The Cheesecake Factory

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The Cheesecake Factory Incorporated
Company type Public
Industry Restaurants
Founded1972;52 years ago (1972), in Los Angeles, California, U.S. (as a bakery)
1978;46 years ago (1978), in Beverly Hills, California, U.S. (as a restaurant)
FounderDavid Overton
Headquarters
Calabasas, California
,
U.S.
Number of locations
336(2024)
Area served
Worldwide
Key people
David Overton (chairman and CEO)
David Gordon (president)
ProductsCheesecakes, burgers, pizza, pasta, steaks, sandwiches
RevenueIncrease2.svg US$3.303 billion (2022)
Decrease2.svgUS$38.935 million (2022)
Decrease2.svgUS$43.123 million (2022)
Total assets Decrease2.svgUS$2.775 billion (2022)
Total equity Decrease2.svgUS$292 million (2022)
Number of employees
47,500 (2022)
Subsidiaries Grand Lux Cafe, LLC
RockSugar Southeast Asian Kitchen, LLC
Social Monk Asian Kitchen [1]
Fox Restaurant Concepts
Website thecheesecakefactory.com
Footnotes /references
[2]

The Cheesecake Factory Incorporated is an American restaurant company and distributor of cheesecakes based in the United States. It operates 219 full-service restaurants: 206 under the Cheesecake Factory brand and 7 under the Grand Lux Cafe brand, not including the number of restaurants operated under the North Italia nor any of Fox Restaurant Brands' names. The Cheesecake Factory also operates two bakery production facilities—in Calabasas, California, and Rocky Mount, North Carolina—and licenses two bakery-based menus for other foodservice operators under the Cheesecake Factory Bakery Cafe marque. Its cheesecakes and other baked goods can also be found in the cafes of many Barnes & Noble stores.

Contents

David M. Overton, the company's founder, opened the first Cheesecake Factory restaurant in Beverly Hills, California, in 1978. The restaurant established the future chain's pattern of featuring an eclectic menu, large portions, and signature cheesecakes. [3] In 2020, Fortune ranked the Cheesecake Factory at number 12 on their Fortune List of the Top 100 Companies to Work For in 2020 based on an employee survey of satisfaction. [4]

History

Founding and early years

Evelyn Overton opened a business after making a cheesecake for her husband's employer in the 1940s. She opened a small cheesecake bakery in Detroit, Michigan, in the late 1950s but eventually gave it up to raise her two children. She continued to supply cakes to several local restaurants through a kitchen in her basement. In 1967, Evelyn's son David M. Overton left Detroit to attend Hastings College of Law in San Francisco, but in 1968, decided to be a drummer, performing with the Billy Roberts Blues Band. [5] In 1971, David convinced his parents to relocate to Los Angeles to open a commercial bakery. [5] In 1972, they moved to the Woodland Hills area of Los Angeles where they opened the Cheesecake Factory Bakery, in which they produced cheesecakes and other desserts for local restaurants. [6]

California

In 1978, Evelyn's son David opened the Cheesecake Factory, a small salad-and-sandwich restaurant in Beverly Hills that sold ten varieties of cheesecakes on a one-page menu. [6] In 1983, he opened a second restaurant in Marina del Rey. By 1987, the Beverly Hills location had expanded into a 78-seat restaurant and was experiencing great financial success. This led to the opening of a third, larger location in Redondo Beach, which was eventually renovated into a 300-seat, 21,000-square-foot (2,000 m2) location. By the end of the 1980s, the Cheesecake Factory's one-page menu had expanded, and the restaurant offered additional fast-food and short-order items. [6]

Expansion beyond Southern California

The 1990s saw the opening of the first Cheesecake Factory restaurant outside of Southern California. The new restaurant was located in Washington, D.C. The Cheesecake Factory was incorporated in 1992 [7] and went public in September 1993. David Overton planned to open 3–4 units a year to generate a 25% yearly increase in sales. [6]

The company began changing its menu twice a year and adding steaks, seafood, and vegetarian dishes. The company continued to open new restaurants and by 1995 was ranked 11th in the United States.[ clarification needed ] As of April 2013, the Cheesecake Factory operated 162 restaurants under the Cheesecake Factory name in 36 states. [8] Plaza Las Américas in San Juan, Puerto Rico, opened its first Cheesecake Factory on August 28, 2013. [9]

