IHOP history

A year later, in 1959, the IHOP chain became an operating division of International Industries, a public company that held more than 20 different businesses and was strongly rooted in the franchising concept.

Herzer had come to IHOP in 1967 as a controller for International Industries.

In 1973, a marketing program introduced the acronym "IHOP" for the first time.

He was appointed chief financial officer in 1974, just before the company folded.

By 1975, International Industries folded, releasing its unprofitable divisions and leaving IHOP on its own.

In 1979, a majority of IHOP Corporation's stock was purchased by Wienerwald Holding, a Swiss company that controlled other restaurant chains in the United States, including the 225-unit Lum's chain.

In 1981 IHOP became a private company when Jahn repurchased 52 percent of its stock.

Wienerwald declared bankruptcy in August 1982, leaving IHOP to SVIDO, a Swiss holding company which had no restaurant management background and left IHOP's management in place to run the chain.

Herzer was named IHOP's chief executive and chairman in 1983 and began the long process of restructuring IHOP in order to position the restaurant chain as a dominant presence in the family restaurant business.

The lunch and dinner menu was also crafted to accommodate the eating habits of IHOP's more nutritionally aware customers by offering vegetarian plates, chicken, and seafood. For example, in 1985 the Rooty-Tooty Fresh 'n Fruity special was offered in various markets for either $1.99 or $2.49, including two eggs, two sausage links, two bacon strips, two fruit pancakes, and coffee.

In May 1987, this investment team, led by Herzer, purchased IHOP from SVIDO for an estimated $50 million.

In August 1992, IHOP made another strategic move in its effort to dominate the family-dining market when it acquired 23 units in the Pacific Northwest from JB's Restaurants, Inc.

These efforts were very successful: by 1994 the IHOP corporate logo had achieved an 80 percent consumer recognition level, which was the second highest rating among sit-down restaurants in the country.

In 1996 the IHOP system included over 700 International House of Pancakes restaurants in 36 states, Canada, and Japan.

In fact, by 1998 IHOP had secured $1 billion in sales.

The firm moved from the NASDAQ to the New York Stock Exchange in 1999.

Overall, 76 new restaurants were opened during 2001--including its 1,000th location--which bolstered revenue by 7 percent and profits by 14 percent over the previous year.

An August 2003, a Nation's Restaurant News article explained the difference between the two, stating that "under IHOP's previous business model, the company financed and opened restaurants for its franchisees.

In contrast, the company's new business model places franchisees in the position of starting a restaurant from scratch." Eyed for its ability to bolster profits and stimulate franchise growth, the traditional franchise model was expected to be fully implemented by 2005.

DineEquity, the company that now owns IHOP, bought Applebee's in 2007.

2011 IHOP celebrates its sixth National Pancake Day.

IHOP marked a decade of giving with the 10th annual National Pancake Day in 2015.