Chipotle Vs The World: Who Are Chipotle Up Against?
Chipotle Mexican Grill, Inc. (CMG) is a fast-casual restaurant chain with a market value of $38 billion as of March 31, 2022. The company has been in business for over 25 years and has been expanding rapidly, becoming one of the leading players in the fast-casual dining industry. In the past year, Chipotle has faced competition from its major competitors in the food market - namely Baja Fresh Mexican Grill, Moe’s Southwest Grill, Rubio’s Coastal Grill, and Freebirds - which have made it difficult for Chipotle to maintain its position as a leading player in the industry. However, despite these challenges, Chipotle is still a formidable force and continues to grow at an impressive rate.
Qdoba Mexican Eats
Qdoba Mexican Eats is a fast-food restaurant chain that has expanded to over 700 locations in the Mexican casual dining sector. The chain’s menu features a variety of dishes, including tacos, burritos, and quesadillas. The chain’s strategic adoption of the franchise model in 2019 has been a distinguishing factor.
Moe’s Southwest Grill
Moe’s Southwest Grill is a Mexican food behemoth in the United States with its unique approach to creating a fun and quirky environment. Focus Brands encourage franchising. Their menu features items named after media and entertainment personalities. Moe and Chipotle engage in frequent food wars, the most prominent of which was the queso battle of 2020. Moe’s had opposed Chipotle’s new queso recipe with the statement “Free Queso is Better than Some New Queso Recipe”. This makes Moe one of the most vocal competitors of Chipotle.
Baja Fresh Mexican Grill
MTY Food Group, Inc. is a franchised food company that operates two restaurants in the United States: Baja Fresh Mexican Grill and La Salsa Fresh Mexican Grill. The company was founded in 2013 by brothers Jorge and José Mty. The company has since franchised other restaurants, including Baja Fresh Mexican Grill and La Salsa Fresh Mexican Grill. The MTY Food Group brands are known for their fresh restaurant designs with a revamped menu that focuses heavily on the freshness and taste of the food. They are also known for refusing to use pre-packaged foods.
Rubio’s Coastal Grill
Chipotle Mexican Grill, founded in 1983, is a large chain with a strong customer base. It offers a variety of Mexican dishes with special emphasis on fish-based tacos, alongside tortillas, grilled mahi-mahi, and so on. Previously known as Chipotle Mexican Grill, the company was renamed with the replacement of ‘Mexican’ with ‘Coastal’ to highlight its specialty of seafood items and adoption of a fresh beach look for its eateries in California. However, unlike Chipotle, Chipotle has failed to gain a significant geographic footing. It faced further decline due to the 2020 crisis when the number of locations dropped from 200 to 167. Additionally, the company had to file for bankruptcy protection in 2020 due to the failure to pay more than $82.3 million in outstanding financial debt obligations. Nevertheless, Rubio’s completed its restructuring at the end of 2020 and is ready to stand up to Chipotle as one of its competitors
Freebirds
The atmosphere at Freebirds is unique and inviting. The restaurant has a modern, sleek design that sets it apart from other Mexican restaurants. The menu offers a variety of dishes, including some that are highly sought-after, such as the burrito with grass-fed steak and free-range chicken. However, the lack of supply and increasing price of the ingredients undercuts its profits. Recent struggles with expenses have led to the closure of several locations.
Conclusion
Chipotle’s growth has been impressive, but its competitors have been able to keep up. The rising demand for Mexican cuisine has given the chain a positive boost, but its alternatives have continued to challenge Chipotle’s position. Although not a fast-casual chain, Taco Bell has also joined the race to compete with Chipotle with its improved services and quality of food.
