Salad bar chain SumoSalad will incorporate its smaller rival THR1VE and hopes to take advantage of its foothold in supermarkets and its direct-to-consumer business, as it tries to build the country's leading health-food brand.
This Monday, THR1VE (pronounced "Thrive") said it would close its nine salad bars and put the subsidiary they were operating through into administration, while its remaining business would be merged with SumoSalad.
That consists of THR1VE's ready-made meals business, which delivers "clean, nourishing and delicious" meals to customers' doors and are also sold at Woolworths' Metro convenience stores.
SumoSalad has been taking its own steps into the "ready-to-eat" market, putting pre-packaged meals in about 25 IGA supermarkets, and expects to be stocked in 225 more by March.
“We are moving away from food courts and we are investing in omni-channel," said Sumo Salad's founder and chief executive Luke Baylis. "The compelling reason for us to acquire the THR1VE brand is to accelerate some of these... opportunities, particularly through [direct to consumer] and broadening our reach in grocery."
As reported by smh.com.au, ready-to-eat meals are a major growth market, and a focus for both Woolworths and Coles in each supermarket's new-format stores, which are geared to busy but health-conscious shoppers.