Burger King Plans to Remodel 400 Stores in 2024 to Boost Sales

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Burger King Plans to Remodel 400 Stores in 2024 to Boost Sales (Read More)

THE KING: Burger King sees lifts in traffic, profitability, and same-store sales in 2023 due to operational improvements and remodeling efforts. The chain plans to invest $100 million in refreshing restaurants and complete nearly 400 remodels in 2024. Burger King also attributes its success to the removal of underperforming units, increased advertising, and digital sales growth.

PROFITABILITY GROWTH: Average profitability per restaurant increased almost 50% in 2023, reaching over $205,000.

• Refresh Program: Burger King plans to invest $100 million in refreshing over 6,000 U.S. restaurants, improving drive-thru and digital experience for franchisees.

• Remodel Success: Remodeled stores open for at least six months saw a 20% sales uplift, exceeding expectations.

• Store Closures: Burger King closed a net of 264 underperforming units in 2023, contributing to improved traffic and profitability.

• Marketing Investments: The chain spent $40 million of the $150 million earmarked for advertising and digital investments in Q4 2023.

• Digital Growth: Digital channels grew 40% in 2023 year-over-year, resulting in a 15% mix.

2024 Outlook: Burger King aims to complete nearly 400 remodels, with over 80% being full scrapes and rebuilds. The chain expects to maintain momentum and advertising spend while focusing on attracting more customers through its refreshed and updated restaurants.

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