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Culture war controversies are always dumb, and this one is a classic. Anyone can look at a stock chart of Cracker Barrel and see that the company has been on a downward slide for five years, losing 55% of its value. If all the people who say they were going to boycott the place had actually been patronizing it, that wouldn't be the case. The company needed to make changes, but now they've given in to the trolls who have never set foot in the place, and they'll continue tumbling toward bankruptcy.
As opposed as I am to catering to the whims of the public in general, in this instance, I think it was the right call. I hated the genericness of the new logo and thought its modern styling was completely at odds with Cracker Barrel's image as an old timey country restaurant. And to your point, they turned a negative into a positive marketing opportunity focused around listening to customer feedback. Might look a bit spineless, but I still feel this is a better approach than doubling down and watching sales hemorrhage a la Jaguar.
I kinda liked their new logo ngl. It was bold and simple, unlike the one they're reverting to, which I think has way too much going on.