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Date: 2025-01-08 Page is: DBtxt003.php txt00027818

US RESTAURANTS FAR TOO MUCH FAST FO0D! Finance Economist: 15 Restaurant Chains That Might Vanish in 2025 PLAY YOUTUBE VIDEO Original article: https://www.youtube.com/watch?v=NizoL6eVtAc Peter Burgess COMMENTARY Restaurants ... and especially fast food restaurants are in trouble. And in my view, they deserve to be in trouble. They offer quite undesirable menus at very high prices ... in pretty awful surroundings! Surely ... a formula for failute! Though it might deliver profits for a little while! I am however a little emotional about this compilation. Back in the early 1970s ... more than 50 years ago ... I was involved with a corporate turnaround in Georgia and had my evening meal almost every night at a local Red Lobster Restaurant. At the time there were only about 4 of these restaurants in the 'chain' ... and their food was excellent and reasonably priced. Fast forward several decades and they have now gone into terminal decline ... bad choices by greedy investors! Peter Burgess
15 Restaurant Chains That Might Vanish in 2025 Finance Economist 15 Restaurant Chains That Might Vanish in 2025 56.7K subscribers Dec 20, 2024 America’s beloved restaurant chains are on the brink of extinction. Skyrocketing costs, plunging sales, and a consumer base tightening their wallets have pushed even the biggest names to the edge of collapse. Once-bustling dining rooms now sit eerily empty, while financial losses pile up faster than a weekend rush. From mismanagement to failed marketing stunts, the cracks in their foundations are impossible to ignore. If you think your favorite food spots are safe, think again—because 2025 could be the year we say goodbye to some of these icons for good. The video explores the financial struggles of 15 popular restaurant chains, highlighting the challenges they face in a changing market. From rising costs and declining customer traffic to competition from newer, more adaptable brands, these chains are fighting for survival, and some may not make it to 2025. Auto-dubbed Audio tracks for some languages were automatically generated. Learn more Transcript 0:00 15 restaurant chains that might vanish in 2025 America's beloved restaurant chains are on the brink of Extinction skyrocketing costs plunging sales and a consumer base tightening their wallets have pushed even the biggest names to the edge of collapse once bustling dining rooms now sit eerily empty while Financial losses pile up faster than a weekend rush from mismanagement to failed marketing stunts the cracks in their foundations are impossible to ignore if you think your favorite food spots are safe think again because 2025 could be the year we say goodbye to some of these icons for good here's the shocking list of chains fighting tooth and nail to survive another year 15 Red Lobster Red Lobster is swimming in Dangerous Waters and not the kind that make for a seafood Feast the chain that built its Empire on buttery biscuits and endless shrimp is now floundering financially Rising Seafood costs particular for lobster and shrimp are 1:01 slicing into profit margins like a freshly sharpened filet knife The Wall Street Journal recently revealed that Red Lobster parent company taii Union has been forced to restructure its us operations due to multi-million dollar losses reported in 2024 inflation has made even the simplest menu items unaffordable for many middleclass families who once flocked to the chain for its relatively affordable Seafood options to add insult to to injury the Brand's endless promotions are becoming unsustainable with some analysts suggesting the company loses up to $5 per customer during its wildly popular endless shrimp deals furthermore Fierce competition from fast casual Seafood Concepts is eating into its customer base while fewer customers are opting for sit down dining amidst economic instability unless Red Lobster can find a way to drastically reduce its costs and draw customers back in the chain may end up 2:00 washed out to sea by 2025 14 Boston Market Boston Market once a beloved option for rotisserie chicken lovers is facing a slow and painful demise known for its hearty comfort food and convenient family style meals the brand has seen its reputation take a significant hit in recent years according to a recent expose by Forbes the chain has been grappling with a slew of lawsuits including claims of wage theft and unsafe working condition these legal battles combined with declining sales have placed Boston Market in a precarious financial position Additionally the rise of Home meal delivery services and grocery store hot bars have made Boston Market's business model seem outdated why spend $20 on a family meal deal when you can get the same thing for less and with more variety at your local supermarket with over 15% of its locations shuttered in 2024 alone analysts fear that Boston 3:00 Market won't have enough momentum to survive another year a company once hailed as a disruptor in fast casual dining May soon find itself disrupted out of existence 13 Applebees the slogan may be eaten good in the neighborhood but it's clear that fewer people are making a trip to Applebee's Neighborhood the chain has become the poster child for struggling casual dining establishments with countless locations closing their doors in 2024 High inflation has been particularly cruel to Applebees as its Target demographic middle-income families are cutting back on dining out altogether according to a Bloomberg report the chains signature2 for $20 deal is no longer a draw for cost conscious customers especially since the meals now cost closer to $25 in