The restaurant scene went through major changes in 2024. Some longtime favorites faced tough times, while others managed to thrive and come out on top.
Between changing consumer tastes, rising costs, and an unpredictable market, the gap between the restaurants worth spending your money on and those falling behind has never been clearer. Recent industry reports have highlighted some unexpected winners and losers, and they might just change the way you think about eating out. Let’s take a look at seven U.S. restaurant chains to avoid and ten that are worth the money right now.
1. IHOP
IHOP was once a breakfast staple, but unfortunately, it has faced some concerning trends in 2024. According to Fox Business, despite having 1,687 locations, the chain experienced a 0.5% decline in unit count. It also struggles with an average unit volume of just $2.08 million.
Nowadays, customers often complain about menu changes and service quality, which has put extra pressure on IHOP, while competitors like First Watch surge ahead with 9.2% growth in new locations.
2. Applebee’s
Applebee’s dramatic fall from grace continues, with a large drop in locations during 2024. The chain closed a bunch of restaurants while generating $4.25 billion in sales across fewer outlets.
Industry analysts have pointed to inconsistent food quality and outdated menus as the primary factors driving customers to competitors like Texas Roadhouse, which expanded by 5.2% during the same period.
3. Red Lobster
Red Lobster’s 2024 performance represents one of the industry’s most dramatic collapses. The chain closed multiple locations while sales plummeted.
Financial restructuring and bankruptcy proceedings have forced many of its locations to close their doors for good, leaving this once-beloved seafood chain harder and harder to find.
4. Subway
Subway’s decline reflects broader consumer shifts toward fresh, customizable options. Despite having 19,502 locations nationwide, the sandwich giant’s average store brings in only about $495,000 a year, which is the lowest revenue per location among major competitors.
Food science research shows that pre-prepared ingredients lose nutritional value and taste appeal, explaining why restaurants that focus on freshly made items are performing better than traditional assembly-line chains like Subway.
5. Buffalo Wild Wings
Buffalo Wild Wings is struggling due to inflation and changing consumer behaviors. Despite 4.7% location growth, the chain’s $3.39 million average unit volume reflects struggles with premium pricing in an increasingly cost-conscious market.
Economic analysts have warned that sports bar concepts relying on expensive menu items could face continued challenges as consumers look for better value propositions.
6. Denny’s
Denny’s has been struggling to maintain its reputation, even though it still operates 1,324 locations across America. The chain’s $1.92 million average unit volume signals deeper issues with brand perception and food quality.
However, there are still some signs of hope. Some restaurants have started updating their menus and improving service standards, which are changes that could help the chain bounce back if they’re rolled out consistently across all of its markets.
7. TGI Fridays
TGI Friday’s has become synonymous with declining casual dining, though specific 2024 data remains limited in public reports. Industry insiders describe a brand struggling with an identity crisis, caught between fast-casual convenience and full-service expectations.
The chain’s signature flair and extensive menu have become liabilities rather than assets in today’s streamlined dining landscape. Now, let’s look at some restaurants that are worth going to.
1. Texas Roadhouse
Texas Roadhouse has turned into a surprising value champion, achieving a remarkable $8.49 million average unit volume while expanding 5.2% in 2024.
The chain’s success stems from consistent food quality, generous portions, and strategic pricing that delivers genuine value. With 671 locations generating $5.6 billion in sales, Texas Roadhouse proves that execution trumps concept complexity.
2. Chick-fil-A
Chick-fil-A continues to lead the fast-food industry with an impressive average unit volume of $7.5 million, which is the highest of any major chain. In 2024 alone, it added 145 new locations and brought in an impressive $22.7 billion in sales through superior operational efficiency and customer service standards.
By keeping its menu simple and maintaining strict quality standards, Chick-fil-A has built a devoted following of customers who don’t mind paying a little extra for reliability and consistency.
3. Outback Steakhouse
Outback Steakhouse maintains steady performance with 675 locations and $4.07 million average unit volume. The chain’s focus on quality steaks and consistent preparation has helped it weather casual dining challenges better than many of its competitors.
Customer satisfaction surveys consistently rank Outback above other casual dining chains for food quality and value perception.
4. Panera Bread
Panera Bread’s transformation into a value proposition has surprised many critics. With 2,206 locations generating $2.6 million average unit volume, the chain has successfully positioned itself as a healthier alternative to traditional fast food.
Recent menu pricing adjustments and loyalty program enhancements have improved customer retention and frequency metrics significantly.
5. Cracker Barrel
Cracker Barrel’s enduring appeal lies in its consistent comfort food execution across all 658 of its locations. The chain’s $4.13 million average unit volume reflects strong customer loyalty and effective cost management.
Despite minimal location growth, Cracker Barrel maintains profitability through strategic menu pricing and operational efficiency that many competitors struggle to match.
6. Raising Cane
Raising Cane’s represents the cultural movement toward menu simplification and quality focus. With an impressive average unit volume of $6.56 million and adding 101 new locations in 2024, the chain has shown that specializing in just a few core items and doing them well strongly appeals to modern consumers.
The brand’s cult-like following demonstrates how authentic execution can overcome limited menu variety.
7. In-N-Out Burger
In-N-Out Burger maintains its legendary status with $5.24 million average unit volume across just 415 locations.
The chain’s deliberate expansion strategy and unwavering quality standards have created a sustainable business model that prioritizes profitability over rapid growth. A limited geographic presence actually enhances the brand’s exclusivity and customer loyalty.
8. Olive Garden
Olive Garden often sparks debates about value and authenticity, but the numbers tell a success story. With 916 locations generating $5.6 million average unit volume, the chain delivers consistent Italian-American comfort food that satisfies mainstream tastes.
Critics may question the chain’s authenticity, but customers consistently vote with their wallets for reliable quality and generous portions.
9. Starbucks
Starbucks demonstrates remarkable staying power despite criticism of its premium pricing. Adding 589 locations in 2024 and maintaining $30.4 billion in sales, the chain proves that brand loyalty can overcome price sensitivity.
The company’s strategic focus on convenience, consistency, and customer experience justifies higher prices for millions of daily customers.
10. McDonald’s
McDonald’s continues its dominance with $53.5 billion in sales and $4 million average unit volume, adding 102 locations despite market saturation.
The chain’s global scale, operational efficiency, and continuous innovation in menu offerings and technology integration maintain its position as the industry’s undisputed leader. Consistent execution across 13,559 locations represents an operational masterpiece.
The Ultimate Value Revelation
The restaurant industry’s performance in 2024 makes one thing clear: value isn’t only about offering the cheapest menu items; it’s about providing quality, consistency, and a great experience that makes the price feel worth it.
Today’s top-performing chains are thriving by focusing on efficiency, customer satisfaction, and smart long-term strategy instead of just slashing prices to stay competitive. The real success stories are the ones that strike a balance between meeting customer expectations and maintaining healthy, sustainable profits.
Dining Decisions
Your dining dollars carry more weight than ever in today’s competitive restaurant landscape. The chains worth your money consistently deliver quality food, reliable service, and genuine value that extends beyond the check total.
Meanwhile, struggling chains offer lessons in how quickly consumer preferences can shift when execution falters. Choose wisely, your satisfaction and wallet will thank you.