Wendy’s has unveiled a sweeping turnaround strategy aimed at revitalising its brand, reigniting growth, and boosting profitability across its global system as the company searches for a new CEO.
The plan, called Project Fresh, comes as the burger chain grapples with sluggish sales, evolving consumer habits, and a declining valuation that has led the board to cut guidance twice in the past year.
“Wendy’s board of directors and management team are dissatisfied with the current valuation of the company and have been working to put the company on the right path to create value for our franchisees, employees and shareholders,” said chairman Art Winkleblack.
The company has been operating under interim CEO Ken Cook since Kirk Tanner departed in July to lead The Hershey Company.
Winkleblack said the board continues to work “diligently” with a global executive search firm to find a permanent replacement, with a decision expected by the end of the year.
Under the new initiative, Wendy’s, which operates more than 7,000 restaurants worldwide with its franchisees, aims to strengthen its brand, optimise its operations, and reallocate resources to drive average unit volume (AUV) growth in the US.
To refresh its marketing and reconnect with younger customers, the company has hired Creed UnCo, the consultancy led by Greg Creed, former CEO of Taco Bell and Yum! Brands.
The firm will lead a transformation of Wendy’s marketing strategy using data-driven customer segmentation and insights.
Operationally, Wendy’s plans to optimise labour and daypart scheduling, enhance profitability through franchise collaboration, and invest in improved hospitality, digital ordering, and employee training. It will also adopt a returns-based approach to franchisee investments and modernise equipment for greater efficiency.
On the financial side, the company will reduce spending on its build-to-suit franchisee programme by about $20 million in 2025, with deeper cuts expected in 2026.
These savings will be redirected toward technology, marketing, and other initiatives to fuel growth. Wendy’s is also partnering with an independent advisor to identify further capital optimisation opportunities.
“With Project Fresh, we’re taking decisive steps together as ‘One Wendy’s’ to strengthen our foundation, enhance restaurant performance and modernise how our customers experience the brand,” said interim CEO Ken Cook.
“It’s about reigniting the energy and distinctiveness that have always made Wendy’s special, while positioning the company and our franchisees for profitable growth.”
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