KFC has closed more than 700 U.S. restaurants over the past several years as the once-dominant fried chicken chain loses ground to newer competitors, according to housing and economy commentator Michael Bordenaro, who says the company’s American decline reflects a broader problem of higher prices, weaker service and changing consumer habits.
Bordenaro said KFC closed 312 U.S. locations over the past year after shutting 147 in 2025, 124 in 2024 and 127 in 2023, putting the total above 700 stores in that stretch.
He contrasted that decline with growth at chains such as Chick-fil-A, Raising Cane’s, Wingstop and Popeyes, arguing that Americans still want chicken but are increasingly choosing to spend their money somewhere else.
KFC Has Been Shrinking For Years
Bordenaro said the problem did not begin suddenly.
KFC has been steadily closing American stores for several years, even while competitors have expanded and taken a larger share of consumer spending.
He said U.S. spending at KFC fell 4% in 2024, pushing the chain down to No. 23 among the country’s largest restaurant brands and fifth among major quick-service chicken chains.
For a company that helped make fried chicken a national fast-food category, that is a major change.
Bordenaro argued that KFC once had the kind of cultural position newer chicken chains now enjoy, but lost much of that advantage as prices rose and the customer experience became less consistent.
His broader point is simple: people did not stop eating chicken.
They found other places they preferred.
International Growth Is Keeping KFC Strong Globally
The surprising part of the story, Bordenaro said, is that KFC is not failing everywhere.
Worldwide sales actually rose 6% in the most recent quarter he discussed, while global same-store sales increased 2% and operating profit rose 13%.
KFC also opened 660 new restaurants across 55 countries during the quarter.
That means the brand is expanding internationally at a much faster pace than it is shrinking in the United States.
Bordenaro said America now accounts for only about 12% of KFC’s worldwide system sales, compared with 26% from China and another 13% from Europe.
On paper, those numbers make KFC look healthy.
But Bordenaro argued that the contrast between global growth and American weakness is important because it could be hiding problems in the brand’s original market.
He believes international customers may still see KFC as something newer or more exciting, while U.S. customers have already spent years watching prices go up and service quality become more uneven.
Bordenaro Says Value Is The Real Problem
One of Bordenaro’s biggest criticisms was price.
He said a 16-piece bucket of chicken by itself can cost around $37 in many places, and once sides, biscuits, drinks, taxes, delivery fees and tips are added, a family meal can easily climb past $50 or $60.
At that price, he argued, customers begin comparing KFC not only with other fast-food restaurants but with sit-down restaurants.
That does not necessarily mean KFC is always more expensive on a per-person basis, especially for a large family, but Bordenaro said the value equation becomes harder to defend when service and quality are inconsistent.
He also criticized the idea that simply offering lower-priced promotional meals will fix the problem.
KFC introduced $5 meal deals in 2024 and later rolled out feast boxes priced around $7, $9 and $11, but Bordenaro said discounts do not solve the underlying issue if customers do not enjoy the experience.
“There’s a big difference between having an inexpensive price and providing value,” he said.
That may be the strongest point in his analysis.
A cheap meal can bring someone in once, but if the food is dry, the order is wrong, the restaurant is understaffed or the wait is too long, that customer may not come back.
Competitors Have Built Stronger Identities
Bordenaro also argued that KFC has been slow to adapt to changing eating habits.
The chain historically built much of its identity around family buckets, but many customers now prefer individual meals, chicken sandwiches, tenders, wings and more customizable options.
He pointed to Raising Cane’s focus on chicken fingers, Wingstop’s emphasis on wings and sauces, and Chick-fil-A’s strength in chicken sandwiches as examples of competitors owning a clearer niche.
KFC, in his view, has struggled to make its traditional format feel equally relevant to younger customers.
He also said some KFC locations simply feel old compared with more modern rivals.
Competitors have invested heavily in digital ordering, drive-thru efficiency, updated dining rooms, loyalty programs and newer store designs.
By comparison, Bordenaro said many KFC restaurants still feel like they belong to an earlier era.
That matters because customers form an impression before they ever take the first bite.
An aging building, empty parking lot or slow line can make the entire brand feel behind the times.
Yum! Brands Says It Plans To Modernize
Bordenaro said KFC parent company Yum! Brands is responding by modernizing U.S. stores and updating the menu.
He said the company appears to understand that the American operation needs changes if it wants to compete more effectively with newer chicken chains.
He also questioned whether KFC’s branding has become dated.
Colonel Sanders remains one of the most recognizable characters in fast food, but Bordenaro wondered whether younger consumers feel the same connection to that image as older generations.
He compared it with McDonald’s, which once leaned much more heavily on Ronald McDonald but gradually moved away from that mascot-centered identity.
The challenge for KFC is finding a way to keep its history without making the entire brand feel stuck in it.
Bordenaro Connects KFC’s Problems To The Wider Economy
The second half of Bordenaro’s video moved beyond KFC and into the broader economy, where he argued that rising borrowing costs are putting additional pressure on consumers and businesses.
He said the 10-year Treasury yield had recently moved above 5%, a level he described as significant because it influences mortgage rates, business loans, commercial real estate financing, auto loans and other borrowing costs.
Bordenaro said higher yields are already pushing mortgage rates back above 7%, making the housing market even more difficult for buyers and sellers.
He also linked higher interest rates with weaker consumer spending.
If monthly payments rise, households have less room for discretionary purchases, including restaurant meals.
That connection matters for fast food because chains such as KFC depend heavily on consumers feeling that a meal out is affordable enough to justify.
When gasoline, housing, utilities and loan payments are all rising, a $50 or $60 chicken dinner becomes much easier to skip.
KFC’s U.S. Decline Is Not The Whole Story
Bordenaro’s overall view is that KFC faces a serious problem in America but remains far from a failed global business.
International growth is strong enough to offset much of the weakness in the United States, and the company continues opening hundreds of stores abroad.
Still, he questioned how long that success can continue if the same issues that pushed American customers away eventually appear in other markets.
His concern is that higher prices, inconsistent service and aging stores are not problems that disappear simply because the brand opens in another country.
KFC may still be growing around the world, but in the United States, the story is very different.
More than 700 closures over several years show that the chain is no longer holding the place it once did in American fast food.
For Bordenaro, the lesson is not that people stopped loving fried chicken.
It is that they became more selective about where they buy it.
Raised in a small Arizona town, Kevin grew up surrounded by rugged desert landscapes and a family of hunters. His background in competitive shooting and firearms training has made him an authority on self-defense and gun safety. A certified firearms instructor, Kevin teaches others how to properly handle and maintain their weapons, whether for hunting, home defense, or survival situations. His writing focuses on responsible gun ownership, marksmanship, and the role of firearms in personal preparedness.
