Fast Food Chains That Are Struggling To Stay In Business


Even in the best economy, the restaurant industry
is all about struggle, and now is a particularly tough time for fast food establishments. With that in mind, let’s look at some of the
major fast-food chains that are facing some major problems today. Subway has over twenty-thousand locations
in the U.S., yet it’s still on the verge of imploding. “Did you take my sub?” “No. This one got avocado on it.” “Oh, mine had avocado on it.” “Wow, how ’bout that?” “Heh, I don’t —” The Washington Post reported a twenty-five
percent drop in foot traffic over the last several years. Worse still, some estimates suggest a third
of all Subways are losing money. Franchisees seem to think leadership is the
problem. Subway is still mostly owned by its founders,
and what the founding family says, goes. Former CEO Suzanne Greco, sister of deceased
co-founder Fred DeLuca, told CBS in 2017: “Oh, I’m extremely proud to be leading this
brand. It’s really, really exciting for me.” Perhaps it was too exciting: Greco retired
as CEO in June 2018, and the chain’s problems still haven’t been fixed. There are simply too many places to get a
Subway sub. In fact, the chain may be eating into its
own sales. In June, Subway hired management consultants
Bain and Company to help organize the chain and quite possibly prepare it for a sale. If the chain is sold, it’s likely that quite
a few stores will close. Don’t get us wrong: BK is still The King when
it comes to brilliant ads. “I say, this new lamb burger in my starboard
hand is top notch!” But the fast-food chain has got some problems. It’s owned by Restaurant Brands International,
the same company that owns Canadian donut and coffee chain Tim Horton’s. Fights between Tim Horton franchisees and
Restaurant Brands International have gotten so heated, the Financial Post reports, that
the company has occasionally tried to lock franchisees out of stores. BK outlets have suffered the same steady drop
in foot traffic that’s wounded restaurants across the board. And the menu isn’t helping matters: It’s barely
been revised in recent years. While the chain is still profitable, it’s
about to be put to the test. The company is well behind fellow burger chains
in remodeling its thousands of restaurants, a process that franchisees usually have to
help pay for. There’s lots of uncertainty that this will
make up the gap, especially since no remodel of the menu is on the way. In other words, the King is about to learn
just how loyal his subjects are. Remember in July 2018 when Qdoba mocked Chipotle’s
“Free Guac Day” by delivering avocados to its rival by the truckload? That was an awesome way to remind customers
that it always offers guac for free. But it was also a reminder that less than
a year earlier, Qdoba had insisted that their free guacamole was eating into the bottom
line because avocado prices were being driven up. And there’s more bad news: In late 2017, the
chain was sold by owner Jack In The Box to Apollo Management, a company that specializes
in turning around distressed assets, sometimes with leveraged buyouts. We doubt their ad campaigns are helping to
boost sales. “We’ll always be united by our love for flavorful
quesadillas.” Chipotle just had a terrific quarter despite
years of bad press, and Moe’s is rapidly rising as a popular eatery, but Qdoba is currently
standing on a foundation of financial queso, and it doesn’t have much time to shore it
up. If Sonic’s pickle slushie left you cold, you
weren’t alone: Sonic has seen eight straight quarters of declining sales. It’s not hard to see why: Sonic is a drive-in,
when headlines are screaming about climate change. And it serves sugary drinks and fried food
right when obesity and public health are very much on people’s minds. And no wonder they’re hurting: Sonic competes
with massive brands like McDonald’s and Wendy’s. In 2018, Sonic was sold to Arby’s parent company
Inspire Brands, and they picked up the chain for 2.3 billion dollars. That means Inspire Brands is banking on an
outdated concept that feels like the culinary equivalent of chain-smoking in a coal mine. “Crunchy Fritos, warm chili, melty cheese,
all together for 99 cents. It’s like real comfort food.” “I’m trying to get out of my comfort zone
and these guys keep pulling me back in. Pulling me!” The Papa has taken a hard fall. It starts and ends with John Schnatter, founder
and former CEO of Papa John’s. “Better ingredients. Better pizza. Papa John’s.” Schnatter had an unfortunate habit of weighing
in, very publicly, on non-pizza-related issues. That habit came to a head at the end of 2017,
when he demanded that NFL players stand for the national anthem, blaming them for poor
pizza sales. He eventually stepped down as CEO, but not
before Papa John got dissed on social media by fellow pizza-makers DiGiorno: “Damn, oh, that tweet’s not delivery. It’s de-EVA-stating!” He still owned 31 percent of the stock, though,
and was still chairman. Then in July it came out that he used a racist
slur on a conference call. Schnatter resigned as the chairman, but planned
to take back full control of Papa John’s. According to complaints, Schnatter ignored
a toxic corporate culture. There were also several allegations of sexual
harassment. The damage he’s done is enormous. The company has spent millions trying to prop
up suffering franchisees and clean up its image, and it’s lost its lucrative gig as
the official pizza place of the NFL to Pizza Hut. These days, no one wants anything to do with
Papa John. “Some football players want Papa John’s name
off the football stadium.”

