Latest news with #NationalPitaDay
CNBC
05-07-2025
- Business
- CNBC
Fast-casual restaurants lean on loyalty programs to offset consumer pullback
As some consumers pull back on spending amid economic uncertainty, fast-casual restaurant chains are leaning on rewards programs to pull them back in. Loyalty programs, which offer discounts or added perks for returning customers, have transitioned from being a nice bonus for restaurants to a must-have. As cost-cautious diners prioritize value, brands like Chipotle, Starbucks, Cava and others are utilizing rewards to keep customers coming back and building habits that go beyond the occasional coupon. "In tough times, loyalty programs become more essential," said Peter Fader, a marketing professor at the Wharton School at the University of Pennsylvania. "They become a required ingredient to building and maintaining relationships." In the 12 months ended in May, the restaurant industry only saw monthly traffic increase once, in November, according to Black Box Intelligence data. As diners visit restaurants less frequently, sales struggle. Only 43% of restaurant brands tracked by Black Box reported same-store sales growth in May. Consumers who join loyalty programs visit restaurants more frequently, making 22% more visits per year to eateries, according to Circana data. They also frequent the brands that they belong to at twice the rate of nonmembers, the market research firm found. Coffee giant Starbucks reported 34.2 million active rewards members in its second quarter and said more than 59% of its U.S. company-owned transactions came from those members. Potbelly has seen similar success: In the first quarter of 2025, over 42% of its total shop sales came from digital business, which includes the loyalty program users. Chipotle has over 20 million active rewards members. It's loyalty program makes up approximately 30% of sales on average each day and helped the burrito chain to avoid major price hikes, according to the company. "We have really strong brand loyalty among our members," Nicole West, Chipotle's vice president of digital experiences, told CNBC. "We're really focused on engaging with our members and doing that in a way that really resonates with them." Driving loyalty is critical for the likes of Chipotle and Starbucks. In the first quarter, Chipotle posted a same-store sales decline for the first time since 2020 and said it saw a "slowdown" in consumer spending. Meanwhile, Starbucks' same-store sales have fallen for five straight quarters. Cava is bucking industry trends with strong sales growth, but faces Wall Street pressure to maintain its rapid expansion. As rewards programs pick up steam, more brands are getting creative and moving beyond the value meal. Cava revamped its rewards program in October 2024 to give customers more flexibility in how they earn and use points. Members can earn points each visit and redeem them for specific items like pita chips or full entrees. The program also includes limited-time offers and in-app challenges. In late March, the company celebrated National Pita Day by rolling out a mascot named "Peter Chip" and offering members complimentary pita chips. "Guests like to see periodic surprises and delight moments where we can reward them with pita chips or other brand offerings," Andrew Rebhun, Cava's chief marketing officer, said The Cava Rewards program now has more than 7 million members. A new tiered system is expected to launch soon, according to Rebhun. Chipotle this year launched a seasonal campaign called "Summer of Extras." The campaign is giving away over $1 million in free burritos, encouraging customers to rack up visits and compete to become the top Chipotle visitor in their state. "We continue to see activations in this program build and excitement and positive reaction across social media from our fans," West said. "We just continue to focus on delivering value to them in ways through programs where customers are given opportunities to 'plus up' their points or earn specific offers by exhibiting specific behaviors." Salad chain Sweetgreen also retooled its loyalty program this spring, moving away from its tiered subscription program that many consumers found confusing. "In a challenging industry environment where consumers are making more intentional choices with every dollar, SG Rewards is designed to meet the moment by delivering a meaningful value," Sweetgreen co-founder and CEO Jonathan Neman said on the company's quarterly conference call in May. Even Starbucks, an established leader in rewards programs, has made changes. In June, the coffee chain ended its 25-star reusable cup bonus and replaced it with double stars across the full purchase. While the change was controversial among loyalists, who claimed the earning potential was reduced, the coffee chain said participation has remained steady. Of course, giving free rewards comes with tradeoffs. Promotions cut into profits in an industry that faces tight margins in the best of times. Restaurant chains hope those freebies drive longer-term loyalty and spending on full-price items. Brands navigating economic pressure are seeing that loyalty programs are helping to drive visits. Potbelly revamped its loyalty system in early 2024, moving to a coin-based structure that allows customers to redeem rewards faster and across more items. Customers now have access to over 14 menu items through the rewards program. This flexibility has led to more frequent visits, Potbelly's chief marketing officer, David Daniels, said. "We saw a lift almost immediately in terms of engagement," Daniels said. "The response has been incredibly positive." Chicago-style eatery Portillo's joined the loyalty game in March with "Portillo's Perks." Instead of using a traditional app, the program utilizes a digital wallet system and focuses on frequency. It tracks how often a customer visits and awards badges as they go. "It gives flexibility to change how the program is deployed," Garrett Kern, Portillo's vice president of strategy and culinary, said to CNBC. "It doesn't require a redesign and relaunch to an application. It was a great way for us to get the program out there in a branded and easy-to-use way." The company is aiming for 1.5 million to 1.7 million sign-ups by mid-summer.
