McDonald’s rival closing 100s of restaurant locations

The hamburger restaurant chain sector has a huge obstacle to clear this year, competing against the nation’s most popular fast-food concept: fried chicken chains.

Fried chicken dining chains, including Raising Cane’s Chicken Fingers and Chick-fil-A, began 2026 as the most popular subsector of the fast-food industry, and will lead the sector if the concept continues the trend it set over the last year.

Fried chicken restaurant traffic rises

Traffic to fried chicken concepts rose 3% in the year ending September 2025, while all concepts dropped 1% compared to the previous year, according to market research firm Circana, as reported by Fast Company.

The variety of chicken options offered, such as chicken pieces, chicken fingers, or chicken sandwiches, and how consumers enjoy their choices, may contribute to the continued popularity of the concept, an expert says.

“This is due to the experiences the brands are creating as well as the variety of chicken and how you can enjoy it,” industry expert Reilly Newman of Motif Brands told The Food Institute. “This comes to no surprise, as the experience economy has been taking root across the globe.

Wendy’s rolls out new items

Wendy’s rolled out its new chicken tenders with a new sauce lineup to feed the popularity of fast-food chicken. It said it will launch a new chicken tenders ranch wrap during Presidents Day week, according to the company’s fourth-quarter 2025 earnings call.

In addition to its new products, the fast-food chain has other plans to strengthen its performance.

Wendy’s plans to close up to 350 restaurant locations in 2026.

Shutterstock

Wendy’s closing up to 6% of U.S. locations

Wendy’s said it plans to close 5%-6% of its 5,831 U.S. restaurant locations listed on its website, or about 292 to 350 underperforming units, in 2026, according to its fourth quarter earnings call reported by The Motley Fool.

The fast-food chain said in the Feb. 13 call that it had already closed 28 restaurants as part of its system optimization program under its Project Fresh turnaround plan to reduce the number of underperforming units to improve profitability and franchisee economics. The remaining stores will be closed throughout 2026, the company said.

Is your Wendy’s closing?

  • Wendy’s has not released a list of restaurant location closings.

“By closing consistently underperforming restaurants, we are enabling our franchisee partners to increase focus on locations with the greatest potential for profitable growth,” Wendy’s CEO Ken Cook said in the earnings call.

“We’re executing Project Fresh with urgency to strengthen our foundation and position Wendy’s for long-term success,” Cook said in a Feb. 13 statement.

U.S. same restaurant sales decline

The giant fast-food hamburger chain reported an 8.3% decline in global system wide sales on a constant currency basis and an 11.3% decline in U.S. same restaurant sales in the fourth quarter ending Dec. 28, 2025.

The restaurant chain, however, reported a 6.2% increase in international system wide sales.

More closings:

McDonald’s looked to generate more revenue at its restaurants after recognizing the fried chicken advantage last year and answered the call with its McCrispy sandwich and relaunch of Snack Wraps, as Nation’s Restaurant News reported.

The restaurant chain is currently testing new menu items at some restaurants in the Chicago area, McDonald’s Chief Restaurant Experience Officer Jill McDonald told NRN, including the DeLuxe Grilled Chicken Sandwich, BBQ Bacon Grilled Chicken Sandwich, bone-in wings, and new McCrispy tenders.

McDonald’s testing menu items:

  • DeLuxe Grilled Chicken Sandwich
  • BBQ Bacon Grilled Chicken Sandwich
  • Bone-in wings
  • McCrispy Tenders

Related: Beloved vodka and whiskey brand abruptly closes down business