Chipotle lands in Seoul, begins Asian expansion

Chipotle Mexican Grill will open its first restaurant in Asia in Seoul on Wednesday, marking the U.S. fast-casual chain’s first expansion into the region since its founding in Denver in 1993.

The restaurant, located near Gangnam Station, one of Seoul’s major hot spots, faces a main road for easy access. It has 96 seats, an open kitchen and a counter where customers can order and customize their meals, including bowls, burritos, tacos and salads.

A crew of culinary experts from Chipotle’s headquarters was inside the kitchen of the new restaurant on Tuesday, helping locally hired workers become familiar with kitchen operations. According to a restaurant employee, the crew travels to all newly opened Chipotle restaurants worldwide to train local workers.

Chipotle CEO Scott Boatwright said Korea was an ideal market to begin the company’s Asian expansion because of local consumers’ growing interest in quality ingredients and the country’s ability to generate global market trends.

“We know that Korea is a very sophisticated market with very dynamic consumers who care deeply about what they put in their bodies, how they feed their families, the quality of the ingredients, where those ingredients are sourced and how they are prepared in restaurants," he said during a press conference at the new restaurant Tuesday. "Korea is really more than just our first market in Asia. It will help establish a standard for how we grow across the globe."

Chipotle’s Korean operations are managed by S&C Restaurants Holdings, a joint venture between Chipotle and Big Bite Co., a subsidiary of SPC Group’s holding company, Sangmidang Holdings.

S&C Restaurants Holdings will also operate Chipotle’s first restaurant in Singapore next year, as well as two additional restaurants scheduled to open in Korea later this year.

It is the first time Chipotle has invested in a joint venture for global expansion, according to SPC. The Korean food giant said the U.S. company committed to the venture because of its confidence in SPC’s ability to introduce global brands to Korean consumers and operate them successfully in the local market.

“SPC’s long-standing commitment to serving the Korean market and its operational prowess are unparalleled. SPC will be an extraordinary partner in helping protect the integrity of Chipotle’s food processes and preparation,” Boatwright said.

“You don’t have to go to a chef-driven restaurant and spend hundreds of dollars to have a high-quality, great-tasting meal. You can do that at Chipotle for just $10.”

Hur Hee-soo, vice president and chief visionary officer of Sangmidang Holdings, said the company was pleased to introduce Chipotle, “a brand beloved by customers worldwide,” to Korean consumers.

“Introducing Chipotle goes beyond simply bringing in a new brand. It means offering our customers an entirely new dining culture,” Hur said.

“We will faithfully uphold the rigorous quality standards and brand philosophy that Chipotle has long pursued, while delivering a premium experience that meets the high expectations of Korean consumers. In doing so, we aim to establish a new benchmark in the dining industry.”

Chipotle operates 4,200 restaurants worldwide, including in the United States, Canada, the United Kingdom, France, Germany and the Middle East. The company, which is listed on the New York Stock Exchange, employs 140,000 people and directly operates all of its restaurants in the United States, Canada and Europe.

Sangmidang Holdings operates 30 food brands, including Paris Baguette, Paris Croissant, Passion 5 and Coffee@Works, with 7,000 overseas stores. The foreign brands it has introduced to Korea include Baskin-Robbins, Dunkin’, Pascucci, LINA’S, Jamba and Shake Shack.