USA Today
29-03-2025
- Business
- USA Today
Bar Louie closes more than a dozen restaurants, files for Chapter 11 bankruptcy protection
Bar Louie closes more than a dozen restaurants, files for Chapter 11 bankruptcy protection Restaurant chain Bar Louie is filing for Chapter 11 bankruptcy – again. The Addison, Texas-headquartered gastrobar chain filed for bankruptcy on Wednesday in U.S. Bankruptcy Court for the District of Delaware, citing "various financial and operational challenges," according to court documents. The bankruptcy filing comes after several Bar Louie restaurants across the U.S. were closed recently including locations in Detroit, Nashville and East Brunswick, New Jersey. In a press release announcing the bankruptcy, Bar Louie said the bankruptcy process "is not expected to impact the company's day-to-day operations. Prior to the filing, Bar Louie closed underperforming locations to enhance its financial stability." National Pita Day: Cava offers free pita chips Saturday: How to redeem the offer Bar Louie filed for bankruptcy previously Founded in 1991 in Chicago, Illinois, Bar Louie operates 31 company-owned locations and has an additional 17 franchised locations across 19 states, according to its court filing. As part of the bankruptcy process, Bar Louie planned to close at least 13 corporate-owned locations. It lists 48 locations currently on its website. "Inflationary pressures have caused consumers, generally, to cut back on dining out. At the same time, menu prices have risen to keep pace with increased food, utility and labor costs," the company's chief administrative officer Leslie Crook wrote in the bankruptcy filing. "As a result, many of (Bar Louie's) restaurants have underperformed, causing a drag on (Bar Louie's) financial performance and management attention." Bar Louie had previously filed for bankruptcy in 2020 and was purchased by the current owners, BLH TopCo, as part of that process. There were more than 130 Bar Louie locations in 2018, prior to that bankruptcy filing, according to Nation's Restaurant News. In its bankruptcy filing, Bar Louie listed estimated assets of $1 million to $10 million, with estimated liabilities of $50 million to $100 million. Its largest creditor is US Foods, which is owed more than $1.8 million. Bar Louie is latest in string of recent restaurant bankruptcies Bar Louie is just the latest restaurant chain to file for bankruptcy, amid what it described in its filing as an environment of "increased costs of operation and mounting macroeconomic pressures." Earlier this month, On the Border Mexican Grill & Cantina filed for Chapter 11 bankruptcy protection after closing dozens of restaurants in February. In recent months, there's also been bankruptcy filings from TGI Fridays and Red Lobster. Follow Mike Snider on Threads, Bluesky and X: mikegsnider & @ & @mikesnider. What's everyone talking about? Sign up for our trending newsletter to get the latest news of the day
Yahoo
28-03-2025
- Business
- Yahoo
Bar Louie closes more than a dozen restaurants, files for Chapter 11 bankruptcy protection
Restaurant chain Bar Louie is filing for Chapter 11 bankruptcy – again. The Addison, Texas-headquartered gastrobar chain filed for bankruptcy on Wednesday in U.S. Bankruptcy Court for the District of Delaware, citing "various financial and operational challenges," according to court documents. The bankruptcy filing comes after several Bar Louie restaurants across the U.S. were closed recently including locations in Detroit, Nashville and East Brunswick, New Jersey. In a press release announcing the bankruptcy, Bar Louie said the bankruptcy process "is not expected to impact the company's day-to-day operations. Prior to the filing, Bar Louie closed underperforming locations to enhance its financial stability." National Pita Day: Cava offers free pita chips Saturday: How to redeem the offer Founded in 1991 in Chicago, Illinois, Bar Louie operates 31 company-owned locations and has an additional 17 franchised locations across 19 states, according to its court filing. As part of the bankruptcy process, Bar Louie planned to close at least 13 corporate-owned locations. It lists 48 locations currently on its website. "Inflationary pressures have caused consumers, generally, to cut back on dining out. At the same time, menu prices have risen to keep pace with increased food, utility and labor costs," the company's chief administrative officer Leslie Crook wrote in the bankruptcy filing. "As a result, many of the Debtors' restaurants have underperformed, causing a drag on the Debtors' financial performance and management attention." Bar Louie had previously filed for bankruptcy in 2020 and was purchased by the current owners, BLH TopCo, as part of that process. There were more than 130 Bar Louie locations in 2018, prior to that bankruptcy filing, according to Nation's Restaurant News. In its bankruptcy filing, Bar Louie listed estimated assets of $1 million to $10 million, with estimated liabilities of $50 million to $100 million. Its largest creditor is US Foods, which is owed more than $1.8 million. Bar Louie is just the latest restaurant chain to file for bankruptcy, amid what it described in its filing as an environment of "increased costs of operation and mounting macroeconomic pressures." Earlier this month, On the Border Mexican Grill & Cantina filed for Chapter 11 bankruptcy protection after closing dozens of restaurants in February. In recent months there's also been bankruptcy filings from TGI Fridays and Red Lobster. Follow Mike Snider on Threads, Bluesky and X: mikegsnider & @ & @mikesnider. What's everyone talking about? Sign up for our trending newsletter to get the latest news of the day This article originally appeared on USA TODAY: Bar Louie closing 13 restaurants as chain files for bankruptcy Sign in to access your portfolio
