LIFESTYLE

Chipotle is raising US prices after promising bigger portions

Dec 6, 2024, 10:07 AM

FILE - The Chipotle Mexican Grill logo is seen on a storefront, Oct. 14, 2022, in Boston. (AP Photo...

FILE - The Chipotle Mexican Grill logo is seen on a storefront, Oct. 14, 2022, in Boston. (AP Photo/Michael Dwyer, File)
Credit: ASSOCIATED PRESS

(AP Photo/Michael Dwyer, File)

Chipotle is raising its U.S. prices to offset inflation and to compensate for a promise to increase portion sizes.

Chipotle’s chief corporate affairs officer, Laurie Schalow, confirmed Friday that the Mexican restaurant chain was implementing a 2% price increase nationally. Schalow said it’s the first time the California-based company has raised its prices in more than a year.

Chipotle revealed the price increase after an analyst report released earlier this week by investment bank Truist Securities noted a 2% price increase at approximately 20% of the chain’s 3,500 U.S. stores.

Truist, which raised its price target for Chipotle’s shares, also reported that customer traffic at the chain’s restaurants accelerated in November.

Chipotle said in October that its food, beverage and packaging costs all increased in the third quarter. It cited avocados as an example.

Avocado shipments from Mexico to the U.S. were briefly suspended in June after two U.S. Department of Agriculture employees were assaulted and temporarily held by assailants in the Mexican state of Michoacan.

Chipotle also cited the cost of ensuring it was providing “consistent and generous portions” to its customers. Former Chairman and CEO Brian Niccol said in July that Chipotle was retraining workers at approximately 10% of Chipotle’s stores after customers complained on social media that they were getting smaller portions.

Niccol left Chipotle in September to become the chairman and CEO of Starbucks, which has said it won’t raise prices through September 2025.

Restaurant price inflation has aggravated U.S. consumers. The price of food eaten away from home rose 30% between October 2019 and October 2024, according to government figures. The price of food eaten at home rose 27% in that same period.

Earlier this year, McDonald’s said it was seeing more customers eat at home instead of getting fast food because of price increases. The company responded with a $5 meal deal and other discounts.

Lifestyle

Photo: Sweden's Martin Haarahiltunen in red is riding inside Finland's Max Koivula and Austria's Fr...

Paul Holden

Weekend festivities: Undie run, pinball, ice racing and more!

Maybe you've been stuck inside this week enjoying the snow and are ready to get out and enjoy the weekend, well you are in luck!

13 hours ago

Canlis on Queen Anne is going through some changes....

Bill Kaczaraba

A ‘new’ Canlis with its traditional values is coming to Lake Union

Brian Canlis is leaving Canlis for Nashville and work for Will Guidara, a legend in the industry. His brother Mark will remain in Seattle.

22 hours ago

FILE - This Oct. 24, 2016 file photo shows dollar bills in New York. (AP Photo/Mark Lennihan, File)...

Associated Press

3 steps to uncovering your true financial goals

What are your top financial goals? If your goals are hard to pin down, or seem to drift, you’re not alone. Research suggests that, even when considering important goals, people tend to answer with whatever is top-of-mind, which may not always reflect their true, long-term goals. It can be helpful to implement ready-made processes that […]

2 days ago

FILE - People stand outside the Dolce & Gabbana store on Fifth Avenue, Nov. 21, 2021, in New York. ...

Associated Press

Trump tariff threats hang over Italian fashion industry as a luxury slowdown hits

MILAN (AP) — The head of Italy’s fashion chamber said he has appealed to its government to protect the country’s second-largest industry from possible tariffs from the Trump administration. “We hope they don’t arrive,’’ Italian National Fashion Chamber President Carlo Capasa said Wednesday during the presentation of the calendar for the next Milan Fashion Week […]

2 days ago

ADDS WHEN THE COMPANY STOPPED USING THE DYE - FILE - Marshmallow Peeps candy, which had contained t...

Associated Press

Mmm, that looks yummy! The colors we see make a difference in the food we eat

NEW YORK (AP) — You know you’ve said it. We all have. “Mmm, that looks so delicious — I want to try some!” That’s because when it comes to what we eat, it’s not just a matter of taste. What foods and drinks look like — the colors we see before the first morsels or […]

2 days ago

Visitors pose inside a proportion-distorting room at Paradox Museum Miami, Tuesday, Jan. 28, 2025, ...

Associated Press

Paradox Museum Miami takes guests through a 21st century funhouse of mind-boggling illusions

MIAMI (AP) — Art gallery, science exhibition and 21st century funhouse, Paradox Museum Miami takes guests on a tour through optical illusions and other enigmas geared for the age of Instagram. The 11,000 square-foot (1,000 square-meter) museum, housed in Miami’s trendy Wynwood arts and entertainment district, features more than 70 exhibits that challenge the imagination, […]

3 days ago

Chipotle is raising US prices after promising bigger portions