Why Burger King Is Set to Shutter Hundreds of Storefronts This Year
Burger King is closing up to 400 stores this year.
As reported by TODAY, CEO of Restaurant Brands International Inc. Joshua Kobza announced during a call with investors that the fast food chain will be shutting down between 300 and 400 locations throughout the rest of the year. He noted that, typically, the chain only closes a couple of hundred locations a year, making this a historic high.
The company's chairman, Patrick Doyle, reportedly said during the call that "there will always be a minority [of franchisees] who aren't dedicated, enthusiastic operators."
He added, "We'll work with them to leave the system and move on to do something else. There simply is no room for franchisees who are not willing or able to work hard to operate restaurants that are better than the system average over the long term."
As mentioned by TODAY, this news comes after various major Burger King franchisees filed for bankruptcy this year: Illinois' Toms King, Michigan's EYM King, and Utah's Meridian Restaurants Unlimited.
The publication also reports that there are fewer than a total of 7,000 Burger King stores left in the United States. In a press release sharing Restaurant Brands International Inc.'s earnings, it's said that 124 Burger Kings have already closed down in 2023.
Per The Sun, the states affected by the closures include Minnesota, Kansas, Nebraska, Montana, North Dakota, Utah, Wyoming, and Michigan.
Burger King is also trying to draw in more customers with new and returning menu items. In March, Burger King saw the return of its Melts (Classic Melt, Spicy Melt, and Bacon Melt) and introduced Spicy Chicken Fries.