Remember Chi - Chi ’s , the casual Mexican eating place chain that was once the position to go for fried ice cream and chimichangas ? Michael McDermott is hoping you do . The entrepreneur is looking to relaunch the franchise after a 20 - year sabbatical .
AccordingtoThe New York Times , McDermott — the Word of one of the string ’s Colorado - founders , Marno McDermott — is looking torevivethe sword in 2025 . Two fix will open up in Minnesota ; others may trace in the Midwest and East Coast .
The allure of the mountain chain lied in its homogenized Tex - Mex dishes . An archivedmenulists Mexican pizza , taco salad , anddelicious combinacionslike the Yucatan ( a boeuf , cheese , and Allium cepa enchilada with a side wetback ) , the Puerto Vallarta ( chili relleno ) , as well as tostadas , tacos , andburros . Those with a more Western roof of the mouth could opt for ahamburguesa , which appears in theFavoritas Norte Americanassection .
The senior McDermott opened the first Chi - Chi ’s in 1975 in tandem with Green Bay Packers participant Max McGee , though it changed possession hands several times throughout its run . consort toCNN , the brand was a popular themed restaurant staple throughout the 1990s , with over 200 locations at its prime . It ’s fall came in the early 2000s : Weeks after the company filed forbankruptcy , a hepatitis A outbreak decipher to a Pittsburgh localization led to hundreds of the great unwashed strike sick and numerous lawsuits . Outback Steakhouse buy the dealership ’s locations with an middle on converting its real estate , though it ’s unclear how many Chi - Chi ’s were repurposed into Australian - themed eating house .
Despite his family account , McDermott ’s claim to the Chi - Chi ’s legacy was n’t guarantee . He demand to come to a deal with Hormel Foods , which has controlled the brand ’s trademarks since 1987.(Hormel is also thehomeof SPAM , Corn Nuts , and Skippy groundnut butter , among other brands . )
Chi - Chi ’s is part of a longlistof defunct casual dining restaurant chains that catch their fortunes ebbing in the novel millenary . Others — like Red Lobster , Applebee ’s , T.G.I. Friday ’s , and Denny’s — have close locations in aneffortto offset diminished lucre . It seems this latest reboot is mean to capitalize on nostalgia , which has proven to be awinning strategyin a highly competitive eating place manufacture .
“ You ca n’t underestimate how challenging it is to build a brand name from scrape , ” Jeffrey Sharlach , a New York University Stern School of Business direction communicating prof , separate theTimes . “ So there is value in the nostalgia , not only in the name realisation and knowingness , but also in that emotional appeal . ”
Chi - Chi ’s , however , never disappeared wholly . The marque is still used in retail packaging for Hormel offerings like chips and salsa .
