Saturday, May 2, 2026

"Investor Outlook: Fast-food chains upgrade core menu items"/ "Domino’s Pizza falls short of U.S. sales estimates as diners curb spending"

Apr. 8, 2026 "Investor Outlook: Fast-food chains upgrade core menu items": Today I found this article on BNN Bloomberg:


Fast-food chains in Canada are shifting focus to core menu items as consumers become more 

selective, 

emphasizing quality, 

consistency 

and value 

over novelty.

BNN Bloomberg spoke with Tom Curtis, president of Burger King Canada, about 

upgrades to its flagship items, 

efforts to attract younger customers 

and how technology is shaping operations.


Key Takeaways

  • Fast-food companies are prioritizing improvements to core menu items to strengthen brand relevance and drive repeat traffic.

  • Younger consumers and lapsed customers are a key target as brands attempt to rebuild long-term loyalty.

  • Value perception is shifting toward 

  • quality 

  • and consistency 

  • rather than 

  • deep discounting 

  • or frequent promotions.

  • AI and automation are being used to support operations and improve service, 

  • not replace workers.

  • Long-term growth strategies are focused on 

  • traffic gains 

  • and brand experience 

  • rather than short-term cost cutting.

Read the full transcript below:

ROGER: Burger King Canada is making a shift to its core menu items, including its signature Whopper burger, fries, onion rings and chicken nuggets. We’re looking at what it says about the fast-food industry in Canada right now. Joining me to discuss the shift is Tom Curtis, president of Burger King Canada. Tom, thank you very much for joining us.

TOM: Good morning. How are you?

ROGER: Good, thanks very much for joining us. Why this move rather than going after launching limited-time offers?

TOM: Yeah, I think everybody’s out there launching limited-time offers from time to time, and really the reason for being for Burger King is the Whopper, flame-grilling and having it your way. 

So I think leaning into those powerful equities is the right thing to do. This all started really three or four years ago when we started 

upgrading restaurant operations and franchisees, 

and this is the culmination of that elevation effort.

GRANT: That’s great, Tom. I’m just curious — we were talking about younger customers and the trends we’re seeing. What’s the main shift behind these moves today that you’re seeing, and what are you hoping for in terms of outcomes?

TOM: Yeah, it’s interesting that you mention younger customers, because when I travel — and I travel a lot — I’m getting on airplanes, I’m out and about in the markets, and a lot of people say to me, “I used to love the Whopper,” or “My dad’s favourite burger was the Whopper,” and that bothers me. 

So we really needed a signal to the market that we’re worthy of a try from younger guests and from guests who haven’t been to us for years. I think that’s why this is an important move for us.

ROGER: You’re also facing challenges with weight-loss trends. There’s a lot of growth there right now, and people are staying away from fast food — or at least that’s the perception. How are you bringing them back in?

TOM: I think the key there is we have our signature Whopper, and we have innovation around the Whopper, like a peppercorn Whopper or a maple bourbon barbecue Whopper. 

We make those available as a Whopper Jr. as well, and that’s really our answer to that movement. 

You don’t have to sacrifice 

flavour, 

taste 

and quality 

because the Whopper is too big — it’s available in a smaller package as well, 

and we’re finding that consumers love that.

GRANT: Tom, you should have sent some of those over so we could have tried them out.

TOM: I know somebody — we’ll get it done.

GRANT: You’re obviously going into more premium ingredients here, and I assume that has a cost factor attached to it. Do you see automation as a way to help manage costs as you move in that direction?

TOM: When it comes to automation, we are leaning into AI like everybody else is. But the way we look at AI and automation is that 

it’s an enabler 

— it’s not a replacement for labour. 

I learned this at a prior brand. If you enable people to respond to increases in volume, which always happen, then you’ll grow traffic over time 

— and growing traffic is the only way to succeed in this business. 

Trying to cut costs is not.

ROGER: You mentioned keeping staff. 

Labour is a huge cost, especially in Canada with minimum wages and things like that.

 How are you balancing that while still bringing in AI and automation?

TOM: If you provide a great workplace — and we’ve gone from having about three per cent of our restaurants remodelled in 2018 to now 75 per cent, moving quickly toward 100 — then you’ve got a great work environment.

