Chipotle Mexican Grill's work on the Farmesa Fresh Eatery concept came to an abrupt halt following the closure of partner platform Kitchen United's ghost kitchens.
About a year earlier, Chipotle made waves with the launch of its pioneering Farmesa locale in Kitchen United's Santa Monica hub. This spin-off of his model centers on customizable bowls, and its name is a combination of “farm” and “mesa,” the Spanish word for table, highlighting its commitment to farm-to-table principles. doing.
Unfortunately, Ghost Kitchen in Santa Monica ceased operations in February of this year amid the financial downturn faced by its parent company.
Kurt Garner, Chipotle's chief customer and technology officer, confirmed to CNBC that the company currently has no concrete plans to open Farmesa standalone stores. But Garner noted that the Farmesa brand lives on within Chipotle's Innovation Lab, where it continues to experiment with novel menu offerings.
During the company's recent earnings call, CEO Brian Nicol emphasized Chipotle's focus on its core brands both in the U.S. and in its fast-growing international operations. Mr. Nicol hinted that the company may explore ventures beyond its core brands in the future, but stressed that such pursuits are not a current priority.
"I don't want to say never, because of course it makes sense to do something outside of the brand if the opportunity arises, but that's not a focus for us at the moment."
CEO Brian Nicol (via CNBC)
Chipotle's first-quarter profit and sales exceeded Wall Street expectations as Chipotle made a strategic shift to increase efficiency and speed at its restaurants to increase sales.
As part of a significant industry development, Kitchen United last November revealed plans to close or sell all of its stores and pivot to a software-centric business model. Ghost kitchens were praised for their role in making delivery more profitable during the pandemic, but faced headwinds as dine-in services resumed, investment cuts and increased scrutiny of their business models.
In March, SBE founder Sam Nazarian swooped in to buy Kitchen United's remaining assets and intellectual property, heralding the birth of a new venture called Everybody Eats.
