What's Happening?
OXXO, a convenience store chain owned by Fomento Economico Mexicano S.A.B. de C.V. (FEMSA), has opened its first Ditsch artisan bread store within one of its locations in El Paso, Texas. This development marks a significant step in OXXO's strategy to enhance its food offerings in the United States. The Ditsch brand, known for its pretzels, croissants, and pizza, was acquired by FEMSA in 2022 when it purchased the Swiss company Valora. The new store is located at 501 N. Copia St. and is part of OXXO's broader plan to integrate Ditsch products into more of its U.S. stores. This initiative is part of OXXO's ongoing rebranding efforts, which began after acquiring 249 DK convenience stores from Delek US Holdings in 2024. As of October 2025, OXXO had
rebranded 50 of these stores and plans to rebrand an additional 77 by 2027.
Why It's Important?
The introduction of Ditsch artisan bread stores within OXXO locations represents a strategic move to diversify and enhance the food offerings available to U.S. consumers. This initiative could potentially increase customer foot traffic and sales, as artisan bread products are often associated with higher quality and appeal to a more discerning customer base. For FEMSA, this expansion into the U.S. market through OXXO stores is a significant step in its international growth strategy. The rebranding of DK stores to OXXO locations also signifies a broader market penetration strategy, which could lead to increased brand recognition and market share in the competitive U.S. convenience store sector. This move may also influence other convenience store chains to innovate and expand their foodservice offerings to remain competitive.
What's Next?
OXXO plans to continue expanding the presence of Ditsch products in its U.S. stores throughout the year. The company has outlined a schedule to rebrand additional DK stores in the El Paso area and beyond, with 35 more stores set to be rebranded in 2026 and another 35 by the end of 2027. This expansion is expected to further solidify OXXO's presence in the U.S. market. Stakeholders, including local consumers and competitors, will likely monitor these developments closely. The success of this initiative could prompt further investments and expansions by OXXO and potentially influence market dynamics in the convenience store industry.
