In recent years, the cost of going out to eat has increased, and many people who used to enjoy eating at restaurants just aren’t doing it anymore. That’s had an effect on national chains, with things getting so bad that many have opted to shutter underperforming locations. TGI Fridays, Cracker Barrel, Applebee’s, Red Lobster, Pizza Hut, Shake Shack, Boston Market and Popeyes are just some of the brands that have closed restaurants, and now, a beloved diner chain is joining them.
In an earnings call this week, Denny’s announced that they will be closing down 150 restaurants, one tenth of their locations. Fifty will be shuttered by the end of the year with another 100 closing next year, leaving 1,375 Denny’s across the country. But there might be an even bigger change.
The restaurants are required to be open 24/7, though after the pandemic, not all of them returned to those hours. The 71-year-old company is considering no longer requiring its restaurants to be open all day and all night. Executive Vice President Steve Dunn conceded that with fewer people coming in during the overnight hours, it “didn’t make sense” for restaurants to stay open. The chain will also be whittling down their menu from 97 options to 46.
As for which locations will be closing, that hasn’t yet been announced, but they will be underperforming ones in areas that have become unprofitable or in buildings that are too old to be remodeled.
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