My three-year-olds like B-I-N-G-O, but I think they love A-P-P-L-E even more. The visual of the bites taken out of the apples helps them remember to say "crunch" instead of the letter. It just seems easier than replacing the letter with a clap.
We have a lot of fun talking about letters and letter sounds when we do this (and various other Bingo variations we have in the room). The children find it hilarious when we say "Oh! We took away the A, so now it says "p-ple"!
It's also fun to take away the letters in the wrong order: A-P-Crunch-L-E, instead of always going from left to right.
I used a combination of ideas from Storytime Katie and Storytime ABCs. We sing:
There is a fruit I like to eat and apple is it's name-o!
A-P-P-L-E, A-P-P-L-E, A-P-P-L-E,
and apple is it's name-o!
Then as we turn over each letter to see the bite taken out of the apple, we replace the letter name with "crunch!"