Chipotle tests Mexican market with first Monterrey-area restaurant
The chain is opening in a wealthy part of the Monterrey area with Alsea as it gauges demand for its U.S.-style Mexican-inspired menu.
By Daniel Okafor · Business Editor
3 min read
Chipotle is entering Mexico with a restaurant in the Monterrey metropolitan area, a test of whether its U.S. fast-casual formula can gain traction in a country with a deep and competitive food culture. The company said the opening is part of a partnership with Alsea, a major restaurant operator in Latin America and Europe, and that it plans additional restaurants in Mexico City in 2027.
The California-based chain said the first Mexico location will open Thursday in Nuevo León. Chipotle said it will offer its familiar menu of customizable burrito bowls, tacos and quesadillas, prepared fresh through the day.
Chipotle CEO Scott Boatwright said in the company’s announcement that its research showed “strong interest” in fresh food with the customization and convenience the chain offers. The company said its approach will respect Mexico’s culinary heritage while keeping the menu format it uses in the United States.
The move puts Chipotle in a market where foreign chains selling adapted versions of local food have faced a difficult reception. Fortune reported that Domino’s shut its 29 Italian locations after seven years, and Taco Bell previously failed twice to build a lasting business in Mexico.
Jeffrey Pilcher, a University of Toronto professor who studies global food history, told Fortune that Domino’s drew criticism in Italy because it was seen as distorting pizza. He said Chipotle’s case is different from Domino’s, and also different from Taco Bell’s earlier attempts in Mexico.
Pilcher told Fortune that Taco Bell struggled because it neither served the same U.S.-style menu known to some middle-class Mexican consumers who had visited the United States nor offered food that felt recognizably Mexican. He described Taco Bell’s effort as “kind of a joke.”
Monterrey may give Chipotle a more favorable first market than other Mexican cities, Pilcher said. He told Fortune that a California-Mexican-style burrito may work better there than in Mexico City because the area has closer ties to the United States and a sizable population of American remote workers.
Bchara Zúñiga, who advises foodservice and retail executives in the Americas for GlobalData, told Fortune that Chipotle still faces an “uphill climb” in Monterrey. He said the chain’s emphasis on fresh produce and similar ingredients may stand out less in Mexico, where those qualities are already common in local restaurants.
Zúñiga said Mexico’s restaurant sector is about 80% independent, giving Chipotle a large base of local competitors. He told Fortune that working with Alsea was a smart move because the operator has experience growing international brands, including Starbucks and Burger King.
He also said Chipotle’s positioning as a restaurant inspired by Mexican cuisine, rather than one trying to repackage it, could help avoid some of the backlash faced by Taco Bell in Mexico or Domino’s in Italy. Fortune reported that Chipotle did not respond to its request for comment.
This story draws on original reporting from Fortune.