February 22nd QSR Roundup: Shake Shack's Bold Growth Strategy, Hooters Faces Bankruptcy, and Technology and Data in Restaurants

Interviewy Team

Feb 22, 2025 — 7 min read

QSR news for Feb 22nd, 2025. We reviewed 21 QSR publications, 6 subreddits, and over 81 articles to bring you the latest. Estimated reading time saved (at 200wpm): 240 minutes. It'll take you only 7 minutes to catch up.

📈 Restaurant Chains Eye Expansion Despite Market Challenges

MTY Food Group's Acquisition Ambitions

MTY Food Group plans more acquisitions after a quiet 2024, seeking the right businesses at the right prices.
CEO Eric Lefebvre emphasizes patience and discipline.
Recent acquisitions include Wetzel’s Pretzels for $207 million and Sauce Pizza & Wine.
Ended 2024 with 7,079 locations, with 66% of sales from U.S. operations.
Digital sales grew to $1.12 billion.

Shake Shack's Bold Growth Strategy

Shake Shack is pushing forward with ambitious plans despite initial concerns over premium pricing.

CEO Rob Lynch aims for 1,500 total stores, currently at around 330.
Q4 saw a 4.3% same-store sales increase, marking a 16-quarter positive streak.
The Truffle Burger became a historic success among limited-time offers.
Committed to reducing build costs and times while expanding globally into Canada, Israel, and Malaysia.
Plans for a kitchen innovation lab in Atlanta.

Texas Roadhouse Hits Record Revenue

Achieved revenue of nearly $5.4 billion in 2024, surpassing last year's $4.78 billion.
Average unit volumes topped $8 million for the first time.
Same-store sales rose by 7.7%, with 11 consecutive years of positive traffic gains.
To-go sales now constitute 13% of weekly sales.
Expanding towards 900 locations, having reached the 750-unit milestone.

Sources: Restaurant Business, Nation's Restaurant News, QSR Magazine

🍗 KFC Relocates Headquarters to Texas

KFC is moving its U.S. corporate offices from Louisville, Kentucky to Plano, Texas.
Affects around 100 corporate roles; employees offered support for relocation.
Move aims to enhance growth and collaboration within Yum! Brands.
Kentucky's governor expressed disappointment due to KFC's deep-rooted ties to the state.
A $1 million endowment will be given to the University of Louisville's College of Business.
Some offices and a flagship restaurant will remain in Louisville.

Sources: Food Business News, Salon, Restaurant Business

🍔 Hooters Faces Bankruptcy Amid Declining Sales

Hooters of America is reportedly preparing to file for bankruptcy.
Store closures: Around 40 underperforming locations closed due to declining sales and traffic.
Revenue declines: Between 2018 and 2023, sales dropped nearly 15%.
Vendor payments delayed; over 20% of bills overdue by more than 90 days.
From over 430 restaurants in 2019, now below 300.
Attempted diversification with frozen snacks and quick-service spinoff Hoots Wings.

Sources: Restaurant Business, FSR Magazine

🤝 Leadership Changes in the Industry

Church's Texas Chicken Appoints New CEO

Roland Gonzalez promoted from COO to CEO, succeeding Joe Guith.
Gonzalez brings experience from Burger King, Popeyes, and Tim Hortons.
Focus on driving growth and enhancing franchisee profitability towards $2 billion in system sales.
Recently appointed Navid Sharma as CMO and Alisa Cleek as Chief Legal Officer.

Norms Restaurants Names New CEO

Mark Politzer becomes President and CEO, moving from COO at the Mina Group.
Plans to expand beyond California, eyeing markets like Texas and Arizona.
Founded in 1949, Norms is recognized for its classic Googie architecture at its West Hollywood location.

Bloomin’ Brands Restructures Leadership

Laid off approximately 100 workers from corporate offices.
Kelia Bazile promoted to President of Carrabba’s Italian Grill.
Patrick Hafner takes over as President of Outback Steakhouse.

