Discussion about this post

User's avatar
jabster's avatar

I expect Chi-Chi's is going to have a hard time, even without the food-safety legacy. The Mexican casual dining space has taken a big hit generally, with concepts like Don Pablo's and Tia's having gone under and others struggling. Fast-casual concepts like Chipotle and Moe's have taken a lot of that business.

Ray Schoenbaum, son of Shoney's founder Alex Schoenbaum, tried to restart his Rio Bravo Cantina chain in Atlanta a couple of years ago and it didn't make it past one restaurant. Ray had started Rio Bravo about 40 years ago, it did great and expanded locally, he sold out to Applebee's who had great success growing the chain, and Applebee's sold it to Chevys who ran it into the ground. Once Chevys' right to the name lapsed, Ray took it back for the restart.

On The Border (originally owned by Brinker) has been passed around private equity and has closed a bunch of locations, and Chuy's just sold out to Darden.

I know the CEO of an Atlanta-based restaurant group that started with a casual dining Mexican concept, and while they have stayed local while expanding into the white-tablecloth fine dining market with other concepts with great success, that one concept of theirs has been struggling, primarily due to other non-Mexican concepts adding Mexican entrees to their menu (capturing parties that want AND don't want Mexican) and the difficulty of continuing to offer casual-dining Mexican at a "traditional" price point while competing with Chipotle, etc.

Expand full comment
Elizabeth Schreiter's avatar

The Chi-Chis news reminded me of one of my favorite blogs back in the day: Creepy, Abandoned Chi Chis which sadly hasn't been updated since 2014 but it's still a hoot: https://creepyabandonedchichis.blogspot.com/search?updated-max=2008-09-04T08:36:00-07:00

What I'm curious to see about the relaunch is how they approach marketing and design--will we go back to the commercials in the 90s that were so memorable? Will the buildings reference the designs of the original restaurants? I can't see it succeeding if they go for the cheap, corporate box look, but if you can make Millennial parents feel like they're going back to their favorite Mexican restaurant when they were kids, it could do well.

Expand full comment
11 more comments...

No posts