Dive Brief:
- C3 and Craveworthy Brands plan to grow Mediterranean fast casual concept Soom Soom to over 80 units by 2027 through franchising, the companies said Tuesday. Soom Soom was founded in 2016 in Los Angeles, according to a press release.
- The brand has three traditional locations in Southern California, and C3 is serving the brand out of its Atlanta and New York food halls, per the press release.
- Soom Soom and C3 have worked together since 2021, but the franchising deal with Craveworthy marks a step toward brick-and-mortar, standalone restaurant growth beyond the Los Angeles region.
Dive Insight:
The companies said the success of Mediterranean fast casual concepts like Cava suggest a significant market niche for Soom Soom to grow into, and said it was “poised to grow its existing platform exponentially.”
Cava, for instance, saw Q2 same-store sales grow 18.2% year-over-year. Cava, which claims to be the largest fast casual Mediterranean brand in its S-1 filing, argues that the flavors and perception of health consumers associate with Mediterranean food mean there’s room for brands to grow in that space. Cava has 279 units, which is relatively small for a national brand, meaning there could be room for a competitor to grow rapidly.
“Soom Soom is a one-of-a-kind brand with unlimited potential in the Mediterranean space. We're already thinking up the path forward with our partners,” said Craveworthy CEO Gregg Majewski.
The companies did not immediately respond to a request for comment on which markets they planned to target for expansion or to a request to provide a franchise disclosure document.
C3’s founder and CEO, Sam Nazarian, said his company is “always on the lookout for partners who understand the evolving landscape of the food industry.”
In June, Nazarian acquired the remnants of Nextbite. Earlier this month, C3 announced it was working with TGI Fridays to serve one of its virtual brands from 140 stores, and would serve food on some XO flights. Majewski’s company, meanwhile, is planning to grow its portfolio of expanding fast casual and QSR concepts and reach $1 billion in annual sales in five years, according to QSR Magazine.
