Dive Brief:

• Nextbite launched delivery-only brand TenderFix Thursday, which will be available at roughly 1,000 IHOP restaurants.
• Stranger Things Actor Noah Schnapp helped create a delivery-only menu featuring all white-meat chicken, plant-based MorningStar Farms Chik’n Tenders, desserts and PepsiCo drinks. 
• TenderFix marks IHOP’s third virtual brand partnership with Nextbite after Thrilled Cheese and Super Mega Dilla. 

Dive Insight:

IHOP has found success with its previous virtual brands, which helped the company grow its Q4 2022 off-premise business to 22% of sales, with delivery accounting for 14% of this mix. These brands also allow the company to “re-prioritize its investments such as menu innovation, marketing and technology,” an IHOP spokesperson wrote in an email. The chain will continue to work with its current virtual brands and explore additional partnerships that meet specific consumer targets. 

“The TenderFix menu items deliver on food that consumers crave and are well-suited for preparation in IHOP kitchens,” Nextbite CEO Alex Canter said in an emailed statement.

A majority of IHOP’s restaurants have two galley-style kitchens with the additional space needed for virtual brands. Those brands provide incremental sales and traffic during slow dayparts, the IHOP spokesperson said. With any launch, training is provided at the restaurant level, the person said. 

“Our goal has been to ensure each [virtual] brand is seamlessly added into operations of the restaurant, and to leverage similar equipment and cooking techniques,” the IHOP spokesperson said.

TenderFix is available via TenderFix.com for free delivery, as well as DoorDash, Uber Eats, Grubhub and Postmates. The menu is available during the day as well as late-night throughout the week. This brand isn’t Nextbite’s first celebrity collaboration, as it has previously worked with the likes of George Lopez and Wiz Khalifa. 

IHOP’s virtual brand strategy has been more successful than sister company Applebee’s track record. Applebee’s has struggled with the operational complexities involved in running its Cosmic Wings brand alongside its busy takeout and dine-in traffic. While the virtual brand remains in about 400 Applebee’s restaurants, Applebee’s has added several menu items to its core menu to increase accessibility to its customers.