The company used to operate one self-service, limited-menu express food service operation under the Cheesecake Factory marque inside DisneyQuest at Disney Springs in Walt Disney World Resort in Lake Buena Vista, Florida. It opened in 1998 and closed in 2017. [10]

International expansion

Cheesecake Factory; Ross Park Mall; Pittsburgh PA Cheesecake Factory; Ross Park Mall; Ross Township PA.jpg
Cheesecake Factory; Ross Park Mall; Pittsburgh PA
The Cheesecake Factory in Hong Kong The Cheese Cake Factory Hong Kong interior 201711.jpg
The Cheesecake Factory in Hong Kong

The Cheesecake Factory has expanded into international markets by licensing agreements for other companies to operate franchises and corporate ownership. The first store outside the United States was opened at The Dubai Mall in August 2012 as a franchise via a licensing agreement.

The Cheesecake Factory at Palisades Center in West Nyack, New York 9.6.07.CFPalisadesMallbyLuigiNovi.JPG
The Cheesecake Factory at Palisades Center in West Nyack, New York

On January 25, 2011, the company expanded into the Middle East in a partnership with Kuwaiti retail franchising company M.H. Alshaya Co. The 300-seat restaurant opened on August 16, 2012, at The Dubai Mall. This is the Cheesecake Factory's first location outside the United States. [11]

In May 2014, the Cheesecake Factory announced that it would open the first Cheesecake Factory in East Asia. The first East Asian Cheesecake Factory opened in Disneytown in Pudong, Shanghai, China, on June 16, 2016. [12]

Also, in 2014, the first Cheesecake Factory in Mexico opened its doors in Guadalajara. [11]

As of May 2018, the Cheesecake Factory has eleven restaurants in the Middle East: four in Dubai (Dubai Mall, Mall of Emirates, Jumeirah Beach Residence and Dubai Festival City Mall), three in Kuwait (Arabella, Sidra, and The Avenues—which was the 160th Cheesecake Factory opening), [13] two in Saudi Arabia (Riyadh and Jeddah), and lastly one in the Yas Mall and one in The Galleria in Abu Dhabi. [14] On December 1, 2015, the Cheesecake Factory opened its eighth Middle East branch at the Verdun Shopping Center in Beirut, Lebanon. Many of the Cheesecake Factory management attended the opening, including managers from the US and Dubai. The Cheesecake Factory also made its first appearance in Doha, Qatar, by opening in the Mall of Qatar and further opened two more branches in Villaggio and Doha Festival City.

There are Cheesecake Factories in Parque Delta and Centro Santa Fe, Mexico City. [15]

On April 12, 2017, the company announced it would expand into Canada. [16] In November 2017, the first Canadian location opened at Yorkdale Shopping Centre in Toronto, Ontario. [17] [18]

In May 2017, a Hong Kong store opened in Harbour City, Tsim Sha Tsui. [19]

As of the end of 2021, the Cheesecake Factory is open for business in Canada, USA, UAE, Kuwait, Saudi Arabia, Qatar, Bahrain, Mexico, the Chinese Mainland, and the Special Administrative Regions of Hong Kong and Macau.

On December 4, 2020, the U.S. Securities and Exchange Commission resolved charges brought against the Cheesecake Factory for misleading investors during the COVID-19 pandemic; the company paid a $125,000 fine without admitting the findings in the order. [20] [21]

Other restaurants

The Cheesecake Factory Bakery Cafe operates two bakery production facilities in Calabasas Hills, California, and Rocky Mount, North Carolina, and licenses two bakery-based menus to other food service operators. This division operates in North America, Europe, Asia and the Middle East. The Cheesecake Factory Bakery has appointed Schengen Desserts B.V. as their master distributor for Europe.

Grand Lux Cafe

The Grand Lux Cafe in The Colonnade Outlets at Sawgrass Mills in Sunrise, Florida, in February 2022 Grand Lux Cafe, Sawgrass Mills, Sunrise, Florida February 20, 2022.jpg
The Grand Lux Cafe in The Colonnade Outlets at Sawgrass Mills in Sunrise, Florida, in February 2022

David Overton designed the Grand Lux Cafe, an upscale restaurant for The Venetian hotel and casino in Las Vegas. [22] The restaurant is modeled after Italian, French, and Austrian styles. The Cafe offers, in addition to American and European-style food, Thai, Malaysian, Caribbean cuisine, and others. The Cheesecake Factory operates seven Grand Lux Cafe restaurants located in Florida, Nevada, New Jersey, New York, and Texas. A location in Chicago closed December 24, 2023.

