Menu innovations like pulled pork and spicy sauces helped sales in the period
Ron Ruggless, Senior Editor, Nation’s Restaurant News / Restaurant HospitalityMarch 7, 2025
3 Min Read
Potbelly worked to fill menu gaps in 2024.Potbelly Corp.
Potbelly Corp. filled in some menu gaps in the fourth quarter, executives said, adding pulled pork protein and expanding sauce options.
The Chicago-based fast-casual sandwich chain, which released earnings on Thursday for the fourth quarter ended Dec. 29, said menu innovation helped the brand’s sales in the quarter.
“We conducted research with our customers and the results indicated that we had some gaps in our menu in trending areas like flavorful sauces and spicy offerings, as well as in additional heartier whole muscle proteins,” Bob Wright, Potbelly’s president and CEO, told analysts.
“In early November of last year, we added innovations to our core menu aimed at giving customers even more reasons to choose Potbelly and more ways to customize their experience,” Wright said.
“These innovations included the introduction of two new signature sandwiches, both made with our new slow-cooked pulled pork, one of which was our fan favorite LTO the Cubano, two new proprietary signature sauces that address customers' desires for more craveable and spicy flavors,” Wright said. The new sauces were Hot Pepper Ranch and Sweet Heat Barbecue.
Sandwich topping also expanded with cucumbers and roasted red peppers, he said. Potbelly also expanded its $7.99 everyday value combos in late July 2024.
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“On the beverage side, consumption of non-carbonated cold beverages has increased substantially in the industry in recent years,” Wright explained. “To capitalize on this, we rolled out our Potbelly Craft Refreshers systemwide at the end of September in partnership with Tractor Beverage Co. In keeping with our brand, these beverages added more interesting and flavorful options to our customers beyond traditional fountain drinks and they have a better-for-you profile as they are both organic and non-GMO.”
The company relaunched its loyalty Perks program in 2024, and it has worked to reach customers in more personal ways.
“Throughout 2025, you’ll see us continuing to invest in two main areas of digital,” Wright explained. “The first continues to be our consumer-facing digital assets. While we already have a great digital experience today, we believe we can do better, and we are investing in our consumer-facing digital to drive features and functions that make Potbelly even more attractive in this competitive space and ultimately drive top line. The second area of investment is in data and analytics.”
Potbelly’s digital business in the fourth quarter represented more than 40% of total shop sales, an increase of about 100 basis points versus last year, Wright said.
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For the fourth quarter ended Dec. 29, Potbelly’s net income was $4.6 million, or 15 cents a share, up from $2.7 million, or nine cents a share, in the year-ago period. Revenues slipped to $116.6 million from $125.7 million in the same quarter a year ago.
Company same-store sales in the fourth quarter increased 0.3% compared to a 6.3% increase in the prior year.
For 2024, Potbelly opened 23 shops across 10 states.
Potbelly, founded in 1977, has more than 440 locations in the United States. More than 90 units are franchised.
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Potbelly Corp. About the AuthorSenior Editor, Nation’s Restaurant News / Restaurant Hospitality
Ron Ruggless serves as a senior editor for Informa Connect’s Nation’s Restaurant News (NRN.com) and Restaurant Hospitality (Restaurant-Hospitality.com) online and print platforms. He joined NRN in 1992 after working 10 years in various roles at the Dallas Times Herald newspaper, including restaurant critic, assistant business editor, food editor and lifestyle editor. He also edited several printings of the Zagat Dining Guide for Dallas-Fort Worth, and his articles and photographs have appeared in Food & Wine, Food Network and Self magazines.
Ron Ruggless’ areas of expertise include foodservice mergers, acquisitions, operations, supply chain, research and development and marketing.
Ron Ruggless is a frequent moderator and panelist at industry events ranging from the Multi-Unit Foodservice Operators (MUFSO) conference to RestaurantSpaces, the Council of Hospitality and Restaurant Trainers, the National Restaurant Association’s Marketing Executives Group, local restaurant associations and the Horeca Professional Expo in Madrid, Spain.
Ron Ruggless’ experience:
Regional and Senior Editor, Informa Connect’s Nation’s Restaurant News and Restaurant Hospitality (1992 to present)
Features Editor – Dallas Times Herald (1989-1991)
Restaurant Critic and Food Editor – Dallas Times Herald (1987-1988)
Editing Roles – Dallas Times Herald (1982-1987)
Editing Roles – Charlotte (N.C.) Observer (1980-1982)
Editing Roles – Omaha (Neb.) World-Herald (1978-1980)
Email: [email protected]
Social media:
Twitter: @RonRuggless
LinkedIn: www.linkedin.com/in/ronruggless
Instagram: @RonRuggless
TikTok: @RonRuggless
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