Wendy's is taking a hard look at its restaurants as it works to improve sales

Wendy's Reviews Weaker Restaurants to Boost Sales

The fast-food burger chain Wendy's is working closely with franchisees to address weaker restaurant locations in an effort to reverse a recent decline in sales. The company is considering various strategies including fixing, selling, or closing underperforming outlets.

Plans for Struggling Locations

During a presentation to investors, Wendy's executives explained they are collaborating with franchise owners to develop tailored plans for their stores. These plans may involve investment in the assets, upgrading service quality, improving operations, or transferring ownership to different franchisees.

Potential Store Closures

The company indicated that some restaurants might be closed, possibly starting this year. Wendy's interim CEO, Ken Cook, mentioned that approximately a mid-single-digit percentage of U.S. restaurants could close following the evaluation process.

"When we look at the system today, we have some restaurants that do not elevate the brand and are a drag from a franchisee financial performance perspective," Cook said.
"The goal is to address and fix those restaurants. So in some cases that’s going to mean deploying operational improvements, deploying additional technology or equipment."

Scope of Impact

Wendy's operates just under 6,000 locations in total. A mid-single-digit percentage closure translates to fewer than 300 restaurants potentially shutting down as part of this strategic review.

Author’s Summary

Wendy's plans to enhance sales by improving or closing its underperforming restaurants, aiming to boost service and financial results through focused franchise collaboration.

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Restaurant Business Online Restaurant Business Online — 2025-11-07

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