• Chipotle has just unveiled a new restaurant design: the Chipotlane Digital Kitchen.
• Ohio will be the first state to adopt the new format in December.
• All orders will be processed digitally and can be picked up at a walk-up counter or drive-thru lane.

The chain has just announced that Chipotle will open the first Chipotlane Digital Kitchen in Cuyahoga Falls in Ohio in December 2021.

Customers will be able to order digitally in the new restaurant format. Orders can be placed online or through the Chipotle App. Customers then pick up their orders at a Chipotlane or walk-up window.

Chipotle's digital kitchen format shows that it is continuing to embrace drive-thrus over its original model. Customers used to order inside, and workers constructed their burrito bowls in front of them.

At 42.8% of Chipotle's $840.4 million in sales, almost half of all Chipotle orders were made via digital sales during the third quarter. They were 8.6% higher than the same period in 2020. This was partly due to the COVID-19 pandemic. Chipotle anticipates that they will continue to grow with continued investment. Chipotle stated in a statement that restaurants with a Chipotlane sell 15% more than restaurants without the drive-thru lanes. 36 out of the 41 new Chipotles opened in Q3 2021 have Chipotlanes.

"Our portfolio of 300 Chipotlanes performs with the highest margins across all boards, so we continue our evolution in restaurant design with formats like the Chipotlane Digital Kitchen," Chief Development Officer Tabassum Zalotrawala stated in a statement.

In addition to having higher margins than traditional Chipotle makelines and dining rooms, Chipotlanes offer better margins, Jack Hartung, CFO, stated in a third quarter earnings call. This is because they have higher sales and are more efficient than traditional Chipotle outlets. These same factors will be reflected in the new digital kitchen, which has a smaller footprint than traditional Chipotle and requires no staff to keep it clean and available for customers.

Chipotle's new design is in line to other restaurant designs. It combines minimal design and technology integration, as well as multiple ways for customers access their orders.

Have a story about a restaurant or retail chain that you would like to share? Email this reporter at [email protected].