Chipotle has announced that customers in California should expect 'substantial' price increases following the state's minimum wage hike. The warning of significant price hikes comes as the company has already been charging $16 for a meal, a cost that is pushing the affordability limit for many consumers who opt not to dine at more expensive establishments like McDonald's, with concerns that a meal might reach $20. Critics have commented on Chipotle's move as testing the price elasticity of burritos. In addition to the price increase, Chipotle Mexican Grill is also expanding its footprint, with plans to open between 285 to 315 new locations in 2024, after adding 271 new stores in 2023. The company's net sales saw a significant rise of 15.4% in Q4 2023, reaching $2.49 billion, while the total sales for 2023 were up 14.3%, amounting to $9.9 billion with a same-store sales gain of 7.9%.
Chipotle Mexican Grill to gain weight in 2024 with openings of 285 to 315 new locations following 271 new stores in 2023. Net sales blasted up 15.4% in Q4 2023 topping $2.49 billion. Total 2023 sales of $9.9 billion were up 14.3% with a same-store 7.9% gain @ChainStoreAge
Chipotle warns of 'significant increase' in California prices after minimum wage hike https://t.co/3ebkYJW9gK
Chipotle getting greedy. Really testing price elasticity of burritos
BREAKING CALIFORNIA: Chipotle says to expect “Substantial” price increases in California after Minimum Wage hike… This comes after Chipotle already costs 16$ and you can’t afford 20$ because that’s why you aren’t eating at McDonald’s. https://t.co/LOIHadw2Qe
Chipotle says to expect ‘substantial’ price increases in California after minimum wage hike https://t.co/rWl0w457q2 https://t.co/NKU2lksICp