If you provide the technology tools 

that the workforce wants and needs to perform their tasks, 

your workforce becomes more stable. 

When traffic and volume increase, 

they’re ready to handle that, 

and you don’t need to add a lot of additional labour.

GRANT: Looking ahead, what do you see as the next steps following these moves, and what can investors look forward to?

TOM: I think you can expect us to continue to elevate across all fronts and all guest touchpoints. There are other parts of the menu that could use elevation as well. Long term, this is not about shrinkflation — that doesn’t work. 

Cutting costs might work for a quarter or a half, 

but it doesn’t work for long-term success. 

What you can expect to see in Canada is a brand that continues to be a premium offering — something of a reward for people who want great food without sacrificing value,

because that’s also the promise of quick service.

ROGER: I want to get back to AI. There’s concern it could affect brands negatively, but there’s also an opportunity to strengthen brands. How are you using AI, and what are you watching for?

TOM: On the AI front, we developed a tool for our operators called BK Assistant. 

Imagine a headset that gives you real-time information to provide a great guest experience 

— for example, 

alerting you if you’re running low on a beverage 

or if a machine needs service. 

That’s how we think about leveraging AI. 

If it’s connected across the restaurant, 

team members can use it to solve problems quickly 

and focus on the guest 

instead of distractions.

GRANT: What do you want customers to feel when they walk into your restaurants?

TOM: It’s simple. The first thing you should get is a smile and a hello. 

Those things are built through culture over time, but we are laser-focused on getting them right. 

That interaction matters. 

If people don’t want to use a kiosk, they want to talk to someone. 

Making that small moment special can make all the difference.

ROGER: All right, Tom, we have to wrap it up there. Thank you very much for joining us.

TOM: Thanks for having me.

ROGER: Tom Curtis is president of Burger King Canada.

---

This BNN Bloomberg summary and transcript of the April 8, 2026 interview with Tom Curtis are published with the assistance of AI. Original research, interview questions and added context was created by BNN Bloomberg journalists. An editor also reviewed this material before it was published to ensure its accuracy and adherence with BNN Bloomberg editorial policies and standards.


https://www.bnnbloomberg.ca/investing/investor-outlook/2026/04/08/investor-outlook-fast-food-chains-upgrade-core-menu-items/


Apr. 26, 2026 "Domino’s Pizza falls short of U.S. sales estimates as diners curb spending": Today I found this article on BNN Bloomberg:


Domino’s Pizza forecast softer growth in annual U.S. and international same-store sales on Monday, 

as strained consumer sentiment 

and fierce competition 

weighed on demand, 

sending its shares sliding about 10 per cent.

Consumers, already grappling with 

high living costs 

and a weak labor market, 

are feeling another squeeze as Middle East tensions drive up transportation costs, 

adding to inflation worries 

and prompting a pullback in discretionary spending, including on dining out.

Consumer sentiment sank to COVID-19-era lows in March as inflation weighed on spending decisions, CEO Russell Weiner said on an earnings call.

The world’s largest pizza chain operator forecast U.S. and international comparable sales to grow in low single digits in 2026. 

That compares with its prior projection of a three per cent rise in U.S. sales 

and a one to two per cent increase internationally.

“Higher food prices 

and energy costs 

are already weighing on short-term earnings 

but if higher fuel prices 

turn consumers away from spending, it would be felt in the next quarter or two — that is the reason for the more cautious outlook in the moment,” said Brian Mulberry, chief marketing strategist at Zacks Investment Management.

The company’s U.S. comparable sales grew 0.9 per cent in the first quarter, below analysts’ average estimate of a 2.72 per cent rise, its first miss in a year, according to data compiled by LSEG. Sales fell about 0.5 per cent a year ago.

“Domino’s is facing perhaps a tougher U.S. market than anticipated. 

Inflation 

and a softening economy, 

specifically for lower-income consumers, 

have put pressure on its top line, 

said Bruce Winder, an independent retail consultant.

To attract value-focused diners, 

Domino’s rolled out offers such as US$9.99 “Best Deal Ever,” 

alongside “Mix and Match” 

and “Emergency Pizza.” 

