Sangmidang Holdings Chief Vision Officer Hur Hee-soo, right, and Chipotle CEO Scott Boatwright announce Chipotle’s business plans for South Korea at a media briefing held on Wednesday at the Chipotle Gangnam branch near Gangnam Station in Seoul. Courtesy of Sangmidang Holdings
Chipotle CEO Scott Boatwright announces the company’s business plans for South Korea at a media briefing held on Wednesday at the Chipotle Gangnam branch near Gangnam Station in Seoul. Yonhap News
Chipotle Mexican Grill, the U.S. fast-casual chain, is launching operations in South Korea, its first foothold in Asia.
Chief Executive Scott Boatwright unveiled the company’s Korean business plan at a media briefing on the 1st at the Chipotle Gangnam outlet in Seoul’s Gangnam district, the chain’s first store in the country. “Korea has dynamic consumers and is a market where people care a lot about the quality of ingredients and how food is prepared,” the CEO said, calling it “ideal for starting our Asian business.” The Korean operation will be run by S&C Restaurant Holdings, a company set up by Big Bite Company, an affiliate of Sangmidang Holdings, and Chipotle with a 51-49 equity split. It is the first time Chipotle has entered an overseas market through a joint venture.
Founded in the United States in 1993, Chipotle operates more than 4,200 stores in markets including Canada, Britain, France, Germany and the Middle East. S&C plans to open a second and third Korean store before the end of this year and to operate all outlets directly rather than through franchising. The venture intends to expand across Asia based on the Korean operating model and is preparing to open its first Singapore store in the first half of next year. Big Bite Company said it secured the Chipotle business rights for Korea and Singapore on the strength of its experience running global restaurant brands including Shake Shack and Jamba.
The Korean stores replicate the U.S. menu and its ordering and cooking format. Customers choose a burrito, burrito bowl, taco, salad or quesadilla, then combine a main protein — chicken, steak, barbacoa, carnitas or veggie — with toppings such as rice, beans, salsa, cheese and sour cream. None of the food contains artificial flavors, colors or preservatives, and ingredient preparation and menu prep are done in-store each morning. The 96-seat Gangnam store features an open kitchen that lets customers watch ingredients being prepped and food being cooked.
Heo Hee-soo, chief vision officer at Sangmidang Holdings, said demand is growing among consumers who want to check the ingredients they eat and assemble their own meals, adding that the company will offer a dining experience that lets customers freely combine the ingredients they want without a heavy price burden or long waits.
Hur Hee-soo, chief vision officer of Sangmidang Holdings, announces Chipotle’s business plans for South Korea at a media briefing held on Wednesday at the Chipotle Gangnam branch near Gangnam Station in Seoul. Yonhap News
Attendees place orders at a preview event held on Wednesday at Chipotle’s Gangnam branch, the U.S. casual restaurant chain’s new outlet near Gangnam Station in Seoul. Yonhap News