Dive Brief:
- Saladworks, a Woworks brand, has signed a 10-unit deal with Mixon Foods to expand into North Carolina, the company said in a Tuesday press release.
- The first location will open in Greenville, North Carolina, in the spring of 2026. Saladworks has plans for more units in Greenville-New Bern-Washington, Raleigh-Durham and Wilmington areas, and currently has only one North Carolina location in Huntersville, a suburb of Charlotte.
- This deal signals a shift in Woworks’ growth strategy, which once included expansion via ghost kitchens like Cloud Kitchens and Kitchen United and via salad-making robots with Chowbotics.DoorDash acquired Chowbotics in 2021 and shuttered it in 2022, andKitchen United closed its operations in 2024.
Dive Insight:
Mixon Foods, which runs a barbecue smokehouse and a drive-in, said it would consider Woworks’ other brands, including Frutta Bowls and Barberitos, and co-branding opportunities. Woworks has been expanding its Saladworks/Frutta Bowls prototype, opening five co-branded locations last year. It also signed a 10-unit deal for Barberitos and Frutta Bowls in Alabama. Last year, Woworks opened 26 new restaurants and signed 40 new franchise agreements, according to a press release.
Traditional franchising may help Saladworks regain unit growth momentum. In 2024, the chain had 91 units, down from 103 units at the start of 2022, according to Saladworks’ franchise disclosure document. As of Sept. 29, 2024, had signed 25 franchise agreements which have not yet resulted in restaurant openings.
Saladworks is competing with fast-growing salad chains like Sweetgreen, Salad and Go and Just Salad, which are targeting aggressive growth. Sweetgreen opened five units in the first quarter and expects to open 40 this year. Its average unit volume is $2.9 million as of Q1, according to an earnings release. Comparatively, Saladworks’ average net sales were $815,081 for strip mall locations and $944,270 for pad sites last year, meaning the brand faces stiff competition from segment leaders. Earlier this year, 90-unit Just Salad secured $200 million in new funding to support expansion, invest in consumer experiences and new technology.