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Chipotle Marketing Strategy

986 Words4 Pages

PART 1. BUSINESS DESCRIPTION - Describe briefly the firm. Chipotle is a fast casual Mexican restaurant founded in Denver, Colorado, 1993 by its current CEO Steve Ells. Graduated in the Culinary Institute of America in 1990, Steve worked at Stars in San Francisco for 3 years, where he learned about serving fresh and good quality food, a characteristic that Steve adopted in Chipotle 's products. Today, the company has around 2010 stores, most of them in USA and Canada, but also 6 in London, 3 in Paris and 1 in Frankfurt. The company worth 's around 22 billion dollars, and last year the company worked with a 4.5 billion revenue, obtaining a net income of 475.6 million dollars. PART 2. MARKETING MIX - Identify and compare marketing mix actions …show more content…

Many ingredients, such as jalapeños, tomatillos, chiles de arbol and chipotle peppers are raised in America. This fact forced the company to charge higher prices in Europe compared to the prices of USA and Canada, to compensate the cost of exports from America. European locations charge 9 euros per entree (burrito, tacos, salad, bowl) with your choice of one meat (chicken, steak, barbacoa, etc). On the other hand, we have low prices in USA. For instance, a location in Fullerton, California charges $6.70 for chicken, $7,40 for steak and barbacoa, $6,70 for sofritas and vegetarian and 7,15 for carnitas. It 's clear that there is a huge difference of price between the two sides of the Atlantic ocean. This fact might be a reason why the overseas expansion was lower than …show more content…

Chipotle is known for their “Food with Integrity” program, a mission to remove as many genetically modified organism foods (GMOs) from their menu as possible. Chipotle gathers their food supplies from local farm producers that treat their animals as humanely as possible unlike many other food corporations. The Food with Integrity program is used as a deterrent to animal cruelty and also a call for the most excellent food for their customers to consume. For example, Chipotle requests that all their dairy products come from dairy cows not treated with rBGH, a chemical that makes cows produce more milk than usual. All food is grown within three hundred fifty miles of the Chipotle you are eating in at whatever moment. Chipotle has used the packaging of their products to further distinguish their brand from competitors. Much of the material used to hold food after purchase is environmentally friendly. For example, the burrito bowl containers are made from 93% recycled materials and the lids of the drinks are made from 95% recycled materials. Using these materials rather than plastic ones reduce energy production by 96%. By using packaging that is better for the environment, Chipotle is able to keep their brand aligned with their slogan, “Food with Integrity.” Not only is the food at Chipotle more humane to animals and healthier for people than that of their competitors, but the material the

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