The strategy mirrors a broader push on affordability, 

with McDonald’s 

and Burger King 

also ramping up low-priced deals.

Domino’s even expanded its menu by launching a Parmesan-stuffed crust pizza, among others.

“Competition within the QSR pizza space increased in Q1 as the national pizza players offered deals comparable, if not identical, to the renowned value Domino’s has made famous,” Weiner said.

The company, which announced a US$1 billion share buyback, posted a 0.4 per cent decline in quarterly international same-store sales, missing the estimate of a 0.7 per cent rise.

Its earnings per share of US$4.13 lagged the estimate of US$4.27, hurt by a $30 million pre-tax charge related to certain investments.


Reporting by Anuja Bharat Mistry in Bengaluru; Editing by Leroy Leo and Shilpi Majumdar


https://www.bnnbloomberg.ca/business/2026/04/27/dominos-pizza-falls-short-of-us-sales-estimates-as-diners-curb-spending/

"Former Nike executive to take over as Lululemon's new CEO"/ "Lululemon sinks after new CEO hire from Nike fails to impress investors"

Apr. 23, 2026 "Former Nike executive to take over as Lululemon's new CEO": Today I found this article by Tara Deschamps on CBC:


Lululemon Athletica Inc. is putting its trust in a former Nike executive after facing months of backlash about the company’s management and performance.

The Vancouver-based athleisure retailer announced Wednesday that Heidi O’Neill will become its next chief executive officer on Sept. 8, when she will also join its board.

The company said she was chosen for the role because of her experience, 

"success delivering breakthrough ideas 

and initiatives at scale, 

and her ability to be 

a knowledgeable change 

and growth agent."

“Heidi is an inspiring leader 

and proven, consumer-driven brand strategist, 

with a rare ability to both imagine a new future for a brand 

and to create the structure 

and processes 

to deliver on that vision,” 

Lululemon executive board chair Marti Morfitt said in a statement.

Her appointment comes amid a turbulent chapter for Lululemon, the yoga pants juggernaut that's been inundated with competition from trendy upstarts and massive brands like the one O'Neill used to run.

Shareholders, including Lululemon's estranged founder Chip Wilson, started pressing last year for the company to appoint new board members that would better 

address rivals, 

its sagging share price 

and a product mix some felt was getting stale.

Wilson, who has not worked for Lululemon for years but still holds some of its stock, wanted

former On Holding AG co-CEO Marc Maurer, 

former ESPN chief marketing officer Laura Gentile 

and ex-Activision CEO Eric Hirshberg 

named as board members.

His spokesperson did not immediately respond to a request for comment about O'Neill's appointment Wednesday.

Their calls for action came after Lululemon CEO Calvin McDonald announced in December that he would step down.

When he left in January, chief financial officer Meghan Frank and chief operating officer André Maestrini became interim co-CEOs as the search for McDonald's successor continued. 

They will continue to share the top job until O’Neill starts, when they will return to their other executive roles, Lululemon said Wednesday.

The company credited O'Neill with helping to grow 

Nike from a $9-billion business 

into a $45-billion athletic brand 

during her 25 years at the firm.

It said she's also spent time in marketing for the Dockers brand at Levi Strauss & Co. 

and on the boards of 

Spotify Technology 

and Hyatt Hotels.

O’Neill said in a statement that she sees Lululemon as 

"an iconic brand with something rare: 

genuine guest love, 

a product ethos rooted in innovation, 

and a global platform still in the early stages of its potential.

"My job will be to build on that foundation 

— to accelerate product breakthroughs, 

deepen the brand’s cultural relevance, 

and unlock growth in markets around the world," 

she said.


Safe choice, analyst says

O’Neill was not on the list of executives Wilson was prodding Lululemon to hire. 

The company has so far not heeded his advice, instead appointing former Levi Strauss & Co. president and CEO Chip Bergh to the board.

It also alleged Wilson has prevented the company from interviewing his suggested board members by demanding the company sign an agreement before it proceeds. 

It has not outlined what terms it alleges Wilson is requesting.