Each Grand Lux Cafe features an on-site bakery that produces a selection of signature bake-to-order desserts (up to 30 minutes) and a full-service craft bar.

RockSugar Southeast Asian Kitchen

RockSugar Southeast Asian Kitchen was a contemporary Asian-fusion restaurant that opened on June 19, 2008, at Century City in Los Angeles. David Overton excluded Chinese and Japanese cuisines from the menu, as these are served at the Grand Lux and Cheesecake Factory restaurants. It closed on December 31, 2020, at least in part to the COVID-19 pandemic. [23] A second location opened in Oakbrook, Illinois, in November 2017, [24] but closed in December 2019. [25]

Fox Restaurant Concepts

On July 31, 2019, the Cheesecake Factory announced it had reached an agreement to buy Phoenix-based Fox Restaurant Concepts (FRC) for $308 million in cash at closing and another $45 million due over the next four years. [26]

The interior of a North Italia restaurant in Dunwoody, Georgia The interior of a North Italia restaurant in Dunwoody, Georgia.jpg
The interior of a North Italia restaurant in Dunwoody, Georgia

FRC started in 1998 when 21-year-old founder Sam Fox launched his first restaurant concept Wildflower (unrelated to another Arizona restaurant Wildflower Bread Company) and has since launched additional restaurants in differing categories including North Italia, a specialty restaurant known for pasta, pizza, and other Italian foods. North Italia alone currently has locations in Alabama, Arizona, California, Colorado, Florida, Georgia, Kansas, Nevada, North Carolina, Pennsylvania, Tennessee, Texas, Virginia, and Washington, D.C. Other concepts from the FRC portfolio include: Flower Child, Culinary Dropout, Blanco, The Henry, Zinburger, The Arrogant Butcher, Doughbird, Fly Bye, The Greene House, Olive & Ivy, and Pushing Daisies.

Several cheesecakes on display at a location in Naples, Florida Cheescake Factory Cheesecake Assortment.jpg
Several cheesecakes on display at a location in Naples, Florida

The Cheesecake Factory dining menu includes steaks, chops, burgers, chicken, seafood, sandwiches, pasta, pizza, soups, and salads in various cuisines. In addition to its regular dining menu, the company offers a lower-calorie menu that includes salads, burgers, sandwiches, and small plates. [27] The brunch menu is offered on Saturdays and Sundays and includes pancakes, waffles, French toast, and eggs. [28]

The dessert menu offers 37 cheesecake flavors and cakes, [29] milkshakes, and specialty and ice cream desserts. [27] Per a company spokesperson, the restaurant sells almost 35 million slices of cheesecake annually. [30]

The more than 250 menu items are all made from scratch to order. [31] [32]

Caloric content

The Cheesecake Factory has been criticized for featuring large servings of high-calorie and high-fat foods. For these reasons, the chain was dubbed the "worst family restaurant in America" for 2010 by Men's Health magazine. [33] The average sandwich at the restaurant contains 1,400 calories. [34] In 2013, the Center for Science in the Public Interest gave a better understanding toward some of the food found at the Cheesecake Factory, including the "Crispy Chicken Costoletta" that has more calories (2,610) than a 12-piece bucket of fried chicken from KFC and the Cheesecake Factory's "Bistro Shrimp Pasta" dish, which had more calories than any other entrée from a national chain restaurant at 3,120 calories, with 89 grams of saturated fat. [35] The United States Department of Agriculture's Center for Nutrition Policy and Promotion states in its dietary guidelines that a typical female adult should consume about 2,000 calories (males 2,500) [36] and no more than 10% of saturated fat per day. [37] In an attempt to offer healthier, lower-calorie meal options, the Cheesecake Factory created a "Skinnylicious" menu that features a variety of cocktails, salads, appetizers, and specialty dishes such as lemon-garlic shrimp and grilled salmon. [38]

COVID-19 pandemic

On March 18, 2020, Overton informed his landlords that his restaurants would be unable to pay rent for April due to significant financial losses as a result of the COVID-19 pandemic but would resume paying rent as soon as possible. Following the close, the restaurants reopened after the COVID-19 pandemic in 2020. [39]

See also

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References

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