Major burger chain is closing 300 stores next year

6 days ago 8

Todd Campbell

Sun, November 9, 2025 astatine 12:56 PM CST 4 min read

The burger wars person ever been fiercely fought, but the conflict is adjacent much challenging this twelvemonth owed to ostentation and occupation losses. Prices are surging, and consumers are becoming progressively cautious with their spending, peculiarly erstwhile it comes to eating out.

Fast nutrient restaurants, known successful the manufacture arsenic quick-service restaurants (QSRs), person borne overmuch of the brunt of the spending pullback. And burger chains person been peculiarly hard hit, including Wendy's, which has seen its U.S. ft postulation nosedive arsenic consumers rethink their budgets.

Year Founded: 1969 (Columbus, Ohio).
Locations (worldwide): 7,334, including ~6,000 successful the U.S.
Employees: ~225,000
System-wide income (2024): $14.5 billion, up 3.1% twelvemonth implicit year.

Wendy's has ne'er been viewed arsenic the low-cost accelerated nutrient option. Its determination to absorption connected quality, contempt higher prices, was a deliberate prime that helped it carve retired concern from rivals McDonald's and Burger King. However, that niche is present moving against it arsenic it gets squeezed by casual eating restaurants, peculiarly Chili's, which are cutting prices to boost postulation and pull cost-conscious consumers -- eroding Wendy's moat.

It doesn't assistance matters that restaurants are facing dense terms increases.

"82% of those experiencing labour increases saw a 1% to 5% increase, portion 15% experienced a 6% to 14% jump," reports Pizzamarketplace.com, citing Restaurant365's Midyear State of the Restaurant Industry. "Food outgo increases besides surpassed expectations, with 91% of respondents reporting a rise, up from the 82% who had expected increases astatine the commencement of the year. More than fractional of those coping with nutrient outgo ostentation this twelvemonth are seeing a 1% to 5% increase.

As a result, Wendy's income are nether pressure, and that's forcing it to marque immoderate pugnacious decisions, including closing galore of its locations successful 2026.

Chili's determination to chopped prices connected its burgers to pull much customers has blurred the lines betwixt casual eating and accelerated food. Chili's "3 for me" woody adjacent goes arsenic acold arsenic to situation McDonald's head-on successful its marketing, saying connected its website, "With 2 slices of American cheese, ketchup, mustard, pickles, sliced onions and 85% much beef than a Quarter Pounder with Cheese*. The Big QP truly does marque different burgers look tiny."

<em>Wendy's has seen ft postulation diminution arsenic casual eating restaurants, including Chili's, encroach connected its territory</em><em>.</em>Brandon Bell/Getty Images

The 3 for maine woody gives customers an appetizer, beverage, and entree for arsenic small arsenic $10.99 -- a terms that puts it wrong the ballpark of Wendy's Dave's Combo, which clocks successful astir $12 adjacent me.