100 thoughts on “Fast Food Chains That Are Struggling To Stay In Business

  1. Subway sucks What you see isn’t what you get And the Whopper w cheese used to be a great burger, today Ur lucky if it’s barely arm and the counter people don’t speak English

  2. I wish I could talk to the CEO of subway. I'm a fan of subway, but subway is boring. When you walk into a subway, it's the same food. I would like to see more exciting meals, rather then pita pocket chicken meals…. there's a way to turn subway around, but they're doing this wrong. [email protected]

  3. Why? Because it's expensive food that is not healthy and tastes bad. They can all close as far as I am concerned.

  4. Papa John's is one of the best. Can't believe the way this silly SJW piles on here. I think I've heard enough of this manipulative twit.

  5. I think all fast food restaurants should stay out of politics! I don’t go to any restaurant that supports Trump.

  6. Subway, like most failing franchise companies suffered due to corporate control and greed from the parent holding companies. Whenever a franchisee speaks our or against the stupid decisions these companies make, then they will simply cut you off and rehire another franchisee. They operate like the mafia, but use their contracts as weapons. Best go independent than buy into a ponzi scheme.

  7. its sad that papa johns is struggling to stay in business because i think they make the best tasting pizza out of any fast food pizza place
    but i do have to admit their pizza was better in like 2008-2013 they started to care less about the prep and ingredients in the later years

  8. I dont know where some of you guys are eating but my local Burger King is amazing… I dont eat there every day but I do love it…

  9. I really like Burger King but they closed a lot around my area. There are only 3 burger king restaurants in my city. And most of them are located near busy places. Right now if i want to go to Burger King I have to drive far to the place or move out to a busier area. That's why I go to Mcdonald's cuz there are pretty much everywhere. I do however prefer Burger King over McDonald's but it's all about convenience and not just about the food.

  10. Subway is dying cause it’s expensive!! Every time I walk past a subway in Britain they is like one or two people ordering or sitting inside

  11. Been out of USA for several years… Did Papa John's actually start placing the topping where they are showing in the video… ON TOP OF THE CHEESE!? I'm in Thailand and all Thai people think toppings goes under the cheese which makes me think of PAPJO.. Soggy toppings are disgusting..

  12. this show is confusing as fuck what chains are they talking about? they talk about a chain, show a diff chain thats owned by another chain.. wtf

  13. I used to love Burger King but a big reason why they're loosing business is people owning their own Burger King restaurant is killing the business. A lot of the
    owners are not running them
    correctly and I've seen prejudice
    in the leadership. If you're a minority you can feel it. Minorities
    are the biggest customers. I
    doubt it's going to get better in
    this age of racism and prejudice.

