Chipotle Debuts an All-Digital Concept
Located in New York State, the eatery is meant to leverage the increased popularity of food delivery, versus dine-in experiences, due to the Coronavirus.
Capitalizing on the popularity of take-out ordering from restaurants in the time of COVID-19—when city and state ordinances, or simply the general public’s comfort level, have put the kibosh on most on-site restaurant dining—Chipotle Mexican Grill has unveiled a digital-only restaurant. The concept, the Chipotle Digital Kitchen, is in Highland Falls, NY, but is expected to appear elsewhere down the road. It is only available for pick-up, delivery, and catering orders.
According to an announcement from the fast-casual chain, “The new prototype will allow Chipotle to enter more urban areas that wouldn’t support a full-size restaurant and allows for flexibility with future locations.”
Because there is no dining room or line for service, diners must place their orders through the restaurant’s website, mobile application or third-party delivery services and then obtain their orders from a lobby which, the statement said, “is designed to include all of the sounds, smells and kitchen views of a traditional Chipotle restaurant.”
“With digital sales tripling year-over-year last quarter, consumers are demanding more digital access than ever before,” declared Curt Garner, chief technology officer, Chipotle. “The Digital Kitchen incorporates innovative features that will complement our rapidly growing digital business, while delivering a convenient and frictionless experience for our guests.”
The move is likely to help Chipotle save itself from the decimation now plaguing much of the restaurant industry. Digital restaurant orders from mobile apps, text messages and the internet grew by 138% in July, August and September compared to the same quarter a year ago.
Sales at restaurants also were helped by carry-out, delivery, and drive-thru orders in the wake of most dine-in customers choosing—or being forced to—stay home. That business, GlobeSt.com reported, spiked by 22% in the third quarter year-over-year, while on-premises and dine-in declined by 62%.
Despite the success of off-premises dining, the Coronavirus pandemic has taken a major toll on restaurants. The National Restaurant Association has predicted that 100,000 establishments will close by year-end.