RBI chairman Patrick Doyle believes the Popeyes business is “fantastic” and an “amazing business growing fast around the world.”
He’s happy with food quality, including the recent release of the Chicken Wrap, which is off to a good start and generating buzz on social media. Doyle would put up the chain’s menu against anyone in the category.
But he also admits the chain can do better at operational execution and that Chick-fil-A has it beat, at least the way things stand now.
“Frankly, we’ve got a couple of competitors domestically who are executing at a very high level. Chick-fil-A has set the standard for running at scale—really, really great service restaurants, good-looking restaurants, and we’ve got to be as good as that,” Doyle said at the dbAccess Global Consumer Conference. “I think our food is better, but their service level and execution is better so that’s really where the opportunity is.”
It’s been a point of emphasis for years now. In 2023, Popeyes first introduced its Easy to Love strategy, which calls for simplifying restaurant operations for franchisees and making kitchens easier to run. By the end of 2026, Popeyes wants all U.S. locations to have cloud-based POS systems, digital drop charts, sticky label printers, order-ready boards, kiosks, and upgraded back-of-house equipment (auto batter makers and improved hot holding units).
“We need to run them better. We need to be faster, more accurate,” Doyle said. “I think the biggest opportunity for Popeyes domestically is execution in the restaurants. We’re doing that, it’s been improving … I think the growth from Popeyes in the U.S. is also going to come from running the restaurants better, better service, more accurate services. But the team is doing a great job.”
At the same time, Popeyes began increasing its national advertising spend in April, a move supported by most franchisees. This step-up in spend will continue for the next three years if performance targets are met. Additionally, RBI is encouraging franchisees to remodel their stores, backed by evidence that refreshed restaurants achieving an A-grade generate 30 percent higher profitability than the system average. The brand hopes to reach a consistent modern image by 2030.
RBI CEO Josh Kobza noted during the company’s Q1 earnings call that Popeyes—similar to sister brand Burger King, which is going through an even bigger turnaround phase—is being more intentional about prioritizing operational consistency over new development. He added that field teams are “raising the bar on operations” and that RBI is committed to be an example for franchisees with its roughly 100 company-owned restaurants.
“There’s a lot of energy in the Popeyes system today,” Kobza told investors in May. “The chicken segment of QSR has compelling growth dynamics, but is increasingly competitive, requiring us to raise the bar again on how we bring Popeyes amazing chicken to our guests. With a sharper focus on fundamentals, better marketing support and a more modern, high-functioning base of restaurants, we’re confident in our ability to perform in the quarters and years ahead.”
Although unit growth has dipped in recent years, the numbers are still strong.
In the past three years, the chicken chain’s U.S. unit count has grown by roughly 400 restaurants. A net of 97 locations opened in 2024, after debuting 130 in 2023 and 167 in 2022. But Popeyes believes it can boost that back to 150-plus per year once it gets operations under control.
Internationally, Popeyes went from 48 net new units in 2019 to 282 in 2024. Five years ago, the brand accounted for 5 percent of RBI’s total international net new units; last year, that jumped to 31 percent. Popeyes had about 1,500 international locations at the end of Q1, which should “keep growing at a really rapid clip over the next few years,” Kobza said during the Q1 earnings call. The U.K., India, Brazil, and Spain are all markets to watch.
RBI purchased Popeyes for $1.8 billion in 2017. At the time, the chain’s EBITDA was about $90 million. Popeyes is now earning 4x as much (accounting for the domestic and international business), according to Doyle.
In 2024, the average profitability for a franchised unit was $255,000. That’s a notable jump from $210,000 in 2022.
“The unit economics are good and getting better,” Doyle said. “It’s the best brand, best food in the business. I love Popeyes.”
Popeyes’ comps dropped 4 percent in Q1, or down 2.9 percent adjusted for Leap Day. The chain lapped a 5.7 percent rise in Q1 2024 that benefited from the company’s first Super Bowl ad.
“Popeyes has been improving, but you’ve got to be able to generate more and more demand for your restaurants,” Doyle said. “That’s what’s going to generate growth. That’s what’s going to allow you to upgrade franchisees where they need to be upgraded, get better owners in. It’s what’s going to allow the franchisees to reinvest in their restaurants to attract the right people to run them.”