  14. For one thing, corporations are going automated kiosks. Thus eliminating a future spender.
    They are putting themselves out of business just to save a buck and bigger bonuses for the top executives.
    Cancer can take years before it takes a toll. Eliminating jobs for the sake of money has the same affect over time.
    KARMA IS AWESOME

  15. THEY CAN'T PAY 15 DOLLARS HOUR FOR LABOR DEMERCATES WELL CAUSE A LOT OF COMPANY TO LEAVE AMERICA OR CLOSE DOWN BIG COMPANIES COMBINING TOGETHER AS ONE ROBOT machines
    TAKING JOBS AUTO MACHINES MAKING HAMBURGERS AND MORE

  16. Burger kings food is better then McDonald’s dont @ me.they could be better if they:
    •Clean up they’re restaurants
    •lower the dam prices
    •cater more to kids
    •get a new marketing team

  17. Papa johns didn’t lose the nfl gig 😂 they didn’t resign 🤣🤣🤣. Papa johns pizza just sucks .Kinda like this video 😂😂

  18. I liked this video up to the point of the Papa Johns portion. As a veteran, I support the former CEO in telling those douchebag NFL players to stand up during the national anthem. This video tries to make him look bad which I don't think was the case. As for the sexual allegations, I put about as much stock in them as I do the majority of the pound-me-too movement (which is nothing more than a man hunt to kill men overall).

  19. Being a drive in burger place doesn't matter if your food is really good. See: Superdawg in Chicago. That place is packed all day.

  20. KFC is one going under, don't eat the mash potatoes there at opening, they are from the night before theres other sick stuff I seen there also.

  21. I stopped eating at Burger King when I decided to dine in one day and saw them pulling all the food from black drawers overhead their working area. Only thing I seen being cooked were fries. And that King on all their commercials is so creepy! But so is the KFC Colonel man on their commercials.

  22. Now that you mention Arby’s, I used to love their roast beef sandwiches. Unfortunately, I haven’t seen any since they closed down here

  23. Fast food has become unattractive to many consumers. The price point is too high for unhealthy industrial garbage

  24. Its overpriced and unhealthy. I don't eat at fast food. It always makes me sick to my stomach and heartburn. I just can't do it. wilted lettuce, rotten tomatoes, tasteless food.

  25. The problem is that the majority of the population understands that fast food is trash food it's garbage food and it's detrimental to your health. For this reason they are sales have gone down. There's nothing shocking or surprising about this.

  26. Fast food is horrible Why you trust disgruntled people making your food? The stories in those kitchens are horrible. Most are filthy with pest and then you have their employees tainting your food with spit , poop and all kinds of stuff.

  27. Fucking climate change whiners.

    They won't eat in their cars at a drive in because of "cliiiiimate change"… so they'll DRIVE to another restaurant.

    Makes a lot of sense…if you believe "scientists" who have been consistently wrong for half a century, and, take your advice from Heidi the climate potato.

  28. We can't guarantee our food is safe, so why should we eat at these places? Until fast food and other restaurants can give us a reason to trust our food will be safe, our drinks won't be spit in and done so in a timely manner they'll continue to suffer.

  29. I don’t care if all fastfood disappears. Unfortunately 2 YEARS LATER AND THEY ARE STILL IN BUSINESS. This video was just trying to stir-up drama, but none of these chains closed

    .

  30. Bk incharleston sc 5 dead .Service sucked so bad ,all workers on cell phones face book .Im glad they out .off a job .

  31. MAKE ALL DRINKS $ONE $DOLLOR$1.00 PUT THAT ON THE MENU YOU WILL STAY IN  BUSINESS THAT'S A FACT!!!!!!!!!!!!!!!!!!!!!!!KEEPING BUSINESS IN BUSINESS.

  32. They are so overpriced and more unhealthy they used to be reasonable health and a good price now they are almost the price of a restaurant and I can get all that food for a few dollars if not a dollar at a store and cook it and let family member cook with me

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