many locations moreover younger diners are turning away from the traditional sitdown dining experience in favor of trendier and faster options Applebee's efforts to revitalize its 4:01 image by offering late night deals and karaoke events haven't yielded the results Executives hoped for while the company continues to insist that it's not going anywhere mounting losses and dwindling Customer Loyalty suggest that Applebees May soon be a relic of the past 12 chilies Chili's may have mastered the art of sizzling fajitas but it's struggling to keep its financials hot the brand is facing steep competition from fast casual Mexican inspired chains like Chipotle and Coba which offer customizable meals at lower price points Chile's Reliance on sitdown dining has left it vulnerable during an era where takeout and delivery dominate its attempts to modernize including the introduction of robotic servers and streamlined menus haven't been enough to offset the rising costs of food labor and utilities moreover Chile's parent company Brinker International announced in late 202 24 that the Chain's profit 5:01 margins had shrunk to their lowest levels in decades an anonymous source within the company revealed that multiple Chili's locations across rural areas are being quietly shuttered to cut losses while the chain is still a Powerhouse in Suburban markets experts warn that Chili's might be forced to downsize dramatically or even sell off some of its remaining locations to survive into 2025 for a chain that once defined the casual Shing boom its potential disappearance marks the end of an era 11 Buffalo Wild Wings Buffalo Wild Wings once the ultimate destination for sports fans and Wing lovers alike is now teetering on the edge of Extinction the chain has been unable to keep up with skyrocketing chicken wing prices which have surged by over 25% in the last year alone as reported by market watch to offset these costs Buffalo Wild Wings increased menu prices leading to a sharp decline in in foot traffic fans are 6:01 balking at paying $20 for a dozen wings when they can get cheaper options at smaller local spots or even make them at home compounding these issues many franchise owners are reporting significant losses due to declining alcohol sales a critical Revenue driver for the brand younger patrons are also gravitating toward more healthc conscious and Innovative dining options leaving Buffalo Wild Wings struggling to attract new customers with fewer people filling their booths on game days and analysts speculating that the chains parent company Inspire Brands may consider selling or closing locations Buffalo Wild Wings may not survive past 2025 10 Subway Subway's long-standing dominance in the sandwich industry is crumbling and its struggles have only intensified in 2024 while the brand boasts thousands of locations worldwide this sheer size has become a liability and as franchisees contend with razor 7:01 thin profit margins and Rising overhead costs a Business Insider report revealed that dozens of Subway operators filed lawsuits against the company this year alleging predatory lease agreements and unmanageable demands for mandatory store upgrades meanwhile customers are growing increasingly disillusioned with the quality of subways offerings social media is Rife with complaints about inconsistent portion sizes and the ch ains highly processed ingredients efforts to revamp the menu with premium options like fresh sliced deli meats have fallen flat as consumers perceive these changes as disingenuous despite Subway's rebranding efforts and the introduction of delivery services the chain has closed hundreds of locations in 2024 and experts predict that this downsizing may only accelerate without a dramatic overhaul of its business model subway could soon find itself a relic of the past 8:00 nine TGI Fridays TGI Fridays once synonymous with vibrant happy hours and boisterous celebrations is rapidly losing its appeal to American diners the chain is facing declining customer traffic as it struggles to remain relevant in a casual dining sector that has become overcrowded with competitors a 2024 report from restaurant business noted that TGI Fridays has closed over 20% of its locations in the past 3 years citing unprofitability as the the main reason Rising food and labor costs have further squeezed the Brand's already precarious margins leaving many franchisees unable to stay afloat the chains attempts to appeal to a younger demographic with social media friendly menu items like rainbow cocktails and over-the-top desserts have been met with tepid enthusiasm many of its locations particularly in Suburban areas are described as outdated and uninspiring by diners on Yelp and Trip Advisor even long time fans of the brand lament that 9:01 its once legendary flare has faded with little room for growth and mounting financial troubles TGI Fridays could be saying its final thank goodness in 20258 IHOP IHOP the International House of Pancakes has been a staple of breakfast lovers for decades but the Chain's future is anything but sunny side up a report from restaurant dive revealed that IHOP sales have been steadily declining as consumers increasingly opt for cheaper on-the-go breakfast options from competitors like McDonald's or Starbucks meanwhile Rising costs of key ingredients such as eggs milk and flour are squeezing IHOP's margins forcing menu prices to rise beyond what many budget conscious families are willing to pay in 2024 a substantial number of franchisees reported Financial losses with several opting to close their doors rather than invest in costly Renovations mandated by the corporate office to make matters 10:01 worse the Chain's widely publicized