Erewhon’s Growth Could Make Its Calorie Counts Public. That’s Not Its Biggest Risk
As the California chain continues to expand, it inches closer to a decade-old rule from the FDA that could alter its image.
As Erewhon continues to grow, something new could be made public: its calorie counts.
The California grocery chain is expanding beyond Los Angeles County for the first time, bringing its celebrity-favorite juice bar and premium organic aisles to Ventura County. The chain officially opened this week at The Lakes at Thousand Oaks, a shopping center.
However, this growing footprint also carries a regulatory milestone.
Under the U.S. Food and Drug Administration’s Menu Labeling Rule, mandated under the 2010 Affordable Care Act and finalized by the FDA in 2014, chains with 20 or more locations selling substantially the same items are required to display calorie counts. With this latest opening, Erewhon is now just five stores away from crossing that line.
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Reaching that threshold would mean shedding one more
Reaching that threshold would mean shedding one more layer of exclusivity, something Morgan Ward, a consumer behavior scholar and faculty member at Emory University’s School of Business, said Erewhon can’t fully avoid as it expands beyond its Los Angeles roots.
“This limited footprint makes the brand a destination,” she told Inc. “When you can walk into an Erewhon in Cleveland or Denver, it’s no longer a destination, it’ll be just another high-end luxury brand you can access in any major city.”
That tension between growth and exclusivity isn’t new for Erewhon. The chain opened a smoothie shop inside Kith Ivy, a private members club in New York City’s West Village, last year. While that small, single-purpose outpost is a far cry from a full grocery store, it signaled the brand’s willingness to test new markets beyond its Southern California roots.
Source: www.inc.com
