The chain is taking into account economic and demographic changes that could have impacted poor sales.
Boston Market’s 45 closures since June 30 account for 10% of its total locations, roughly 454 in all. This is not the brand’s first foray into a potential reorganization. In 2017, Boston Market was reported as considering a sale valued at $400 million. Now, however, the restaurant is focusing on renegotiating leases and closing stores in poorly-performing areas.
Frances Allen, chief executive of Boston Market, penned a letter to employees addressing the closures. “In many respects, this is a very exciting time in the restaurant industry, particularly as technology empowers the consumer in more ways and innovation continues to reshape the marketplace,” said Allen, as reported by QSR Magazine. “At the same time, the industry is facing considerable headwinds in the form of increased competition, shifting consumer preferences, and rising costs on everything from goods and labor to real estate and utilities,” Allen continued.
Going forward, the brand is looking to evolve its menu and implement digital innovation including mobile ordering and delivery options. “Our success is not going to be measured by the number of stores; it’s going to be driven by and measured by our ability to execute on our agenda,” concluded Allen.
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