Burger King reclaims No. 2 spot from Wendy's after Whopper revamp

McDonald’s, Wendy’s install new U.S. leaders after traffic declines

Burger King has reclaimed the No. 2 spot among U.S. burger chains by sales for the 12 months ended June 30, displacing Wendy’s, after a Whopper overhaul overseen by a chef who previously developed the viral Popeyes chicken sandwich. The chain is now drawing diners at a faster rate than both McDonald’s and Wendy’s, with its restaurant sales growing faster than both rivals, according to The Wall Street Journal.

The shift in rankings comes as the fast-food industry grapples with inflation-fatigued consumers watching their food dollars and restaurants straining under rising costs, particularly for beef. McDonald’s and Wendy’s are both restructuring their U.S. operations and rethinking their promotional strategies after disappointing results.

To overhaul its signature Whopper, Burger King added a more premium bun, new mayonnaise and a box to preserve freshness, and brought in corporate chef Amy Alarcon, who had developed the Popeyes chicken sandwich that became a viral sensation in 2019. “A lot of people are saying they’re coming back for the first time in a long time,” Tom Curtis, president of the chain’s U.S. and Canada business, said in an interview.

Burger King reported an 8.5% increase in U.S. same-store sales over its most recent quarter, beating McDonald’s results by the largest margin in at least two years. The company topped both of its main rivals in visit growth in July, according to Placer.ai, which analyzes foot traffic.

Wendy’s U.S. same-store sales declined 7% in the same quarter. Wendy’s, which had held the No. 2 spot by sales since 2020, is not far behind Burger King in total U.S. sales despite having hundreds of fewer locations. McDonald’s remains the U.S. burger leader, generating roughly five times the domestic sales of Burger King and wielding a billion-dollar ad budget.

Restaurant Brands International, Burger King’s parent, has spent hundreds of millions of dollars to reverse traffic declines, helping franchisees upgrade restaurants with ordering kiosks and digital menu boards while expanding marketing. The chain had previously struggled for years with outdated restaurants and menu mistakes, including a hand-breaded chicken sandwich that was difficult to make. Several large franchise groups declared bankruptcy as profits declined, and hundreds of locations closed.

Curtis has played a visible role in the turnaround, appearing in videos on Burger King’s social media accounts where he encourages customers to call him directly with suggestions or complaints. The company said he has personally taken 3,300 calls.

Both rivals are responding. McDonald’s earlier this month appointed Skye Anderson as president of its U.S. operations, aiming to better focus the business and rally Golden Arches franchisees behind a new corporate strategy promising better food and service, including enhanced training. “You’ve shared concerns about performance, increasing complexity and an enormous pressure many restaurants are feeling today,” Anderson said in an internal video to U.S. restaurant operators, a copy of which was viewed by the Journal.

At Wendy’s, recently appointed Chief Executive Bob Wright has been traveling the country to meet with franchisees, laying out a five-point plan covering food, branding, operations, restaurants and digital strategy. “We’re in the early stages of this work, and meaningful change won’t happen overnight,” Wright said in an Aug. 7 investor call. Wright said he was conducting a top-to-bottom review of Wendy’s and slashed the company’s dividend to invest in the business. Investor Nelson Peltz, a longtime Wendy’s shareholder, is adding to the pressure; his Trian Fund Management has been exploring a deal to take the chain private.

Burger chains have leaned on value menus to boost traffic. McDonald’s kicked off the recent promotional blitz in 2024 with a series of meal deals starting at $5, adding more deals including buy-one-get-one for a dollar, lower-priced meal combos and an under-$3 menu. Wendy’s earlier this year introduced new $4, $6 and $8 tiers to its Biggie Bag deals. But executives at both chains said recently that they were rethinking how they approach deals after disappointing results. “We have restored our leadership in value and affordability, but that leadership only matters if customers see it, feel it, and believe it each time they visit,” McDonald’s CEO Chris Kempczinski said in an internal email earlier this month.

Burger King last year standardized a menu of two items for $5 or three for $7. Curtis said the deal’s consistency has made it easy for customers to remember. “It’s consistent value and commitment to your premium Whopper lineup that makes the difference here,” he said.

Burger King’s average U.S. franchisee profit last year dropped to around $185,000 per location, down from roughly $205,000 in 2023 and 2024, which executives have attributed in part to record beef prices. McDonald’s and Wendy’s franchised U.S. restaurants tend to have better margins than Burger King’s.

MSI previously reported on Burger King’s 8.5% U.S. same-store sales jump in its Aug. 6 coverage and on Wendy’s 7% quarterly sales decline and dividend cut in its Aug. 7 report.