Consumers send mixed signals in the dining sector

Financial Performance - Sweet Green's same store sales fell 9.5% [1] - Sweet Green experienced flat sales in September and October, but is now running at low double-digit drops [2] Market Trends & Consumer Behavior - The salad bowl chain Sweet Green dropped 7.5% after missing sales and earnings estimates and cutting guidance [1] - Younger consumers are eating less at Sweet Green, Cava, and Chipotle [2] - Lower-income consumers are pulling away from quick service chains, with McDonald's noting double-digit traffic declines in this segment [3] - Upper-income consumers are visiting some QSR chains more [4] - Starbucks and Dutch Bros are bucking the trend with younger consumers, with Starbucks seeing flat but positive US comps in September and October [4] - The consumer is cautious and picking and choosing where to spend money [5] Company Strategy - Chains like Sweet Green, Cava, and Chipotle may focus on promotional activity and value to attract consumers [6] - Chipotle aims to improve its messaging around value and price point, addressing the perception of being more expensive [7] - Sweet Green may fine-tune its messaging as it has a higher price point than Chipotle [7][8]