Welbilt plans a bigger Texas presence. CPK refines its approach to non-traditional locations. Popeye’s and Freshii update their equipment packages. Kudos to KaTom’s president. These stories and more This Week in Foodservice.
Image courtesy of WelbiltAdd Welbilt to the growing list of foodservice equipment manufacturers investing in facilities to showcase its equipment.
A multiline foodservice equipment manufacturer that’s an Ali Group company, Welbilt will open this facility in Coppell, Texas, in the second half of 2025.
Known as the Welbilt Experience Center, this facility will provide “an interactive, hands-on environment for operators, dealers, distributors, manufacturers’ representatives, consultants and end users,” per a release. The 130,000-square-foot facility will feature dedicated brand support areas and warehousing space.
This “immersive space” will allow Welbilt customers and channel partners to experience the company’s “full range of products in action, operating in settings that closely replicate real-world foodservice environments,” per a company release. The Welbilt Experience Center will also serve as a training facility and host Welbilt University, one of the company’s educational initiatives.
Foodservice News
- Fast-casual chain Freshii plans to roll out speed ovens system-wide. The ovens give each restaurant the ability to prepare Freshii’s core menu items like oven-roasted chicken, and to expand into new options like roasted vegetables and salmon, per a company release. Foodtastic, which acquired Freshii in 2023, expects a rollout across most of its locations by the summer, with more to follow.
- Popeye’s plans to overhaul much of the equipment and technology in its system by the end of 2026, per a Restaurant Dive story. About 85% of Popeyes franchisees agreed to the chain’s remodeling/reimaging program that will overhaul the chain’s U.S. system by 2030.
- California Pizza Kitchens will lean into vending machines to help fuel its growth in non-traditional locations. Airports represent a key growth opportunity in this regard, per a Nation’s Restaurant News story. That’s due to the fact the airport restaurants continue to close earlier to address labor issues but passengers in the terminal still seek food options. The chain’s use of vending machines could expand to college residence halls, casinos and more.
- Starbucks' free coffee offer had customers buzzing. On Monday, February 10, 2025, Starbucks Rewards members were able to receive a free tall coffee from the chain, which led to an 11.3% increase in foot traffic compared to its daily average and 26.3% compared to its Monday average, per data from Placer.ai. “The “Starbucks Monday” promotion achieved several key objectives,” said R.J. Hottovy, head of analytical research at Placer.ai. “First, it significantly increased Monday visit counts versus recent months. Second, offering the promotion exclusively to Starbucks Rewards members, likely contributed to loyalty program growth, creating new opportunities for customer engagement through the app. Lastly, it reintroduced lapsed customers to some of Starbucks' early changes under CEO Brian Niccol, including streamlined operations and the return of milk and sugar stations.”
- Denny’s to-do list for 2025 includes both opening and closing restaurants. The chain anticipates consolidated restaurant closures between 70 and 90 locations” alongside 25 to 40 new units opening this year, per a Newsweek story. In 2024, Denny’s closed a net of 74 units. The restaurants Denny’s is closing are considered to be underperforming and the chain says making such a move should improve Denny’s overall health and that of its franchisees.
- Citing anticompetitive practices, Uber is taking DoorDash to court. Filed in San Francisco Superior Court, the suit alleges DoorDash has threatened restaurants with higher fees, reduced search rankings, and even removal from its app unless they agree to use DoorDash’s first-party delivery service, Drive On-Demand, instead of competitors like Uber Direct, per a FSR Magazine story.
- Kudos to KaTom’s Patricia Bible for being a recipient of the Enterprising Women of the Year Award. This recognition “honors female leaders of fast-growing operations who also work to support other women entrepreneurs and actively contribute to their communities.” Bible is the president and CEO of the Tennessee-based foodservice equipment and supplies dealership and was recognized among businesses with annual revenues of more than $100 million.
Economic News
- U.S. retail and foodservices sales declined 0.9% in January 2025 compared to the previous month, per data from the U.S. Commerce Department. Economists polled by Bloomberg had projected a 0.2% decline, per a Yahoo! Finance story, which added this marked the largest month-over-month sales decline since January of 2024. Sales did, however, increase 4.2% compared to January of 2024. Taking a closer look at the restaurant industry, eating and drinking places posted a 0.9% month-over-month sales increase in January, per a National Restaurant Association analysis. In fact, January was the 10th consecutive monthly sales gain posted by the restaurant industry, per the NRA.
- The Consumer Price Index increased 0.5% in January and 3.0% for the past 12 months, per the U.S. Bureau of Labor Statistics. Economists polled by Dow Jones had projected a monthly increase of 0.3% and the annual increase to come in at 2.9%, per a CNBC story. This comes after a 0.4% December increase. For January, grocery prices increased 0.5%, up from a 0.3% increase the previous month. Restaurant prices increased 0.2% in January, which is 0.1% less than the previous month. For the 12 months ending in January restaurant prices increased 3.4% compared to 1.9% for grocery store prices.
- The Producer Price Index for final demand increased 0.4% in January, per data from the U.S. Bureau of Labor Statistics. Final demand prices rose 0.5% in December 2024 and 0.2% in November. Economists polled by Dow Jones had projected a 0.3% PPI increase for the month, per CNBC. On an unadjusted basis, the index for final demand moved up 3.5% for the 12 months ended January 2025.
- Initial jobless claims decreased by 7,000 for a total of 213,000 for the week-ending February 8, 2025, per the U.S. Department of Labor. The 4-week moving average was 216,000, a decrease of 1,000 from the previous week.
- Industrial production increased 0.5% in January, per data from the U.S. Federal Reserve. This comes on the heels of a 1.0% December increase.