December downer for restaurants. Understanding winter’s wallop. Three chains’ big growth plans for 2026. These stories and more This Week in Foodservice.

Foodservice operators ended 2025 on a downswing, as softer sales and traffic levels led to a moderate decline in the December Restaurant Performance Index.

The RPI posted a 0.8% decline compared to November, the National Restaurant Association reports. The December reading of 99.3% was the RPI’s lowest reading since March. Any reading of less than 100 means the industry is in a period of contraction.

Restaurant operators reported a net decline in same-store sales for the first time in nine months. Along those lines, 37% of restaurant operators said their same-store sales rose between December 2024 and December 2025, down from 47% of operators who reported higher sales in November. Also, 53% of operators said their sales declined in December, up 9% from November. In addition, 28% of operators said customer traffic rose between December 2024 and December 2025, down from 30% in November. And 60% of restaurant operators reported lower traffic in December, a 9% increase compared to the previous month.

Restaurant operators are less optimistic about sales growth in the coming months. Specifically, 34% of operators expect their sales volume in six months to be higher than it was during the same period in the previous year, which is 7% less than what was reported in November, Also, 25% of restaurant operators think their sales will be lower in six months, while the remaining 41% of operators expect their sales to remain flat.

Restaurant operators also remain uncertain about the direction of the overall economy, with only 25% saying they expect economic conditions to improve in six months. Thirty percent of restaurant operators think economic conditions will worsen during the next six months, while 45% think conditions will remain about the same as they are now.

Foodservice News

• Taco Bell is looking to cash in on consumers’ insatiable thirst for all things beverage related. The chain has established a goal of $5 billion in annual beverage sales by 2030, per a Nation’s Restaurant News story. A key ingredient in this success is its Live Mas Cantinas, of which the chain opened 31 last year.
• Starbucks has venti plans for 2026. The Seattle-based coffee chain intends to open 600 to 650 net new stores this year, per a Chain Store Age story. This includes 150 to 175 company locations in the U.S. China, Starbucks biggest market outside of the U.S., comprises close to half the total.
• It seems as if 2026 could be a crowning moment in Smoothie King’s growth trajectory. The chain intends to open more than 90 locations in 2026. This comes after Smoothie King reported opening 74 locations in 2025.
• Non-traditional locations will be a key ingredient in Wahlburgrers’ recipe for growth this year. Last year the chain developed what it describes as an “off-premise format” and tested it outside a few Home Depot locations. Based on the results of this test, Wahlburgers plans to open more units outside Home Depot locations this year, per a company release. Wahlburgers will land in Sarasota-Braden International Airport later this month, making it the chain’s fourth airport unit. Wahlburgers also plans to open a unit in Bass Pro Shops in California and New Jersey, as well as one in Memphis at the Big Cypress Lodge.
• Restaurant companies claimed the top three spots in Entrepreneur’s Franchise 500 list for 2026. Leading the way are Jersey Mike’s, Taco Bell, and Dunkin. A total of 25 restaurant industry companies are ranked among the list’s top 50 franchises.
• Darden is saying bye, bye to Bahama Breeze. The multiconcept operator intends to close 14 Bahama Breeze locations and convert another 14 to some of its other brands, per a Restaurant Business story. The conversions will take place over the next 12 to 18 months. Back in June of 2025, Darden began exploring strategic alternatives for the tropical themed, casual dining chain.
• Amazon plans to sharpen its focus on its Whole Foods Market business. Word of this came as the company unveiled plans to close all of its Amazon Fresh and Amazon Go stores, per multiple published reports, including this one from Grocery Dive. Amazon plans to open more than 100 Whole Foods Market locations over the next five years. The company also plans to convert an unspecified number of Amazon Fresh and Amazon Go stores to Whole Foods locations.
• Torchy’s Tacos plans to close a handful of locations, per a Restaurant Dive story. Doing so will help Torchy’s focus on its higher performing markets. Such an effort is not unusual in today’s restaurant market. In fact, the story notes that a variety of chains, including Salad and Go, Peet’s Coffee, Starbucks, and Wendy’s, are intentionally slowing their growth or closing units to improve the overall health of their systems.
• Kudos to LTI for receiving the 2025 Outstanding Community Service Award from Area in Need Missionary House. The Georgia-based manufacturer was recognized for its ongoing to commitment to serving and supporting those in need in its local Jonesboro community.

Economic News

• Consumer confidence took a nosedive in January. The Conference Board’s Consumer Confidence Index came in at 84.5 for January, which is 9.7 points less than December’s level, which was revised upward. All five of the index’s components declined in January, bringing consumer confidence to its lowest level since May of 2014, when it came in at 82.2. “References to prices and inflation, oil and gas prices, and food and grocery prices remained elevated,” said Dana Peterson, the Conference Board’s chief economist, in a release.
• For the first time in 12 months, economic activity in the manufacturing sector expanded, per the ISM Manufacturing PMI Report. The study came in at 52.6%, which is a 4.7-percentage point increase compared to December. Any reading of greater than 47.5% indicates a period of expansion.
• How much will the recent spate of severe winter weather impact the U.S. economy? Researchers don’t have a consensus just yet, but most estimates suggest severe weather events collectively can cut gross domestic product by 0.5% to 2.0% annually, per economists that spoke with the Associated Press. That would translate into $150 billion to $600 billion.