Where are they now? The fastest-growing restaurant chains from 2013
By Jonathan Maze on Jun. 27, 2024Remember 2013? We were all taking selfies, boasting about “swag” and listening to Lorde between various Vines about dumb ways to die.
And we apparently ate a lot of froyo and higher-end burgers.
As we continue reporting on the Technomic Top 500 Chain Restaurant Report, we thought it would be worth looking back at the fastest-growing restaurant chains from that list 10 years ago.
The ranking features a healthy selection of frozen yogurt and better burger chains, which thrived coming out of the Great Recession. But it’s also a lesson that fast growth today does not guarantee long-term success. Here are the 10 fastest growing chains from the 2014 Technomic Top 500, and where they are today.
1. SweetFrog
2013 U.S. system sales: $39.6 million
2013 growth: 173%
2023 U.S. system sales: $61.2 million
Froyo burst onto the scene during the Great Recession and several chains grew rapidly in the aftermath, buoyed by a simple franchise model and lots of unemployed former executives. Sweetfrog is one of three such chains on this list.
The concept peaked at more than 300 locations but has shrunk by a third since then, with 216 locations at the end of 2023. It was acquired by the Canadian brand collector MTY Food Group in 2018.
2. Twin Peaks
2013 U.S. system sales: $165.3 million
2013 growth: 68.4%
2023 U.S. system sales: $545.9 million
Twin Peaks is one of the better long-term performers on this ranking. The casual dining/sports bar chain has not only maintained healthy performance through the pandemic but it has outperformed rivals in the “breastaurant” sector, many of which have struggled.
The chain was acquired in 2021 by Fat Brands and is poised for a spinoff IPO some time this year.
3. World of Beer Bar & Kitchen
2013 U.S. system sales: $55.6 million
2013 growth: 62.6%
2023 U.S. system sales: $53.6 million
World of Beer Bar & Kitchen was all-in on the craft beer trend. The chain was founded in 2007 in Tampa and grew rapidly, taking advantage of Millennials’ love of craft beer. The brand features hundreds of beers from around the world. “It’s more than just a drink,” the company boasts on its website.
The brand at one point grew to 58 locations and by 2018 it had $85.5 million in system sales but has been closing restaurants since then. System sales last year declined 13% and the company now has 42 units, 12 fewer than it had a decade ago.
4. Orange Leaf Frozen Yogurt
2013 U.S. system sales: $81 million
2013 growth: 55.5%
2023 U.S. system sales: $20.9 million
Man, life couldn’t be better for Orange Leaf Frozen Yogurt in 2014. It was coming off a remarkably strong year, growing faster than all but three major chains, and then it signed burgeoning NBA star Kevin Durant to a partnership deal.
But the brand, much like the frozen yogurt trend, came back down to earth. The brand, which had 299 locations a decade ago, is down to 62 locations. And system sales have shrunk by three-quarters over that period.
5. Mooyah
2013 U.S. system sales: $37.9 million
2013 growth: 48%
2023 U.S. system sales: $71.8 million
The first of the better burger competitors on this list, Mooyah was founded in 2007, grew rapidly coming out of the recession largely for the same reason that the froyo chains did. It operated 52 locations in 2013.
It ran into problems by 2017 and was sold to Balmoral Funds and Gala Capital Partners. The brand remains on the Top 500 at No. 436. But it has closed a net of nine locations after peaking at 81 restaurants in 2021.
6. Which Wich
2013 U.S. system sales: $129.3 million
2013 growth: 46.9%
2023 U.S. system sales: $107.4 million
Which Wich was an industry darling during this period. And it would keep growing, to more than 400 locations by 2018 with some international units.
But the company has been in a steep decline in the years since, thanks largely to unit closures. Which Wich operates less than half the restaurants it operated five years ago and system sales are well below where they were a decade ago.
7. Habit Burger
2013 U.S. system sales: $120.4 million
2013 growth: 43%
2023 U.S. system sales: $696 million
Habit Burger Grill remains a success story. It was an 85-unit chain back in 2013. Its rapid growth paved the way to an IPO in late 2014 and its stock price doubled in value on the first day of trading.
The brand would struggle under the bright lights of the public markets, however, and by 2020 the company was sold to Yum Brands, which is intent on growth. Today, Habit operates 366 units. But its same-store sales have struggled and the company has not kept pace with other better burger competitors.
8. Menchie’s Frozen Yogurt
2013 U.S. system sales: $85 million
2013 growth: 42.1%
2023 U.S. system sales: $113.9 million
Menchie’s might be the true symbol of the frozen yogurt boom and subsequent bust. It was founded in 2007, grew rapidly during and coming out of the Great Recession, and by the end of 2013 was a 300-unit chain. It had more than 400 locations by 2018 and was the largest frozen yogurt chain in the country.
But it has been declining steadily since then. It has closed 129 locations since 2018 while system sales are down 24%. But it still operates more than 300 shops in the U.S., and another 53 internationally, and remains the country’s biggest froyo chain.
9. Freddy’s Frozen Custard and Steakburgers
2013 U.S. system sales: $144.9 million
2013 growth: 41.8%
2023 U.S. system sales: $925 million
And here we come to the biggest long-term success on this list. Freddy’s has thrived for years, with consistent sales and unit growth. System sales grew 14.5% last year alone, for instance, and the brand has more than 500 locations.
It was the third-largest fast-casual burger chain in the U.S. last year, behind Shake Shack and Five Guys, and was the No. 62 chain on the Top 500. The brand was sold at the peak of the market, in 2021, to Thompson Street Capital Partners.
10. Fuzzy’s Taco Shop
2013 U.S. system sales: $80 million
2013 growth: 40.7%
2023 U.S. system sales: $223.7 million
Fuzzy’s was part of a generation of upscale fast-casual taco shops that specialized in innovative tacos and other Mexican fare, along with booze. The brand did well enough that it was sold to Dine Brands Global in 2022, giving the owner of Applebee’s and IHOP its long-awaited “third brand.”
Dine Brands is intent on growing Fuzzy’s, but it likely has some work to do first: It closed a net of five units last year as system sales fell 4%, wiping out some post-pandemic momentum.