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🥗 Cava’s $12B Recipe for Success

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🥗 Cava’s $12B Recipe for Success

Cava went from a small Mediterranean restaurant to a $12B fast-casual chain in just 12 years…

Sure, tasty food is part of its success– but it takes more than great hummus and pita to become a major player in the fast-casual world.

Cava took strategic risks to achieve the level of success it has today, and it’s far from slowing down. 

So, how did Cava go from a single restaurant to a nationwide food staple? Why are some people picking Cava over Chipotle? And what can you learn from its story?

Here’s what we got for ya::

  • 📈 From 0 to $12B

  • 🥷 Chipotle vs. Cava

  • 🔥The Perfect Consumer Experience

Read time: 4 min 32 sec

📈 From 0 to $12B

It all began with three childhood friends and their love of Greek food.

Ted Xenohristos, Ike Grigoropoulos, and Dimitri Moshovitis met at Greek Orthodox Sunday school. 

In 2006, they decided they wanted to share Greek food with others and opened their first restaurant, Cava Mezze, in a Maryland shopping center.

People loved the food so much that in 2008 Cava Mezze started selling their dips in grocery stores. 

But great food only gets you so far…The real catalyst for Cava’s success was bringing in Brett Schulman to lead the business. Just a year after he joined, Cava opened its first fast-casual restaurant. 

This new type of restaurant set Cava up for expansion. By 2012, there were 3 different locations. Over the next few years, they slowly added more.

Then Cava did something big. Something that 4x the number of restaurants and instantly made it the largest Mediterranean restaurant chain in the U.S. 

In 2018, Cava acquired Zoës Kitchen for $300 million. This gave Cava immediate access to the real estate and customer base to expand. By 2023, Cava grew to 285 locations in 22 states and Washington, D.C.

And the chain is still not done. Cava’s goal is to grow locations by at least 15% each year. 

This massive expansion is the reason Cava is worth $12B today.

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🥷 Chipotle vs. Cava

Let’s look at how Cava compares to its biggest competitor: Chipotle.

Cava and Chipotle both dominate the fast-casual restaurant world. They cater to slightly different tastes but compete for the same market share.

Chipotle offers Mexican-inspired burritos and bowls, boasting fresh, ethically sourced ingredients. Its simple yet customizable menu resonates with customers seeking fast, convenient, and healthy-ish food. 

Chipotle's loyalty program, mobile app, and drive-thru lanes (Chipotlanes) have made it a leader in convenience, with mobile orders making up nearly 40% of sales.

Cava, meanwhile, offers a Mediterranean twist, with customizable bowls and ingredients like hummus, falafel, and grilled meats. 

This healthy, vibrant menu appeals to more health-conscious consumers, particularly millennials and Gen Z. 

Like Chipotle, Cava focuses on fresh ingredients, but it differentiates itself by tapping into the growing popularity of the Mediterranean diet. 

Cava’s data-driven approach, using sensors to track kitchen efficiency and customer flow, allows it to optimize operations in ways that set it apart from its competitors.

While Chipotle enjoys the advantage of being an established player with a massive footprint, Cava’s focus on bold flavors, health trends, and rapid expansion is making it a worthy competitor. 

As more Americans seek diverse, healthy, and customizable food options, Cava’s Mediterranean offerings are positioning it as a worthy rival to Chipotle’s burrito empire.

More on this:

🔥The Perfect Consumer Experience

My brother goes to Cava so much that he should have a sponsorship by now. His monthly Cava bill is at least $350.

So, what keeps people like him going back to Cava? Other than the addictive pita chips…

It’s about the customer experience. 

At Cava, everything is customizable. You start by picking from four different grain bases, and then you can also add one of five types of greens. Or… skip the grains and go straight to greens. Or choose a pita base instead. 

Look at all that fresh food

Cava’s build-your-own-bowl is perfect for health-conscious consumers looking for fresh, flavorful meals. 

With 38 nutrient-dense ingredients like hummus, lentils, and spicy lamb meatballs, Cava gives a fresh alternative to the processed food served by many fast-casual chains.

Cava customers also really like the restaurant’s different ordering options.

Since 2020, Cava offers online ordering through its app, letting customers pick up their meals or have them brought to their car. Cava also launched a loyalty program that has attracted over 4 million members since its launch. 

As of 2023, 36% of Cava’s sales come from online orders.

Whatever your product is, it should be easy for customers to attain and personalizable to individual tastes. 

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