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Burger King Accelerates Closures of Older, Low-Volume Units to Prioritize New Model

The burger chain plans to close low-quality, underperforming stores to make room for Burger King of Tomorrow restaurants.

Over the past couple of years, Burger King has "closed about 130 to 150 underperforming restaurants each year. According to an article on NRN, "the company opened more than 200 new restaurants and closed about 100 units in 2018."

Burger King will be working with franchise partners in the U.S. to close lower volume restaurants and replace them with modern "Burger King of Tomorrow restaurants that generate significantly higher average sales,” the article stated.

“Over the next two years, we expect to close more like 200 to 250,” José Cil, CEO of RBI said in May. “Ultimately, this is very good for the system as the low-volume restaurants we’re closing are being offset by new Burger King of Tomorrow restaurants.”

RBI has sited store growth as a priority, with a plan to expand global footprint from 26,000 restaurants to more than 40,000 in the next decade.

To read the full article, click here.