Read the story here. Advertise at Before It's News here.
Profile image
By Freedom Bunker
Contributor profile | More stories
Story Views
Last hour:
Last 24 hours:

Burger King To Close 400 Stores In “Reclaim The Flame” Turnaround Strategy

% of readers think this story is Fact. Add your two cents.

Burger King To Close 400 Stores In “Reclaim The Flame” Turnaround Strategy

During an earnings call earlier this week, the CEO of Restaurant Brands International Inc., the parent company of Burger King, stated that he plans to close between 300 and 400 underperforming stores this year to streamline the fast-food brand. 

“Historically, we’ve closed a couple of hundred units at Burger King US,” CEO Joshua Kobza said in a Q1 earnings call on Tuesday. The expected closures this year appear to be well above average. 

In the first three months, several Burger King franchisees have declared bankruptcy, including Illinois-based Toms King, Michigan-based EYM King, and Utah-based Meridian Restaurants Unlimited.

Kboza said, “Traffic was modestly negative this quarter,” but noted an improvement in year-over-year traffic trends from Q4 into Q1. 

Burger King has shuttered a net total of 124 US locations, a 1.7% reduction, leaving just 7,000 US restaurants at the end of the quarter. More closures are anticipated in the coming months.

The brand’s $400 million “Reclaim the Flame” bet to regain market share and wind down underperforming restaurants might be working — as it delivered comparable sales of 8.7% year-over-year for the quarter.

Additionally, the brand strives to simplify its overly complex menus and operations. Though raising costs on the iconic Whopper could be determinantal to future sales as rival McDonald’s recently found out that higher menu prices led to a pushback from consumers. 

Not everyone can afford a $9 burger… 

And while Burger King trims stores and becomes leaner, it must realize consumers have been battered with 24 months of negative real wage growth. Any price increases might jeopardize its turnaround plan, as some consumers have now traded down fast food restaurants for “Dollar Tree Dinners.”

Burger King did go ‘woke’… 

So let’s see how this turnaround strategy pans out.

Tyler Durden Sat, 05/06/2023 – 16:00

Read More…


Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world.

Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.

"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.

Please Help Support BeforeitsNews by trying our Natural Health Products below!

Order by Phone at 888-809-8385 or online at M - F 9am to 5pm EST

Order by Phone at 866-388-7003 or online at M - F 9am to 5pm EST

Order by Phone at 866-388-7003 or online at M - F 9am to 5pm EST

Humic & Fulvic Trace Minerals Complex - Nature's most important supplement! Vivid Dreams again!

HNEX HydroNano EXtracellular Water - Improve immune system health and reduce inflammation.

Ultimate Clinical Potency Curcumin - Natural pain relief, reduce inflammation and so much more.

MitoCopper - Bioavailable Copper destroys pathogens and gives you more energy. (See Blood Video)

Oxy Powder - Natural Colon Cleanser!  Cleans out toxic buildup with oxygen!

Nascent Iodine - Promotes detoxification, mental focus and thyroid health.

Smart Meter Cover -  Reduces Smart Meter radiation by 96%! (See Video).

Report abuse


    Your Comments
    Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

    Load more ...




    Email this story
    Email this story

    If you really want to ban this commenter, please write down the reason:

    If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.