Why The US' Biggest BBQ Chain Is Struggling
As of the beginning of 2025, the chain was down to just 318 locations because of closures and restaurant sales. Additionally, many of these sales and closures occurred between 2024 and 2025, which doesn't portend good things for the barbecue brand. Dickey's virtual kitchens (delivery-exclusive establishments operating out of external kitchens) were particularly hard hit, as most of them have ceased operating. Dickey's hopes that the closures strengthen the overall brand and free up resources for the remaining locations that are thriving. However, it's not yet clear that the chain has the ability to withstand the rocky roads ahead.
Read more: 25 Popular Ruth's Chris Steak House Menu Items, Ranked Worst To Best
Dickey's Might Be To Blame For Its Own Undoing
Many beloved chains seem to be on the chopping block in 2025, including Applebee's and Denny's. A tumultuous economy and rising prices have fewer people dining out, which can affect an establishment's revenue. However, a restaurant's practices can also play a role in its demise, and franchisees of Dickey's say the company puts up too many roadblocks to success. A swathe of franchise operators claim that recurring customer discounts and limits on how high food can be priced affect their bottom lines, as does elevated food and supply costs (franchisees source these items from a subsidiary of Dickey's, which the company itself operates).
Decreasing sales and closed restaurants only account for a portion of Dickey's woes. The restaurant has also been subject to numerous lawsuits, including one in which franchisees and operators in Ohio and Idaho alleged fraudulent claims regarding cost estimates. Despite differences in location and real estate pricing, both groups received the same estimate. Additionally, they claim first year revenue was vastly overstated compared to that of existing franchises over the same period. Thanks to the myriad of issues experienced by this once-iconic chain, homemade brisket recipes look more tempting with each passing minute.
Read the original article on Mashed.
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