Luna Grill located in Dallas, TX,courtesy of Luna Grill
The two owners of Luna Grill are motivated by their passion for Mediterranean food and family. And when they describe their restaurant chain as consisting of “family,” they’re not exaggerating.
Sean and Maria Pourteymour, who launched Luna Grill in 2004, which is based in San Diego, California, are husband and wife. Sean serves as CEO, and Maria as chief cuisine officer. Maria’s parents ran a Greek restaurant, and Sean’s family was Iranian, which led to fusing Mediterranean and Middle Eastern flavors into their dishes such as chicken kabab plate, flat-cut chicken plate and gyro wraps.
Luna Grill has grown to 50 outlets, located mostly in Southern California and the Dallas/Fort Worth area. All locations are company-owned; none is franchised.
In the research firm’s Technomic’s ranking of the top 500 restaurant chains in the U.S., Luna Grill’s revenue spiked 38% from 2016 to 2017. It offers fast casual food, with an average check price of $12 a person.
It prides itself in serving fresh, wholesome food that adhere to strict health standards including: serving many non-genetically modified lamb, salmon and grass-fed beef; supporting locally harvested produce and local businesses; reducing and eliminating additives; using preservative-free, all natural poultry and antibiotic-free beef.
When it launched 15 years ago, Sean said there were few Mediterranean options, and most dining choices were Mexican, Italian and Chinese. Since then, however, competition in the Middle Eastern space has heated up.
Here’s what Sean Pourteymour said about Luna Grill’s growth:
What was the impetus for launching Luna Grill in 2004?
Pourteymour: It was a passion of my wife’s. Her family was in the restaurant business. She wanted to start a restaurant that offered good quality food but where you didn’t have to pay $100 a person with wine. We wanted to do more of a budget restaurant for the masses. We offer high quality ingredients in a fast casual atmosphere.
What do you focus on, and what does your wife focus on in running the business?
Pourteymour: My wife is more on the culinary side of the menu. My focus as CEO is to focus on the growth, the people, the strategy and systems.
Having a husband as CEO and wife as chief cuisine officer could lead to conflict? How can it be avoided?
Pourteymour: I asked my wife to marry me a week after I met her, and we got married four months after that. It’s been 21 years since, so I think it’s going to work out. We’ve worked together every day since we met, and we have this relationship where we see eye-to-eye and know how and when to get out of each other’s way.
Here's a Luna Grill located in Chino Hills, Californiacourtesty of Luna Grill
What food does Luna Grill specialize in?
Pourteymour: In my view, it’s simple Mediterranean food that we grew up with that mama used to make. It’s simple, fresh, high quality and great services.
You’re focusing on using natural food and keeping away from antibiotics, hormones and GMO food. Why is that so important?
Pourteymour: My wife has a passion for simple food the way it was meant to be and staying away from genetically modified food and additives. Adding lots of sauces to cover taste on food isn’t what we do. The less additives there are, the better it is for you.
But your website isn’t definitive. For example, it says you’re trying to reduce “most” GMOs. Why aren’t you more definitive in not using them?
Pourteymour: We’re trying to stay in an approachable, reasonable price point. So we do what we can. For example, we try to get the best chicken we can get with our price point. We’re trying to use our leverage to make our ingredients better and better.
Your revenue rose 30% in 2017. What were the key factors in that growth?
Pourteymour: There are multiple reasons. One trend is the consumer is going after better food and better quality. Even fast food brands are trying to have better quality food. As my wife says, you wouldn’t put regular fuel in your Ferrari. And it’s the same with your body.
When you first opened, you were one of the only Middle Eastern chains. Now three’s Naf Naf Grill, Cava, Mamoun’s Falafels and Semson, and others. What differentiates Luna Grill?
Pourteymour: The category is growing, but we still have much room to growth. Some of our competitors are doing production line fare; we’re creating more of a restaurant environment. With us, you order at the counter and everything else is full service.
Many restaurant chains expand throughout the country, but you’re in mostly Southern California and Dallas/Fort Worth. Why cluster your restaurants in two areas?
Pourteymour: We wanted to grow methodically and understand expansion. California is our home state so it was easy to expand in Southern California. Many people ask, why did we go to Dallas? We wanted to go far enough where there’s a difference, and we can put in an infrastructure and move it to the Midwest or East Coast. We wanted to slow it down and focus on expanding in terms of people, systems and processes to understand what is important for us to sustain growth.
Where might you expand next?
Pourteymour: We’re doing studies now, but right now we’re expanding in California and Texas.
How are you financing it?
Pourteymour: We’re doing it with mostly organic funds but with a private equity partner.
How are you trying to please both the healthy diner and others?
Pourteymour: Our menu is designed as not alienating the other person. We don’t to want to just be known as healthy food. We have good French fries, but cook it in the best oil. We even have a grass-fed burger. We don’t want to be known as spa food but want to offer delicious food and healthy portions.
Where do you see Luna Grill growing in the next two years?
Pourteymour: Two years down the road, we’ll be in at least one more state. We’ll probably add 10 or 15 more restaurants.
Describe the 3 keys to growth?
Pourteymour: 1) Never to be shy to hit the brakes; 2) You should always look at your infrastructure and be ready to invest in it or make changes, 3) Stick to basics--quality food and a strong culture are most important to us.
https://www.forbes.com/sites/garystern/2019/01/29/luna-grill-making-a-dent-in-the-busy-middle-eastern-restaurant-space/ 2019-01-29 14:23:00Z
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