It’s just about become a truism, and should probably be Phrase of the Year: “Go Woke, Go Broke.” This has been reaffirmed once again in the form of Cracker Barrel.

The cracked barrel continues its rotting decay, as reflected in first quarter (Aug., Sept., and Oct. 2025) quarterly earnings report. Revenues were down 5.7% from the corresponding quarter last year. Restaurant revenue declined 4.7% and store revenues were down 8.5%. All revenue metrics were lower than expected, but we need some industry context.

In 2025, restaurant stocks have exhibited a mixed performance. For example, Nathan’s Famous and Yum Brands have done well; Wendy’s and Starbucks have languished. Take a peek at this list, which shows the performance of 32 restaurant stocks so far in 2025. Cracker Barrel is ranked a lowly 20th, but things don’t seem to be improving. Indeed, the company’s dismal performance is projected to continue, with executives providing anemic forecasts for 2026.

Consultants were complicit in the disastrous rebranding, including removing the wise and welcoming farmer-gentleman from the logo, and the off-putting revamp of stores to a sort of farmhouse chic look. Apparently, the buck doesn’t stop with CEO Julie Masino -- there has been a shakeup in Cracker Barrel’s management, but she is still there. She cracked the imagined glass ceiling, and is now cracking Cracker Barrel.

This real-time update on Cracker Barrel’s performance can largely be attributed to their “leadership” needlessly trying to imprint their style and assert their perceived authority. In the process, they almost ruined a company (whose essential essence is based on tradition) by applying a monotonous modernism motif.  

While admitting mistakes and returning to that warm, welcoming, and time-honored country ethos, there may be room for modernity in the C-suite. We already have AI-generated actors, with Tilly Norwood playing a leading role. In fact, there are even Robo-CEOs. One of the first is named Mika, and her role has expanded to include shaping the company’s (Dictador, a Polish drinks company) strategies.

A Mika clone (Mike?) might prove to be useful as the CEO at Cracker Barrel, for their bizarre strategy has alienated customers. I bet after scouring all the surveys and other data points he’d recognize the wisdom: “If it ain’t broke, don’t ‘fix’ it.”  Especially if “it” is a well-earned classic cuisine culture of the South. For sure, streamline operations and rationalize logistics, but don’t try to reinvent the company’s whole raison d'être.

Image: Mike Mozart