Chipotle To Rollout Digital-Only Store

Words by Retail Bum

Chipotle To Rollout Digital-Only Store
Chipotle To Rollout Digital-Only Store

Chipotle Mexican Grill is set to open its first digital-only restaurant in Highlands, New York, later this week. 

The rollout of the location comes at a time when sales from digital ordering have more than tripled and are expected to reach $2.5 billion by the end of 2020, which is more than double from last year, CNBC reported. Thanks to this surge, Chipotle has seen its market value increase by 67 percent, reaching $34.8 billion this year.

The location will only accept orders placed via its mobile app, its website, or with a third-party aggregator and would not feature a dine-in area. The store has also been designed to accept and process large catering orders, which can be picked up from a separate entrance.

While this would be the first of its kind Chipotle store, the brand may introduce more such locations in urban areas in the future, where the costs of opening and maintaining store locations are higher.

Chipotle is not the only QSR chain that is looking to rethink its store locations. Several of its other competitors, including Shake Shack, McDonald’s and Burger King, have all looked to redesign their store layouts since the start of the pandemic. For some, it has meant adding drive-thru lanes and for others, it has meant rethinking the in-store layout to manage foot traffic better and facilitate smoother pickup for online orders. Coffee giant Starbucks is yet another player that is making a similar move with the launch of its mobile, digital-only cafes next year, CNBC pointed out. 

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