Cece’s Founder Steps Down as CEO as Company Eyes Next Growth Stage

After selling its Austin, Texas manufacturing facility last November, veggie noodle and rice brand Cece’s Veggie Co. is making another major change. Cece’s founder Mason Arnold announced this month that he has stepped down as CEO of the company, with president Wade Groetsch taking over to lead the company in its next stage of growth as it seeks expanded distribution and new innovation.

The company announced the sale of its 40,000 square foot Austin, Texas manufacturing plant to produce and plant-based meal solution provider Fresh Texas last year in favor of a more regional production model. The shift in production allowed the company to produce and distribute its products more quickly and efficiently, opening the door for the next stage for Cece’s, Groetsch said.

Arnold will remain with the company as chairman of the board, but after leading the brand since its founding in 2015, he said he realized the company’s further growth necessitated more experienced leadership.

“Looking at what’s next for the company and what we wanted to achieve, [Groetsch’s] leadership would continue to be very important to that, and the role that I would play would be reduced,” Arnold said. “So I took that as a good time to step away and let him take the full reign.”

Groetsch joined the company as president in 2019, brought on to “complement Mason’s creativity” as founder and help the company implement more cost effective strategies, Groetsch said. He had previously held leadership positions at General Mills, Danone and Dole, and served as CEO of Noosa Yoghurt from 2012 to 2015. He stepped down from that role shortly after Noosa was acquired by Advent International in late 2014, entering “semi-retirement” while advising equity groups. Arnold said Groetsch served as a “mentor” for him at Cece’s, teaching him “how to grow within the industry.”

“Being my first company that had reached this stage of growth, I had a lot to learn,” Arnold said. “As CEO, he’ll be able to fully implement his vision for the company, and be able to be more nimble than a collaborative environment.”

The company’s switch to regional manufacturing removes the expensive burden of shipping perishable products from Texas across the country, putting the company in a position to reach profitability this year, Groetsch said. Right now its co-packers are mainly on the West Coast, where the company does the majority of its business with key retailers like Whole Foods and Sprouts. Groetsch said he plans to next find manufacturing partners in the Midwest and on the East Coast.

The use of co-packers has also sped up innovation, which will help the company as it continues to eye expansion beyond veggie noodles and rice into meat kits and convenience items in different parts of the store. Last year, the company launched meal kits such as Cauli & Cheese, sweet potato-based Dinos & Cheese and Buffalo Cauli. Now, it’s moving into the frozen set, rolling out a new line of frozen veggie zucchini and butternut squash noodles to club stores, with a wider retail launch set for later this year. It will also be launching heat-and-eat functional wellness bowls in Sprouts later this spring.

“We think these are some real opportunities to help grow the brand presence, as well as grow the category itself,” Groetsch said. “Our goal is to take our brand and figure out how we can make it effective in multiple departments of the stores.”

Despite the many changes over the last year, Arnold said there are no plans to sell the company at this time. He said he’s currently focused on the leadership transition at the company and will enjoy his “newfound time” before pursuing his next venture, which will likely combine his passions for food and sustainability. He’ll also continue to participate in trade shows and media opportunities to support Cece’s and “help cheer it on as it continues to grow.”

“I set out to find new innovative ways for people to eat healthier and I never expected it to catch on as fast as it did,” Arnold said. “It’s been just an absolutely phenomenal and wild ride. It far exceeded my expectations of what I was hoping to do in the first five years of the business.”