Dive Brief:
- Popeyes will focus on improving restaurant-level execution and reengaging with its guests this year after U.S. comparable sales were down 4.9% during the fourth quarter, Joshua Kobza, Restaurant Brands International CEO, said Thursday during its earnings call.
- Despite growing its unit count by a net of 1.6%, the chicken chain posted a 3.2% comparable sales dip during the fourth quarter, Kobza added.
- Popeyes’ parent has already taken steps to improve the brand, including appointing Peter Purdue, former Burger King U.S. COO, as president for Popeyes U.S. and Canada late last year. Perdue’s mandates include raising operational consistency. He has been rebuilding his leadership team and engaging with franchisees, Kobza said.
Dive Insight:
Despite a steady streak of positive same-store sales following its 2019 chicken sandwich launch, which led to product shortages and a spike in sales and traffic, Popeyes has struggled since the third quarter of 2024.
That summer, value offerings began ramping up across QSR chains, and brands such as McDonald’s were reaping the rewards. At the time, Kobza said the chain wasn’t as focused on value as it should have been to attract price-sensitive consumers. Popeyes reoriented its marketing strategy and has highlighted various value menu items since then.
The chain is now focused on “consistent speed, accuracy and reliability in every restaurant every day” to support its ability to win in the chicken category, Kobza said.
RBI has improved field engagement and provided support to underperforming restaurants, he added. It has increased Popeyes field operations team by 75% and launched restaurant coaching visits. The chain will host its first restaurant general manager experience rallies across the U.S. during the spring, Kobza said.
Popeyes also has prioritized its core offerings, with a focus on what resonates most with guests, including its hand-battered and fried bone-in chicken, tenders and sandwich, he said. The company plans to share more details on its Feb 26 investor day.
“We have a great group of engaged franchisees, a relatively modern asset base, solid unit economics and some of the best chicken in the industry. With disciplined execution and sustained focus, I'm very confident Popeyes will return to the level of performance it's capable of delivering,” Kobza said.
Reviving the chicken chain is possible, as Yum Brands did with KFC. Yum followed Taco Bell’s strategy of offering menu innovation and value that helped KFC post two consecutive quarters of same-store sales growth in the last half of 2025. KFC is also expanding its product line up with Kwench beverages, and is refining its chicken tenders.