Neil Saunders, managing director of consulting and analytics firm GlobalData, said he suspects some will see O’Neill 

"as something of a safe and traditional choice," 

given that "a lot of cultural change is needed at Lululemon 

in order to improve performance."

He, however, thinks she is an "obvious choice" because of her 

experience in activewear 

and on the boards of companies entrenched in customer service.

"Despite its lack of growth in North America over recent years, Lululemon is not a terrible business: 

share losses have been modest, 

and it is still generating growth," 

Saunders said in a note to investors. 

"The challenge will be to inject more energy 

and restore Lululemon as one of the leaders in terms of product innovation. 

This can be accomplished under O’Neill."

https://www.cbc.ca/news/canada/british-columbia/lululemon-new-ceo-heidi-o-neill-9.7174049


Apr. 23, 2026 "Lululemon sinks after new CEO hire from Nike fails to impress investors": Today I found this article on BNN Bloomberg:


Lululemon Athletica shares shares tumbled about 12 per cent in early trading on Thursday, as the struggling athletic apparel maker’s decision to tap a CEO from turnaround-embattled Nike failed to reassure investors.

The appointment of Heidi O’Neill, who most recently was the president of consumer, product, and brand at Nike, ends a months-long search marked by pressure from an activist investor and Lululemon’s founder Chip Wilson.


Parallels with Nike

“We do not expect the market to receive this appointment positively given O’Neill’s longstanding tenure at Nike, 

which overlaps with the brand developing many challenges that parallel the ones LULU is currently facing,” 

BTIG analyst Janine Stichter said.

O’Neill, who left Nike last year after more than 25 years amid a management reshuffle, 

will join in September and will be tasked with 

stalling Lululemon’s market share losses 

and refreshing its image.

Nike’s stock hit a more than decade-low earlier this month after CEO Elliott Hill 

warned of a sharp sales drop and continued weakness in China, 

frustrating analysts and investors keen on a revival in the storied sportswear giant’s fortunes.


Lululemon has also dealt with product recalls for some of its pricey leggings in the recent past 

and has tried to balance inventory levels as it deals with 

intensifying competition from upstart brands such as Alo Yoga and Vuori in the U.S.

Chip Wilson, who owns about 4.3 per cent of the company, continues to believe that a board overhaul should have come before the CEO’s election, a source familiar with the founder’s thinking told Reuters.

Wilson has been waging a proxy fight to install his three director-candidates and had said earlier this year that any CEO candidate picked by the current board would have his support.

Elliott did not respond to Reuters request for comment.


Not the right fit?

Meanwhile, analysts at Needham and Evercore ISI attributed the stock decline to the appointment of O’Neill instead of Elliott Investment Management‘s choice of veteran retail executive Jane Nielsen.

Nielsen was the finance chief at Ralph Lauren for eight years until 2024 

and for five years at Tabby handbag-parent Coach 

when the brands were undergoing a turnaround to move into a higher-margin business model.

“At this juncture, Lululemon needs a turnaround CEO 

and not a growth CEO,” 

said BNP Paribas analyst Gaston Dimant in a note, adding that Nielsen would have been the right pick to guide the yogawear maker through a change.

Elliott, which has a roughly US$1 billion stake in Lululemon, has been pushing ‌for Nielsen’s appointment, compounding scrutiny from its founder Wilson.

Both Elliott and Wilson did not respond to Reuters requests for comment on O’Neill’s appointment.


Lululemon’s shares have tumbled 38 per cent in the last 12 months, trimming its market value to $18.8 billion. 

They were trading at $144.01 in morning trading on Thursday.

With O’Neill not taking charge until September, analysts caution that Lululemon’s stock would get little respite this year.

“O’Neill may bring much-needed product experience to drive a brand reset. 

But for now, the core issues remain: 

an ongoing proxy fight that adds uncertainty 

and sky-high productivity that remains far from bottoming,” 

Jefferies analysts said.

(Reporting by Joel Jose, Aishwarya Venugopal and Juveria Tabassum in Bengaluru; Editing by Janane Venkatraman and Sriraj Kalluvila)

https://www.bnnbloomberg.ca/business/2026/04/23/lululemon-sinks-after-new-ceo-hire-from-nike-fails-to-impress-investors/