Red Robin Restaurant closures are always disappointing news, and unfortunately, another well-known chain is preparing to shut down multiple locations.

Red Robin Announces Closure of 70 Locations

Red Robin Gourmet Burgers and Brews, a popular family-friendly restaurant chain, has announced plans to shut down 70 underperforming locations in 2025 after conducting an “operational review,” according to Fast Company.

With nearly 500 locations across the United States, this decision means approximately 14% of the company’s restaurants will close permanently. The specific locations set for closure have not yet been revealed.

Red Robin Locations in Pennsylvania and New Jersey

Currently, Red Robin operates 31 locations in Pennsylvania, with 11 being company-owned and 20 franchised. In New Jersey, there are 12 locations, including 11 company-owned restaurants and one franchised location. Since franchised locations operate independently, they may not be affected by the closures.

Many Red Robin locations have been community staples, attracting families, friends, and burger lovers with their diverse menu and signature bottomless fries. However, economic challenges and changing dining habits have impacted the restaurant’s performance in recent years.

Closure Timeline Linked to Lease Expirations

The company plans to close restaurants as their leases expire, a process that could take up to five years. However, 15 locations are expected to shut down within 2025 alone. The restaurant industry has faced significant difficulties, including rising operational costs, supply chain disruptions, and evolving consumer preferences. Many customers now prefer takeout and delivery options, impacting traditional dine-in chains like Red Robin.

Financial Struggles Behind the Decision

Red Robin reported a net loss of nearly $40 million in the fourth quarter of 2024, compared to a loss of approximately $14 million during the same period in 2023. The increased losses indicate that the restaurant chain has been struggling to maintain profitability.

To combat declining revenue, Red Robin has tried various strategies, including menu revamps, promotional discounts, and enhanced customer experiences. Despite these efforts, some locations have continued to underperform, leading to the decision to close multiple restaurants.

The North Star Plan: Red Robin’s Strategy for Recovery

Despite these challenges, Red Robin remains hopeful about the future. The company’s CEO, G.J. Hart, has introduced the North Star Plan, an initiative aimed at regaining customers and improving business performance.

This plan includes improving food quality, enhancing service, and revamping restaurant interiors to create a better dining experience. Red Robin hopes that by focusing on these areas, they can attract new customers and retain their loyal fan base.

New Menu Offerings to Win Back Customers

To attract diners, Red Robin is also introducing new menu items, including the recently launched Buzzer Beater Bacon Cheeseburger, promoted with the tagline “Slam dunk your hunger.” The chain is also experimenting with limited-time offers and seasonal specials to generate excitement and increase foot traffic.

Another aspect of Red Robin’s comeback strategy is expanding its digital presence. The company is investing in mobile ordering, online promotions, and a better takeout and delivery system to keep up with changing consumer habits. Many restaurants are shifting toward digital solutions, and Red Robin is no exception.

Industry Trends and the Future of Casual Dining Chains

The restaurant industry has seen a wave of closures, with several well-known brands reducing their footprint to stay afloat. Factors such as inflation, higher wages, and shifting consumer dining patterns have forced many restaurants to rethink their business models.

Despite the current closures, Red Robin’s leadership remains optimistic. By streamlining operations and focusing on customer satisfaction, they believe they can strengthen the brand and return to profitability in the coming years.

While the closure of 70 Red Robin locations marks a difficult time for the company, efforts are being made to revitalize the brand. Customers who love the restaurant’s signature burgers and family-friendly atmosphere may still have time to visit their favorite locations before closures take effect. Keep an eye out for further announcements on which specific locations will be affected.

As the restaurant industry continues to evolve, Red Robin is making bold moves to stay competitive. Time will tell if these changes will be enough to secure the company’s future. Until then, burger lovers can continue to enjoy their favorite meals at locations that remain open.