Background on OXXO and FEMSA’s U.S. Operations
Mexican convenience store chain OXXO is advancing its operations in the United States, planning to rebrand 35 stores located in El Paso, Texas by 2026. These will join the 50 stores already transformed since FEMSA acquired 249 DK stores in the country a year ago.
FEMSA’s Strategic Approach
José Mario Peña García, a technology and SME solutions expert at consulting firm RushData, believes that alongside this transformation, the 2026 FIFA World Cup presents an opportunity for OXXO to increase its presence in strategic locations across the region, not just physically but also through strong campaigns and activations.
“OXXO will be everywhere for the 2026 World Cup,” Peña García stated.
He added that FEMSA did not come to the U.S. to improvise, with their strategy based on a ‘need-state’ model that adapts each store to its customers’ behavior.
- In residential areas, OXXO focuses on groceries;
- Along highways, it offers snacks and beverages;
- In urban areas, it provides speed, coffee, and impulse purchases.
“Each format has distinct assortment, pricing, and design,” Peña García noted.
FEMSA’s Acquisition and Expansion
On August 4, 2024, Fomento Económico Mexicano (FEMSA) announced the acquisition of Delek US Holdings’ retail operations for $385 million. The purchase included 249 convenience stores under the DK brand, primarily in Texas with some locations in New Mexico and Arkansas. These stores sell convenience products and gasoline under the DK and Alon brands, respectively.
By October of the same year, FEMSA completed the operation and took control of the 249 stores. The brand transformation began in February 2025, with the first DK store converted into OXXO in Odessa, Texas.
By October of the previous year, 50 stores had been rebranded, and OXXO’s conversion initiative in El Paso—the largest market in the region with 77 DK stores—was announced.
“FEMSA is playing a long game, with 10 years of planned expansion,” Peña García highlighted.
The latest step in OXXO’s U.S. expansion was the opening of its first Ditsch location, a German bakery specializing in baked pretzels and pizzas, within one of its El Paso, Texas stores.
Integrating Ditsch and Expanding Offerings
By integrating the Ditsch brand into its Mexican operations through a collaboration in 2025 and expanding the alliance to the U.S. market this year, FEMSA has enhanced its prepared foods-to-go segment, catering to local consumer needs.
OXXO stores in the U.S. also sell Andatti coffee and, in some locations, feature Doña Tota’s menu, a Mexican chain specializing in gorditas and home-style food from northeastern Mexico.