Sources: Restaurant Business, Nation's Restaurant News, QSR Magazine

Wendy's Introduces Thin Mints Frosty

Wendy's launches Thin Mints Frosty in partnership with Girl Scouts of the USA.
Frosty features classic chocolate or vanilla swirled with minty cookie crumble sauce.
Fans can participate in the Thin Mints Frosty Adventure game on the Wendy's app for prizes and a $10,000 sweepstakes.

Taco Bell's Birthday Cake Churros

Taco Bell launches Milk Bar Birthday Cake Churros, filled with frosting and topped with pink sprinkles.
A festive twist to the classic churro, available for a limited time.

Krispy Kreme and Hulu Collaboration

Krispy Kreme introduces donuts inspired by movie snacks, featuring flavors like blue raspberry slush and caramel popcorn.
Collaboration aims to enhance the dining experience with unique flavors.

Sources: QSR Web, Food Business News

📱 Embracing Technology and Data in Restaurants

Panda Express Tops Mobile Order Pickup

Scored 80/100 in mobile order pickup experience.
Highlights include ease of use and engagement through its app.
National loyalty program with 14 million users earning points.

Maximizing Restaurant Data

Industry shift towards using AI for scheduling, enhancing productivity, and boosting customer satisfaction.
Data-driven decisions aid in site selection and customer optimization.
Upcoming summit to discuss leveraging data for growth in the industry.

Sources: Nation's Restaurant News, QSR Web

🥑 Shift Away from Seed Oils

Coast Packing Company reports consumers moving away from seed oils towards animal fats like tallow.
20% of respondents no longer use seed oils; 39% cite health risks.
Concerns over highly processed nature (33%) and performance in cooking (26%).
Flavor preferences lead 24% to favor animal fats.
Reflects a nostalgic return to traditional cooking methods.

Sources: QSR Magazine, FSR Magazine

🍜 Culinary Adventures and New Openings

Nómada Opens in Verona

Skopos Hospitality Group introduces Nómada in Verona, New Jersey.
Inspired by Tulum and 1980s Acapulco, offering Mexican-American flavors.
Menu features Pollo Con Mole, Camarones de Zarandeado, and tacos.
Innovative cocktails focus on agave spirits.

Lemongrass in Culinary Uses

Chef Bob Somsith of Lao’d Bar in Austin highlights the versatility of lemongrass.
Used in dishes like ceviche, curry, and cocktails.
Offers citrusy and spicy notes; preservation methods include freezing and dehydrating.

Sources: FSR Magazine, Eater

🍰 Industry Challenges and Bankruptcy Concerns

Roti Modern Mediterranean Acquired

BroadPeak Capital acquires Roti Modern Mediterranean from bankruptcy for $4.6 million.
Includes 17 locations in Illinois, Washington, D.C., and Minneapolis.
Plans for operational improvements and menu innovation.

Restaurant Wage Debate

Independent Restaurant Coalition addresses the complex issue of restaurant wages.
Aims to find solutions balancing fair pay with business sustainability.
Plans to propose actionable solutions before introducing them to Congress.

Sources: Restaurant Business, Nation's Restaurant News

📊 Wholesale and Food Safety Innovations

Wholesale Solutions in 2025

Advancements in technology enhance efficiency in wholesale markets.
Platforms like BlueCart assist in order management.
Marketplaces like Faire and Alibaba cater to diverse sectors.

Enhanced Food Safety Compliance

Upcoming January 20, 2026 deadline for FDA’s FSMA Rule 204.
Requires rigorous recordkeeping for Critical Tracking Events and Key Data Elements.
Restaurants need updated traceability plans, sharing data digitally within 24 hours upon FDA request.

Sources: BlueCart, Modern Restaurant Management

🥤 Beverage Industry Moves

Celsius Acquires Alani Nutrition

Celsius Holdings, Inc. purchases Alani Nutrition LLC for about $1.8 billion.
Alani Nu focuses on products for Gen Z and millennial women.
Aims to expand reach and target $2 billion in combined sales.

