CEO, Joshua Kobza confirmed that 400 Burger King locations will close by 2024. The news was announced in a recent earnings call with no details on which locations would be getting the ax as of yet. Does Burger King closing locations left and right, spell the beginning of the end?
Kobza said that the company (Restaurant Brands International Inc) plans to partner only with “high-quality operators” going forward and that an important factor for growth, “is the willingness of our franchisees who have several restaurants to work with us and commit to implementing the changes necessary.”
As of the present moment there are just under 7,000 locations open in the US.
A spate of recent closures totaled to approximately 124 locations that have already shut down in 2023 alone.
There’s a certain level of concern for Burger King’s future in the United States right now.
Kobza clarified that the closures lie within a normal basis as every year, the chain closes a couple hundred locations. That sentiment, however, doesn’t exactly instill confidence in BK’s success.
fair degree of uncertainty regarding exact numbers
Ceo Josh Kobza
Kobza continued that the number of closures is up in the air at this time, and that there’s a: “fair degree of uncertainty regarding exact numbers. This will depend to some extent on the pace of recovery in the business, which we’ve already begun to see.”
Kobza also spoke on the advertising campaign Reclaim The Flame stating that it’s implementation is, “generating encouraging early results from the execution of the reclaim the flame plan.”
It’s no question that out of the fast food Big 4, there’s a noticeable absence of Burger King locations throughout the country. The chain just isn’t as widespread as it used to be.
And Kobza agrees, “We need to see more and more of the Burger Kings when you drive down every street in America. They need to be modern, they need to be appealing and they need to be competitive.”
With Burger King closing so many stores already, and even more scheduled to go dark – is this just annual general “clean-up” (spring cleaning)…or the sign of a foundering chain?
Only time will tell.