USA Today
28-03-2025
- Business
- USA Today
Cava offers free pita chips Saturday on National Pita Day: How to redeem the offer
Cava offers free pita chips Saturday on National Pita Day: How to redeem the offer National Pita Day is this upcoming Saturday, March 29, and one fast-casual restaurant chain is celebrating with free pita chips and a new character. Mediterranean fast-casual chain Cava is introducing Peter Chip, the brand's new character, and will celebrate his "birthday" on March 29 by treating all Cava Rewards members to an order of the popular pita chips. According to the company, Peter's gift will be automatically added to all Cava Rewards accounts on the day, and loyalty members can redeem the reward for an order of pita chips in restaurants or through digital ordering at participating locations nationwide. "National Pita Day — aka my birthday — is coming up, and I couldn't be more pumped!" said Peter Chip, CAVA's resident pita chip personality, in a news release. "As an Aries, I love a big celebration — and what better way to mark the occasion than by treating our loyal fans to complimentary pita chips, on me!" Customers can download the Cava app or join the loyalty program by clicking the "Join Cava Rewards" link on the brand's website. How many Cava locations are there in the US? Earlier this month, Cava opened its first location in the Indianapolis metro area, which means the chain now operates in 26 states and the District of Columbia. A second location is expected to open in the area later this year, according to the company. According to Cava's fourth-quarter earnings report, it now operates 367 restaurants in the United States. According to a news release, the company is aiming to have 1,000 locations by 2032 and opened 58 net new restaurants in the 2024 fiscal year. According to the company's fourth-quarter earnings report, it operates 367 Cava serves Mediterranean-inspired bowls, pitas, dips and dressings, according to its website, "helping people eat well and live well." Gabe Hauari is a national trending news reporter at USA TODAY. You can follow him on X @GabeHauari or email him at Gdhauari@
Yahoo
24-03-2025
- Business
- Yahoo
Meet "Peter Chip": CAVA's New Character Debuts with Complimentary Pita Chips Offer for National Pita Day on March 29
CAVA's new brand character, "Peter Chip," will celebrate his birthday by treating all rewards members to an order of pita chips on March 29, National Pita Day WASHINGTON, March 24, 2025--(BUSINESS WIRE)--CAVA, the category-defining Mediterranean fast-casual restaurant brand, is introducing its new wholesome brand character, Peter Chip. To celebrate Peter's upcoming birthday on Saturday, March 29, which naturally coincides with National Pita Day, he'll be treating all CAVA Rewards members to an order of the fan favorite pita chips. Peter's gift will be automatically added to all CAVA Rewards accounts on National Pita Day. Loyalty members can redeem the reward for an order of complimentary pita chips in restaurants or through digital ordering on March 29 only at participating locations nationwide. "National Pita Day — aka my birthday — is coming up, and I couldn't be more pumped!" said Peter Chip, CAVA's resident pita chip personality. "As an Aries, I love a big celebration — and what better way to mark the occasion than by treating our loyal fans to complimentary pita chips, on me!" Crispy on the outside while soft and chewy on the inside, CAVA's iconic pita chips are beloved by guests. Paired with a dip, eaten on their own, or used as a fork to dig into a CAVA bowl, there is no wrong way to enjoy pita chips. Read more about CAVA's sprouted grain pita and craveable pita chips at As if this week couldn't get any better for Peter Chip, CAVA is handing over its social media passwords so Peter can introduce himself and share all the details about his birthday celebrations! To join the fun and celebrate with Peter, follow @CAVA on TikTok, Instagram, and more. Don't forget – Peter's birthday treat is exclusively for loyalty members, so if you haven't already, sign up by clicking the "Join CAVA Rewards" link at or by downloading the CAVA app. Terms and restrictions apply. About CAVA CAVA is the category-defining Mediterranean fast-casual restaurant brand, bringing together healthful food and bold, satisfying flavors at scale. Our brand and our opportunity transcend the Mediterranean category to compete in the large and growing limited-service restaurant sector as well as the health and wellness food category. CAVA serves guests across gender lines, age groups, and income levels and benefits from generational tailwinds created by consumer demand for healthy living and a demographic shift towards greater ethnic diversity. We meet consumers' desires to engage with convenient, authentic, purpose-driven brands that view food as a source of self-expression. The broad appeal of our food combined with these favorable industry trends drive our vast opportunity for continued growth. View source version on Contacts media@
