Mexican food has been gaining popularity in the UK, with authentic cuisine being identified as a food trend to watch in 2024. Consumers are drawn to the adaptability, broad appeal, and healthy yet affordable options of Mexican food, whether they are cooking at home, ordering in, or dining out. This trend has led to fast-casual dining brand Tortilla Mexican Grill announcing plans to focus on franchising for growth in the UK and internationally. The company’s strategic vision, ‘Tortilla’s Vital Five,’ aims to improve profitability, invest in brand growth, enhance team and tech, expand franchising, and develop the brand globally.
Tortilla was founded by Californians who moved to London in the early 2000s and opened the first location in Islington in 2007. Since then, the brand has expanded to over 80 locations in the UK and ten sites in Dubai and Saudi Arabia through a franchise partnership. A key part of their growth strategy has been a partnership with SSP to operate food outlets in travel hubs, with five Tortilla sites already in UK locations. Plans are in place to open four more locations in 2024, continuing the brand’s expansion in transport hubs and universities.
Despite challenges in the restaurant industry such as increased supply costs, labor shortages, and rising property and energy costs, Tortilla has adopted a multi-channel approach to growth. They plan to expand traditional restaurants, franchise locations in transport hubs and universities, develop their cloud kitchen model, and build partnerships with amusement parks, supermarkets, and hotels. The cloud kitchen concept allows for delivery and pick-up orders only, providing restaurant-quality food at home. This model allows for potential expansion with lower risk and cost compared to traditional dine-in locations.
With a focus on franchising, Tortilla aims to accelerate growth through new and existing partnerships. The company plans to target high-awareness locations for their own stores while expanding the franchise network. Despite a slight slowdown in sales in December 2023, attributed to weak consumer demand, Tortilla remains optimistic about its growth potential with a franchise-focused strategy. By focusing on franchise partnerships, the brand hopes to overcome challenges in the eating-out market and increase brand visibility in less-built-up areas. This strategic approach aims to position Tortilla Mexican Grill for success and continued growth in the competitive food industry.