The TGI Fridys CEO explains how the company is returning after declaring in bankruptcy in 2024.
TGI Fridys points to a return after a challenging year that saw dozens of closures and a bankruptcy presentation. The former CEO, Ray Blanchette, is back to the helm, leading efforts to restore growth and profitability.
The company joined several restaurants that requested protection in the bankruptcy court in 2024 after not administering the great debt that it accumulated during the Covid-19 pandemic. He closed more than two dozen locations. During the restructuring, the company sold 27 of its 39 corporate property units to franchisees, moving to a model fully directed by franchisees. In January 2025, Blanchette, founder of Sugarloaf Tgif Management, intervened to direct the company again.
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Blanchette, who first served as CEO from 2018 to 2023, admitted that the company had “tried to get away from ourselves.” To correct the course, he established a franchisee advisory board to help guide decisions throughout the brand and are moving quickly. He told Fox Business that within his first 100 days, the company had already improved 80% of its menu, with a new food and cocktails that will be launched throughout the country on May 13.
The updates focus on improving the quality and consistency of the ingredients, with a renewed emphasis on internal preparation. The company is returning to practices such as hand sled chicken, hand cutting fillets and sauces from scratch, replacing the versions bought in the store that often contain stabilizers, according to Blanchette.
TGI Fridys joined several restaurants that requested protection in the Banking Court in 2024 after not administering the great debt that it accumulated during the COVID-19 pandemic. (John Greim / Lightrocket through Getty Images) / Getty Images)
Blanchette said the company is also working to attract a younger audience, which has a “high intellectual food coefficient.” However, that does not mean that it is completely adopting the change in consumer preferences towards healthier options.
“That can sometimes be a fool’s message because the guest says one thing and buy differently,” said Blanchette. “The food full of nutrients certainly has a place in our menu, but it is not the driving force behind the menu.”
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Blanchette acknowledges that TGI Fridys is not in a position to seriously threaten the large restaurant brands, but its smallest size offers a unique advantage.
“We can run more risks and do things that can do their own strategy,” he said. “I think that is a role that we could probably and should play in the restaurant’s landscape, trying to really push the envelope around innovation. And all these flavors, all new trends certainly fit into that mold.”
A large part of its revival plan is to refresh the brand’s voice, address younger consumers through social networks and renew their menu. (Images of Lynne Cameron / pa through Getty Images) / Getty Images)
For example, he said that the company is exploring the use of beef tallow and how it could improve the taste of its fries.
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Beyond the innovation of the menu, TGI Fridys is also changing how it occurs. The company is “changing the voice of the brand and refreshing it” and focusing more on involving consumers through social networks instead of traditional television advertising campaigns, according to Blanchette.
“We are not using the rearview mirror to drive the car. We are looking through the windshield and saying: ‘Very well, what does this believe in terms of opportunity for us?'” Blanchette said. “If we are now more agile, if we are now more aligned, can we move faster? Can we do things that our competitors would never consider due to the size and scale of their business?”
