CEO: Sweetgreen will use its pricing power “carefully”

Sweetgreen (SG) shares jumped after the company reported second-quarter results that beat Wall Street expectations while raising its full-year like-for-like sales forecast.

Jonathan Neman, co-founder and CEO of Sweetgreen, joins Market Domination along with Yahoo Finance reporter Brooke DiPalma to provide insight into the company’s earnings and potential future operations.

Neman says he has a “really good feeling” about the company’s continued growth on the path to profitability and is pleased with the quarterly results.

Regarding leveraging Sweetgreen’s pricing power, Neman says, “I think we’re going to use it very judiciously… I think one of the advantages we’re seeing right now is that we’ve charged less than our competition for the last four years. So if you look at the relative price difference between Sweetgreen, some of our fast-casual competitors and QSR, the gap has really narrowed. I mean, you can’t get in and out of QSR for under $15 today.”

Neman also touches on the “infinite kitchens” Sweetgreen has implemented in several locations, which use automation to reduce staffing needs at each location. He claims, “Typically, the total staff is about one-third of the required number of employees.”

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This article was written by Nicolas Jacobino