ihob marketing stunt from a few years ago an attempt to reposition itself as a burger joint alienated loyal customers and failed to attract new ones industry insiders suggest that IHOP's Reliance on dinein traffic rather than takeout or delivery puts it at a disadvantage in the current dining climate with dozens of underperforming locations shuttered in 2024 and more closures expected in 2025 IHOP May soon become a relic of a bygone era in casual dining seven Checkers and rallies Checkers and rallies known for their seasoned fries and drive-through focused model are facing a financial and operational storm that could lead to their downfall while the Dual branded burger chain initially seemed poised to thrive in a post pandemic World due to its focus on fast food and takeout the reality has been far less favorable according to qsr 11:01 magazine Checkers and rallies have been hit hard by supply chain disruptions with ingredient shortages causing delays and menu modifications that frustrated customers additionally competition from larger fastf food giants like McDonald's and Wendy's who have deeper Pockets to invest in marketing and technology has pushed Checkers and rallies to the sidelines their recent attempts to modernize operations including the introduction of AI powered drive-through systems have not been enough to compensate for plummeting customer satisfaction ratings many diners complain about long wait times and inconsistent food quality franchisees are reportedly struggling to stay afloat with over 10% of locations closing in 2024 alone unless the chain can pull off a miraculous turnaround Checkers and rallies May soon be a thing of the past six Outback Steakhouse Outback Steakhouse famed for its blooming onion and Hardy Australian themed menu is 12:01 facing a tough road ahead the steakhouse chain is struggling to adapt to changing consumer habits as diners move away from sitdown casual dining experiences in favor of faster more affordable options Rising beef prices which have climbed by over 30% in the last 2 years are wreaking havoc on the Chain's already thin margins forcing Outback to increase menu prices significantly as reported by restaurant business franchise operators are growing Restless claiming corporate leadership is disconnected from the realities of operating in today's challenging economic climate moreover Outback's attempts to attract younger customers with digital initiatives and a focus on takeout and delivery have fallen flat the Chain's older more traditional customer base is shrinking while new diners view Outback as outdated and uninspiring its parent company Bloom and Brands announced in late 2024 that it would close nearly 50 13:00 underperforming locations in an attempt to cut losses however analysts warn that these closures may not be enough to save the chain from a broader industry Trend that's leaving stake focused casual dining Concepts in the dust without major reinvention Outback may not survive the economic turbulence of 2025 five Sparro as Sparro the Mall food court Pizza staple has been battling for survival for years but 2024 may have have been the nail in its coffin the chain which specializes in oversized pizza slices and quick Italian Fair has struggled to remain relevant as traditional shopping malls once its primary stronghold continue to decline according to retail dive foot traffic at malls has dropped by nearly 40% since 2020 leaving Sparro locations with dwindling customer bases compounding this issue competitors like Domino's and Papa John's dominate the delivery Market while Boutique pizzerias and fast casual 14:01 chains like MOD Pizza have taken over the dinin space Sparrow's efforts to reinvent Itself by opening Standalone locations in urban areas and smaller shopping centers have met mixed results many of these new locations are reportedly underperforming leading to significant financial losses furthermore Rising costs of cheese and wheat have made it difficult for Sparro to maintain its low prices pushing budget conscious customers toward more affordable options with many franchises Calling it Quits and dozens of locations closing in 2024 it's hard to see a path forward for Sparro in 2025 unless the brand can find a way to innovate and capture a new audience it may soon be relegated to a nostalgic footnote in the history of American fast food four Ruby Tuesday Ruby Tuesday once a dominant player in the casual dining sector is continuing its descent Into Obscurity as it grapples with declining customer 15:00 interest and mounting operational costs over the last decade Ruby Tuesday has shuttered more than 600 locations leaving just over 200 restaurants operational as of late 2024 according to a recent Nations restaurant news report the chain is still struggling to recover from its 2021 bankruptcy filing and the Ripple effects of the pandemic have only worsened its Financial wo franchisees are reported operating on razor thin margins with many unable to cover their leases or afford necessary upgrades to meet corporate standards Ruby Tuesday's efforts to stay relevant such as revamping its menu and offering meal kits for at home dining have largely failed to drawback diners the rise of fast casual competitors like Panera Bread and sweet green has made Ruby Tuesday's offerings feel outdated and younger consumers increasingly associate the brand with a bygone era of casual dining compounding these issues 16:00 inflation has hit Ruby Tuesday's middleclass customer base particularly hard making dining out feel like an unnecessary luxury with its dwindling footprint and a rapidly shrinking customer base many analysts predict that Ruby Tuesday will be completely wiped off the map