Fast food industry in flow in the middle of several local closures – Scran Times -Times

While several fast food restaurants have closed in recent months, an industry expert has painted a dark image for the future of hamburgers.

A Burger King restaurant in Fairview Twp., Luzerne County, closed on February 11 and another in the Eynon section of Archbald – a must -have for Midvalley for five decades – followed up the no less than a week later. The panels on the doors of the two buildings informed customers of the permanent closures, thanked the customers for their support and referred to other places in the region.

A note informs the cusotmers of the closure of King Burger on the road Scranton Carbondale in the Eynon section of Archbald. The restaurant closed permanently on February 17 (Chad Sebring / Staff photo)

Burt Flickinger III, Managing Director of Strategic Resource Group, a retail consulting company and consumer goods based in New York, provides that more closures could be on the horizon.

“There is the greatest contraction in the industry in 70 years,” said Flickinger. “People can no longer afford to go to Burger King. Historically, the cost of food has been marked by around 300% and now it is marked from 800% to 900%, and the cost of drinks marked 1,500% to 2,000%. A family of five people who go to a McDonald’s mirror would pay $ 60, which is essentially three -quarters of a grocery bill. Fast food is unaffordable. »»

A Taco Bell restaurant in Wilkes-Barre TWP. Closed at the end of January. Flickinger believes that closure may be more an anomaly because he noted that the chain attenuates the factors that have an impact on industry by offering high quality foods and better value.

“Taco Bell was going to resist the storm, just like Will Popeyes and Buffalo Wild Wings and very few other companies, especially companies based in Burger,” he said.

The Taco Bell on the 309 route in Wilkes-Barre Twp. Suddenly closed in January. (File photo)
The Taco Bell on the 309 route in Wilkes-Barre Twp. Suddenly closed in January. (File photo)

Christina Mueller -Curran, owner / operator of Mueller Family McDonald’s, based in Clarks Summit, which has 21 locations throughout the state – including Mountain Top restaurants, Hanover Twp., Wyoming, Shaververt, Old Forge, Scranon, Dickson City, South Abington TWP.

“The industry should be a little down this year and the economy in general,” she said. “It was a really difficult winter and maybe people just don’t have the discretionary money to spend at the moment. From an industry point of view, narrowing and heating bills have increased, and it may be uncertainty with the economy. He should recover in the second half. It’s just a difficult start.

Mueller-Curran does not believe that local Hamburger closures necessarily reflect the state of the current fast food landscape.

The signaling was withdrawn from the Burger King on the Scrank Carbondale road in the Eynon section of Archbald. The restaurant closed permanently on February 17. (Chad Sebring / Staff photo)
The signaling was withdrawn from the Burger King on the Scrank Carbondale road in the Eynon section of Archbald. The restaurant closed permanently on February 17. (Chad Sebring / Staff photo)

“I think these locations that have closed have underperformed for some time,” she said. “I don’t think it’s new news.”

Mueller-Curran described the current situation surrounding the restaurants of his family as “financially stable” and expects better moments to come.

“We just have to go through this uncertain period of the first quarter and we should bounce back,” she said. “I think our industry also offered fast, affordable and quality food and I don’t think it will disappear so early. I think that people’s disposable income is falling due to other expenses, but I think there will always be a place for us on the market. I just think people are backing because they have no money. »»

Although McDonald’s was isolated from the rise in egg prices due to a coverage process to lock the adjustment rates, Mueller-Curran said other high costs have created challenges.

“Insurance costs and operating costs have increased considerably since their covid,” she said. “And inflationary pressures affect our business as they are with someone.”

Mueller-Curran said McDonald’s would add crisp wrapping on the menu in June and new chicken bands in May.

The cost of the restaurant, in general, has increased considerably in recent years, because the average prices of menu in restaurants have increased by 27.2% between February 2020 and June 2024, according to data from the Bureau of Labor Statistics (BLS).

The signaling was withdrawn from the Burger King on the Scrank Carbondale road in the Eynon section of Archbald. The restaurant closed permanently on February 17 (Chad Sebring / Staff photo)
The signaling was withdrawn from the Burger King on the Scrank Carbondale road in the Eynon section of Archbald. The restaurant closed permanently on February 17 (Chad Sebring / Staff photo)

In addition, the consumer price index for limited meals – encompassing fast food chains – increased by 3.3% compared to the year, in January, according to the latest BLS report.

With several other retail sectors having been affected by mass closings in recent years, Flickinger has seen a similar perspective for fast -service restaurants.

“The next major wave for the childhood freezing period goes from chain pharmacies to chain dollar stores, and fast food chains will be the next leaders the number of victims,” ​​he said. “Everyone hopes the best for fast food, but it seems that it will be the worst economic, financially and tragically for workers and sellers, and people who count on these stores to survive to pay land taxes and school taxes.”

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