Guzman y Gomez US Closures: 5 Shocking Facts Behind the Mexican Chain's Retreat
- The Australian-owned chain is closing its New York City and Chicago locations, marking a complete withdrawal from the U.S. market after a failed expansion attempt.
- Despite aggressive growth in Australia and a 2021 IPO, the brand struggled to compete with local fast-casual rivals like Chipotle and Dos Toros in the U.S.
- Insider sources cite high ingredient costs for authentic Mexican fare and inconsistent foot traffic in prime urban spots as major profit drains.
- The closures will impact over 200 employees, with no plans to relocate them to the company's profitable Australian stores.
- Guzman y Gomez CEO Steven Marks hinted the brand may return to America in a "different format," sparking speculation about ghost kitchens or catering-only models.