In 2025, Chipotle, Cava, and Sweetgreen are experiencing a consumer spending slowdown, reflected in disappointing sales figures and a decline in customer traffic. Chipotle reported a 4% drop in same-store sales, attributing this to consumer caution amid economic uncertainty. Cava's same-restaurant sales rose only 2.1%, driven mostly by pricing rather than traffic growth. Sweetgreen faced a 7.6% decline in same-store sales and a 10.1% fall in traffic, leading to lowered projections for the year. All three companies are adapting their strategies to improve customer engagement in a challenging market.
"I think the underlying trend ... is really tied to the consumer sitting on the sideline," he said, citing increased price sensitivity, an uncertain economic climate, and the challenge of lapping last year's promotional successes.
CFO Tricia Tolivar said macro volatility and consumer reticence weighed on traffic, emphasizing the 'fog and uncertainty' facing customers.
CEO Jonathan Neman said that Sweetgreen faced significant challenges, with Q2 same-store sales sinking 7.6% and traffic down 10.1%, leading to lowered full-year projections.
Economic trends prompted Chipotle to lower its full-year projections, as leadership focuses on new marketing initiatives and menu innovation to recapture traffic.
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