The American barbecue scene is experiencing a period of significant restaurant chain contraction, with several well-known brands announcing widespread closures and strategic shifts. Economic pressures, underperforming locations, and evolving business models are all contributing to this trend, leaving barbecue enthusiasts wondering about the future of their favorite local spots. This article examines the closures, the reasons behind them, and the overall impact on the barbecue landscape.
Barbecue Chain Closures: A Detailed Look
Smokey Bones’ Strategic Pivot
Smokey Bones, a national barbecue chain acquired by FAT Brands in 2023 and now operating under Twin Hospitality Group, is significantly reducing its footprint. According to a recent announcement, the company is closing 15 underperforming locations. Ten of these have already been shuttered, with the remaining five scheduled to close by the end of the fiscal third quarter. These closures follow nine earlier shutdowns in February 2025.
In a substantial strategic pivot, Twin Hospitality Group is converting 19 Smokey Bones locations into Twin Peaks sports bars. This decision is driven by Twin Peaks’ stronger performance, with locations generating “more than double the sales compared to Smokey Bones in similar spaces,” according to a Restaurant Business Magazine report. Once these changes are complete, only 26 Smokey Bones restaurants will remain operational, a sharp decline from a peak of over 100 nationwide.
Dickey’s Barbecue Pit’s Downsizing
Dickey’s Barbecue Pit, once the largest barbecue chain in the United States, has also experienced a considerable reduction in its number of locations. The chain closed nearly 100 locations in its 2024 fiscal year, resulting in a net decrease of 85 restaurants. An additional 30 locations were shuttered in late 2024. From over 500 locations in 2017, Dickey’s was down to approximately 318 by February 2025, as reported by TheStreet. Furthermore, Smokin’ Dutchman Holdings, a franchisee operating four Dickey’s locations in West Michigan (Holland, Jenison, Kalamazoo, and Rockford), filed for Chapter 11 bankruptcy in September 2024, placing these specific restaurants at risk.
Regional Chain Contraction: Armadillo Willy’s
The trend extends beyond national chains. Armadillo Willy’s, a Bay Area mini-chain, closed three locations (Sunnyvale, San Jose, and Santa Clara) on June 17, 2025, leaving only one remaining store in San Mateo. This followed earlier closures of its Dublin and Los Altos outposts in April and around New Year’s Day 2025, respectively, as reported by SFGATE. This near-complete shutdown illustrates the challenges faced by smaller, regional barbecue businesses.
Local Favorites: Sam’s Bar-B-Que
Even long-standing local establishments are not immune. In East Austin, Texas, Sam’s Bar-B-Que, a family-run establishment since 1957, abruptly closed its doors recently due to building issues. While the closure is intended to be temporary, it underscores the vulnerabilities faced even by well-established, beloved restaurants.
The Reasons Behind the Closures
Strategic Restructuring and Profitability
The closures are driven by a combination of factors, including underperformance, strategic restructuring, and broader economic challenges. For Smokey Bones, the decision stems from a strategic shift by Twin Hospitality Group to enhance profitability by converting less successful barbecue restaurants into the more lucrative Twin Peaks sports bar concept. Twin Peaks locations reportedly generate more than double the sales compared to Smokey Bones in similar spaces, as highlighted by Restaurant Business Magazine. The parent company also aims for a more balanced corporate-to-franchise mix and expects the closures to save approximately $1.5 million in corporate overhead costs.
Economic Pressures and Franchise Challenges
Dickey’s Barbecue Pit has faced challenges including falling sales and “drama with local operators,” contributing to its significant downsizing, according to TheStreet. The franchisee bankruptcy in Michigan specifically cited “extreme and unreasonable demands” from Dickey’s as a cause for financial distress. More broadly, the restaurant industry, particularly the fast-casual sector, has been grappling with rising food and labor costs, high inflation, increased interest rates on debt, and a general pullback in consumer discretionary spending since the COVID-19 pandemic.
Armadillo Willy’s President Kevin Roberts attributed their closures to financial instability, a third of sales lost during the pandemic, “erratic” business patterns, and the inability to return to pre-pandemic sales levels, coupled with inflation and sales tax issues. These factors paint a picture of a challenging environment for barbecue restaurants of all sizes.
Impact of Restaurant Chain Contraction
The closures are significantly impacting the availability of these barbecue chains for customers across the country. For Smokey Bones, the remaining 26 locations are expected to generate positive cash flow, but the brand’s overall presence will be drastically reduced, and many former locations will now operate as Twin Peaks. Dickey’s customers have seen a widespread reduction in available restaurants, reflecting a substantial contraction of the once-largest barbecue chain in the U.S.
For smaller chains like Armadillo Willy’s, the closures represent a near-complete shutdown, leaving only a single location for loyal patrons. While Sam’s Bar-B-Que’s closure is hoped to be temporary, it highlights the vulnerability even of long-standing local establishments to unexpected operational issues. These trends reflect a challenging environment for casual dining, particularly for barbecue concepts facing intense competition and evolving consumer preferences.
The barbecue restaurant landscape is in flux, with closures driven by strategic decisions, economic pressures, and franchise challenges. While some chains are adapting through restructuring and diversification, others face significant downsizing or even complete shutdowns. The future of barbecue dining will likely involve a more competitive and dynamic market, with consumers potentially seeing fewer familiar chain locations and a greater emphasis on local, independent barbecue establishments.
