more diverse clientele in a competitive market. Sage Vegan Bistro (now Sage Regenerative Kitchen & Brewery) in Los Angeles made a similar switch. The well-known vegan restaurant, rebranded to Sage Regenerative Kitchen & Brewery and began incorporating meat and dairy into its menu. This pivot aimed to align with a broader "regenerative" dining concept, appealing to flexitarians and omnivores while maintaining some plant-based options.

These shifts align with broader industry challenges:

Economic Pressures: Vegan restaurants often face higher ingredient costs and thinner margins, especially in fine dining or niche markets. For example, Eleven Madison Park cited financial reasons and the need to attract more diners as key factors in reintroducing meat.

Consumer Demand: While plant-based dining has grown, with 48.4% of U.S. restaurants offering vegan options as of 2023, fully vegan concepts struggle to capture a broad enough audience. Flexitarianism is on the rise, encouraging restaurants to offer mixed menus to cater to diverse preferences

Market Saturation: The vegan restaurant boom of the late 2010s and early 2020s has cooled, with some closures and pivots reflecting a market correction. Operators are finding that hybrid models better balance innovation with customer appeal

Takeaway for the restaurant buyers:

For buyers, concepts that rely solely on niche consumer preferences may require a careful look at long-term demand. For restaurant sellers, hybrid models that blend innovation with broader appeal can create stronger buyer interest.

Streamlining Operations: The Push for Unified Technology

As restaurants navigate the complexities of modern dining, technology is becoming a cornerstone of operational success. According to the 2024 State of the Industry: The Future of In-Restaurant Dining Report by Incisiv and Toshiba Global Commerce Solutions, digital tools are poised to revolutionize the customer journey, yet many restaurants struggle to fully leverage their potential. With only 22% of operators satisfied with their current technological infrastructure, the industry faces a critical need for unified systems to enhance efficiency and customer experience.

Innovation vs. Infrastructure

Restaurants are prioritizing innovation, with 79% focusing on rapid prototyping of new dining experiences to meet evolving consumer expectations. However, outdated infrastructure often hampers these efforts. For example, only 13% of restaurants offer digital solutions for group dining, missing opportunities to simplify large-party experiences. Similarly, while 77% of restaurants rely on third-party delivery platforms to expand reach, only 8% have integrated loyalty programs with these services, creating gaps in customer retention.

Smart technology remains underutilized, with just 25% of restaurants adopting efficiency-focused tools and 19% using mobile apps to enhance in-restaurant experiences. Meanwhile, 68% employ interactive digital menus, signaling a shift toward tech-driven customer interaction. To address these challenges, 38% of restaurants are implementing unified Point of Sale (POS) systems to streamline operations from kitchen to table, and 57% are effectively managing multiple order types to cater to diverse preferences.

What This Means for Restaurant Buyers and Sellers

For sellers, investing in modern technology like apps to boost efficiency, can increase a restaurant’s value by demonstrating adaptability and customer focus. Buyers should evaluate a restaurant’s tech stack, prioritizing businesses with unified POS systems and digital capabilities that support both in-person and online dining. With 78% of operators recognizing the importance of deploying new technologies, restaurants that bridge the digital divide will stand out in a competitive market.

Takeaway: Sellers can enhance appeal by showcasing investments in technology that streamline operations and improve customer loyalty. Buyers should assess whether a restaurant’s infrastructure supports future growth, ensuring long-term profitability in a tech-driven industry.

Virtual Restaurants: Growth Meets Scrutiny

Delivery-only or “virtual” restaurant brands continue to gain traction. Operators can license multiple concepts out of a single kitchen, creating new revenue opportunities. These arrangements often include turnkey branding and marketing support—appealing to independent owners who want to expand quickly.

We Sell Restaurants is currently working with CloudKitchens on leasing restaurant space nationwide for not only virtual brands, but to fill the need for stores who want to launch early in a market while waiting on a build out or even test a concept before going full on into building mode. These are the benefits of space ready made for virtual brands.

Yet, the rise of AI-generated menus and stock imagery has sparked questions of transparency. Consumers want authenticity, and regulators are beginning to take notice.

What this means for sellers and restaurant buyers:

Adding virtual brands may increase revenue streams, but buyers must evaluate whether these concepts are sustainable and compliant. Sellers can differentiate by showcasing transparent operations and customer trust in their financial performance.

Regulation on the Rise: California’s Allergen Bill

California, a state that has never met a regulation it wasn’t ready to enact, is preparing to adopt new legislation that would require restaurants to disclose the nine most common food allergens directly on menus, wall charts, or digital displays. If passed, it will take effect in July 2026 and likely influence standards nationwide. Read this author’s views on the California restaurant scene in an article from QSR Magazine titled, “Has California Created its Own Doom Loop for Restaurants.”

Impact on transactions: Sellers should prepare early by implementing allergen disclosure practices, which not only ensure compliance but also demonstrate customer care. Buyers evaluating opportunities in regulated states will want to confirm that compliance plans are already in place.

Final Thoughts on the Latest Restaurant Trends

Whether it’s the expansion of virtual brands, regulatory shifts, or evolving consumer demand, the restaurant industry is constantly reshaping itself. At We Sell Restaurants, we help sellers maximize value and buyers make informed decisions in this dynamic environment.

If you are considering selling your restaurant or exploring a new opportunity, connect with a Certified Restaurant Broker today. Our team has the expertise, tools, and nationwide reach to guide you confidently through the process.

We Sell Restaurants offers expertise, valuation tools, and nationwide reach through our Certified Restaurant Brokers. We guide sellers to maximize value by highlighting brand strength, technology adoption, and compliance, while helping buyers make informed decisions by evaluating financials, market trends, and operational infrastructure in a dynamic 2025 market.

Frequently Asked Questions (FAQs)

What are the top restaurant industry trends for 2025?

The restaurant industry in 2025 is shaped by trends like the rise of virtual restaurant brands, shifts away from exclusively plant-based menus (e.g., Eleven Madison Park, Inday, The Volstead), increased regulatory requirements like California’s allergen bill, the push for unified technology (e.g., POS systems), and the importance of authentic branding, as seen in the Cracker Barrel logo controversy.

How can I increase my restaurant’s value before selling?

To maximize value, focus on maintaining a strong, authentic brand identity, as demonstrated by Cracker Barrel’s rollback to its traditional logo. Invest in unified technology like POS systems to streamline operations, ensure compliance with regulations like allergen disclosures, and highlight transparent operations. We Sell Restaurants’ valuation tools and Certified Restaurant Brokers can help showcase these strengths to attract buyers.

What should I consider when buying a restaurant in 2025?

Evaluate the restaurant’s financials, brand reputation, technology infrastructure, and compliance with regulations. Assess the sustainability of niche concepts like vegan-only menus, as hybrid models are gaining traction. Consider working with a Certified Restaurant Broker to analyze market trends and ensure the restaurant’s infrastructure supports long-term growth.

Why are restaurants moving away from all-vegan menus?

Restaurants like Eleven Madison Park, Inday, The Volstead, and Sage Regenerative Kitchen & Brewery are shifting from all-vegan menus due to economic pressures (higher ingredient costs, thinner margins), limited consumer demand for exclusively vegan dining, and the rise of flexitarianism. Hybrid menus that include meat and dairy appeal to a broader audience, improving profitability and market resilience.