DryWater's New Flavor Launch

Introduces raspberry lemon flavor hydration powder.
Free of added sugar and stevia, uses Katemfe fruit for sweetness.
Available at Walmart and online.

Sources: Food Business News

🍽️ Restaurant Trends and Discussions

Mexican Restaurant Trends

Discussion on the decline of certain Mexican restaurant chains.
Transition from Tex-Mex chains to authentic Mexican establishments.
Growth in urban areas with large Hispanic populations.

Upgrading Your Popcorn

Chefs share tips on perfecting homemade popcorn.
Using quality oils and innovative seasonings like nori dust, chicken salt, or cacio e pepe.
Transforming popcorn into a gourmet experience.

Sources: /r/restaurantowners, Food & Wine

💡 Tips and Insights for Restaurant Owners

Keys to Franchise Success

Location is critical: Understand demographics and competition.
Training programs: Comprehensive training sets up employees for success.
Daily management: Monitor key performance indicators.
Resilience: Overcoming obstacles can lead to opportunities.
Customer relations: Engaging with customers fosters loyalty.
Community involvement: Strengthens brand presence.

Maximizing Restaurant Data

Data is critical for success.
AI transforms scheduling and enhances customer satisfaction.
Expert insights from industry leaders on leveraging data.

Sources: QSR Web

📋 Employee Compensation and Tip Practices

Tip Distribution Methods

Various methods: cash payouts after shifts or adding tips to paychecks.
Importance of tax implications and transparency.
Some use fintech solutions like Kickfin for instant deposits.
Debate on cash vs. paycheck payouts.

Credit Card Tips Practices

Adding tips to paychecks for tracking and tax purposes.
Concerns over potential mismanagement of cash tips.
Emphasis on integrating tips into paychecks for transparency.

Sources: /r/restaurantowners

🌮 Taco Collaborations for Charity

Little Rey launches guest chef taco collaboration series.
First taco by Scott Crawford, featuring octopus taco with salsa macha.
Proceeds benefit local charities like Ben’s Friends, aiding workers struggling with addiction.
Each month features a new chef and charity.

Source: QSR Magazine

🍝 Dual-Branded Restaurants and Innovations

First Domestic Dual-Branded IHOP/Applebee's

Opens in Seguin, Texas.
Offers a mix of classic dishes and creative mashups like Buffalo Chicken Omelette.
Plans for a dozen more locations this year.

Norms Restaurants Expansion

Eyeing markets like Texas and Arizona.
Recently opened a location in Las Vegas.
Known for its historic Googie architecture.

Sources: Nation's Restaurant News

🍴 Industry Events and Recognitions

RATIONAL at NAFEM 2025

Showcasing iHexagon cooking system integrating steam, hot air, and microwave.
Focus on efficiency and hygiene with iCareSystem AutoDose.
Sponsoring the U.S. Culinary Open with over $14,000 in awards.

Biscuitville's Blake Jennings Honored

Named to the Triad Business Journal’s 2025 40 Under 40 list.
Recognized for role in expansion and facility renovations.

Sources: QSR Magazine, FSR Magazine

🍳 Cooking Tips and Culinary Techniques

Cooking Steak in an Air Fryer

Air fryers can produce fantastic steaks.
Best cuts: Filet Mignon, Sirloin, New York Strip.
Cook at 350°F for 12-15 minutes.
Avoid toppings that burn easily; let the steak rest for 10 minutes before serving.

Source: Salon

🌆 Mexico City: A Culinary Adventure

Mexico City is a vibrant destination with rich culture and cuisine.
Safety assured; visitors encouraged to shed stereotypes.
Must-try eateries range from street tacos to fine dining at Pujol.
Unique activities include cooking classes and traditional trajinera floats.