'They Were Better Than Arby's' - This Beloved Roast Beef Chain Peaked In The '80s. Now It's Down To 6 Locations

Arby's is likely the first thing to come to mind when talking about roast beef sandwiches today, but at one point a certain Ohio-based brand gave Alton Brown's only favored fast food chain serious competition. One former patron even claimed on Reddit: "Their roast beef was so much better than Arby's." The brand is none other than Rax Roast Beef (originally named Jax Roast Beef). Back in the 1980s, Rax was en route to becoming one of the country's fastest-growing restaurant brands as it expanded to over 500 locations across 38 states thanks to the success of its signature roast beef sandwiches. Unfortunately, the faster it rose to prominence the quicker its downfall came. It went bankrupt in 1992 and four years later it had to shut down the majority of its restaurants.

Rax entered into an agreement to convert many of its locations into Hardee's in 1994, but even this failed to materialize after it suffered another bankruptcy two years into the deal. From its peak of 500 stores, Rax eventually dwindled down to single digits. At present, it only has 6 operating stores left, officially becoming part of the once-popular restaurant chains that now barely exist. Its remaining locations are confined to the neighboring states of Ohio, Illinois, and Kentucky, which means the brand has already lost its national relevancy. Moreover, it seems Rax is operating on borrowed time.

What happened to Rax Roast Beef?

What happened to Rax Roast Beef is an important lesson in branding and identity loss. While the restaurant quickly gained a foothold as a rival to Arby's, it lost momentum when it decided to experiment with its menu, offering too much variety a little too soon. Aside from its salad bar, sandwiches, and drinks, Rax expanded its menu to include Chinese food, pizza, tacos, and desserts. Although this may have been a good move for a more established fast food restaurant chain, it didn't help Rax build a solid identity amid the competition.

There was also an issue with the company's image change. Alongside the diversification of its menu, Rax started targeting the older working demographic with the release of its ads featuring a middle-aged salesman mascot called Mr. Delicious. The campaign's melancholic humor did not resonate with consumers. Adding to this, Rax got too ambitious with its desire to expand its reach a little too quickly. Building too many restaurant locations at the same time proved to be a challenge. All these issues combined led the brand to file for bankruptcy.

The fast food industry has always been competitive, so it's no surprise that many sandwich chains are struggling to keep their stores open. In Rax's case, it only has 1% of its locations left, all of which are franchises. What's worse is that the remaining stores seem to be serving food sourced from Sysco, which means customers no longer get the authentic Rax Roast Beef experience at present.

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