by 2025 marking the end of an era for the once popular chain three Chuck E Cheese Chuck E cheese the nostalgic pizza and games Haven of countless childhood memories is facing a crisis that could spell the end for the Chain by 2025 while the brand managed to Stave off disaster with a bankruptcy filing in 2020 its financial troubles have only deepened since then according to a report from Bloomberg the chains parent company C entertainment revealed that its debt ballooned to nearly $2 billion in 2024 due to Rising operating costs and declining foot traffic a major part of the problem is that Chuck E che's core business model offering arcade 17:01 games party rooms and a family dining experience has lost appeal in a digital first world today's kids prefer playing video games and streaming content at home leaving Chuck E cheese struggling to attract its Target demographic the pandemic exacerbated this trend and despite the Chain's efforts to introduce delivery services and Frozen Pizza products in grocery stores it hasn't been enough to offset losses CCC entertainment has faced significant backlash over the upkeep of its locations with many customers complaining about outdated equipment poor sanitation and lackluster food quality legal issues have also plagued the company including a class action lawsuit over alleged unfair labor practices filed by employees in 2024 with mounting debt and eroding customer base and fierce competition from both fast casual dining chains and home entertainment options Chuck E chees appears to be on its last life many 18:01 analysts believe that 2025 could see the Beloved mascot hang up his oversized shoes for good leaving millions of Millennials and jenar with only memories of simpler times two Hard Rock Cafe Hard Rock Cafe once a global phenomenon known for its rock and roll memorabilia and themed dining experience is now a shadow of its former self struggling to remain relevant in an oversaturated Market according to Forbes the chain has been bleeding money in recent years with dozens of locations closing quietly across North America Europe and Asia while its name still carries some weight among tourists the novelty of its concept has worn thin and Millennials and gen Z consumers are showing little interest in paying a premium for subpar food and a Dusty collection of autographed guitars the pandemic dealt a severe blow to Hard Rock Cafe as its Reliance on International tourists left many locations desolate during lockdown even as travel has resumed the Chain's 19:01 recovery has lagged behind competitors with its average check size falling below industry standards furthermore operational costs particularly for its prime real estate locations in cities like New York Las Vegas and London have skyrocketed making profitability nearly impossible a 2024 restaurant business report revealed that Several Hard Rock franchisees are on the brink of bankruptcy citing High fees and and shrinking customer traffic as insurmountable challenges hard rocks attempts to adapt including offering more local Cuisines and hosting live streamed concerts have been met with lukewarm reception analysts predict that without a complete overhaul of its brand and business model Hard Rock Cafe could face widespread closures in 2025 marking the end of a cultural icon that once defined the dining and entertainment Experience One Pizza Hut p Pizza Hut the iconic Pizza chain that dominated the 20:01 1990s with its dinein restaurants and buffet style offerings is now in a battle for survival the chain has been losing ground for years to faster more modern competitors like Domino's and Papa John's which have outpaced Pizza Hut in both delivery efficiency and digital Innovation as of 2024 Pizza Hut sales have declined by nearly 12% year-over-year according to a report from qsr magazine with over 400 Us locations closing in the past 18 months alone the chain is rapidly downsizing as it struggles to remain relevant in a fiercely competitive market a major part of Pizza Hut's decline stems from its inability to adapt to changing consumer preferences its dinin model once a staple of family outings has become an albatross in an era dominated by takeout and delivery while the chain has attempted to Pivot to delivery focused stores these efforts have been too little too late meanwhile inflationary 21:01 pressures on cheese wheat and labor costs have forced Pizza Hut to raise prices further alienating cost conscious consumers adding to its wos a series of Highly publicized quality control issues including reports of improperly cooked pizzas and delivery delays has tarnished its reputation franchisees are feeling the squeeze with many abandoning their locations due to slim margins and high operation costs in 2024 a leaked internal memo revealed that corporate executives are exploring strategic Alternatives often a euphemism for selling or dismantling parts of the business industry experts warn that Pizza Hut survival hinges on a drastic reinvention of its brand operations and menu without such changes 2025 may see the collapse of one of America's most iconic pizza chains leaving behind only memories of red roofed restaurants and stuffed crust pizzas that once 22:00 captivated the nation the restaurant industry is in survival mode and for many beloved chains the clock is ticking with Rising costs shifting consumer habits and Relentless competition these once thriving brands are now at the mercy of an unforgiving Market as we brace for 2025 only time will tell which of these chains can weather the storm or if they'll be gone forever eat up while you can because your next visit might just be your last

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