The news: Sweetgreen’s introduction of lower-priced wraps in May appears to be gaining traction. One in five orders now includes a wrap, and the item is driving strong repeat visits, per Restaurant Dive. The wraps are also helping the chain attract younger diners, with Gen Z transactions growing at twice the rate of orders among other generations.

The strategy: The wraps are part of a broader effort to widen Sweetgreen’s appeal by addressing its price perception, speeding up service, and improving food quality. Those priorities align with key factors in quick-service restaurant selection: Nearly 68% of US parents cited price/value as an important factor when choosing a QSR, followed by convenience/location (53%) and speed of service (36%), according to a survey we conducted with Dick’s Sporting Goods.

The chain is also changing how it markets itself, launching its first major social media campaign with hundreds of creators spanning different demographics and subcommunities.

• Sweetgreen invited creators to try the wraps and post honest reviews rather than scripted promotions.
• TikTok creator Taryn Delanie Smith posted a video of herself eating a wrap in her car, emphasizing the product’s convenience and portability.

The approach comes at an opportune time: Gen Z restaurant spending jumped nearly 7% YoY in July, making it the only generational group to increase spending across every restaurant segment—including pizza, quick-service, casual, and fast-casual dining, as well as bars—per Bank of America Institute data.

The numbers: After several quarters of double-digit declines, Sweetgreen transactions stabilized in June and turned positive in early July, which could indicate the wraps were beginning to resonate with customers, per The Wall Street Journal.

Still, the company’s performance remains weak. Sweetgreen’s same-store sales fell 6.2% YoY last quarter, while traffic dropped 2%. The chain consequently cut its full-year outlook to a decline of 7% to 8%, down from its earlier forecast of a 2% to 4% decline. A cyclospora outbreak also added food-safety concerns to its existing price-perception problem.

Implications for restaurant marketers: Sweetgreen offers a useful example of how product innovation and creator marketing can help a brand reconnect with consumers, but also how hard it is to turn early wins into a sustained recovery.

Sweetgreen is hitting some of the right notes. Its wraps offer a more affordable, portable option for younger diners, while the unscripted creator campaign fits naturally with how consumers discover and evaluate brands.

Still, new menu items and creator campaigns can only go so far when many customers see a brand as too expensive or have concerns about food safety. Sweetgreen’s lowered outlook suggests that recovery will take time.

The big question is whether Gen Z’s growing interest can help turn things around more broadly and whether Sweetgreen can sustain that momentum beyond the wraps.