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Swot Analysis Chipotle Mexican Grill

688 Words3 Pages

Chipotle Mexican Grill
Food with Integrity
Background / Overview: Chipotle started serving “Food with Integrity” in Denver, Colorado in 1993. After one month of the grill being open, they were making one thousand burritos per day. In 2016, Chipotle became popular throughout its now one thousand and nine hundred stores nationwide. The grill was doing fantastic until in late 2015 where two outbreaks of E. coli were found at various restaurants in several states. Fifty five people were infected and twenty one were hospitalized. Thankfully no deaths had occurred with the situation, but Chipotle has now lost trust from its consumers. Chipotle is trying to get people back into stores and make sure their grills are safe for the public. Now Chipotle just needs to campaign and advertise correctly to get back on track and keep serving everyone happy and healthy burritos. …show more content…

Having a Twitter, Instagram, Snapchat, and Facebook would make the younger generation come dine in and see how the grill has changed since the E. coli outbreak.

Positioning of the Product: Chipotle is a Mexican fast food chain that offers burritos, tacos, chips, and other choices. Two of their biggest competitors are Taco Bell and Qdoba. They all offer around the same type of food, but Chipotle sets its self apart from them. Chipotle offers fresh, quality food, unlike Taco Bell. While Qdoba may have fresh ingredients like Chipotle, they do not live up to the standards. Chipotle is known for its hospitality and genuine kindness.

Creative Strategy: The social media ads will show our younger consumers that we are a fun and delicious place to get food. The plan is for the consumer to see that other competitors do not offer these kind of opportunities to get discounts or free items. Once in the store, the consumer will see how the environment of Chipotle is a fun and friendly place to

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When you first walk into a Chipotle, a glass pane protects various amounts of different colorful ingredients. Chipotle’s goal is to “never stop working to improve each ingredient we prepare and serve.” This is why they show it off for their customers to see. The customer begins his or her meal by deciding between a burrito, taco, salad, or bowl. From there they choose a source of meat, such as steak, carnitas, chicken, barbacoa, and sofritas.

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The company needs to concentrate on developing advertising and promotion campaigns for its proposed new restaurants: Chipotle has enjoyed a rapid growth in the recent years since it went public. In 2006 reports indicate the company had approximately 510 restaurants, but has quadrupled now. As a result, the firm has enjoyed measurable annual revenue and growth (Chipotle Mexican Grill, Inc.: 2015). In 2015 the company suffered food safety issues which affected the company revenues but was still able to post 10% revenue and 7% in growth (Chipotle Mexican Grill, Inc.: 2015). Therefore, despite the food issues setback, the company has immense potential to continue expanding into other states (Chipotle Mexican Grill, Inc.: 2015).

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Hi Marquis, I agree with you, Chipotle does have quality issue. I have been to few chipotle joints, and I found that the food they serve many times its not that hygenic. Espcially, where are the foot steps as less, I have seen insects in the food. I am vegetarian, and I prefer that the staff change their gloves when they make me a burrito bowl, but they make faces when they are told to change their gloves.

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This provides a valuable tool for molding the kind of success-orientated culture at Chipotle. Instead of wasting time and resources while recruiting new members, they save time, capital, and resources by rewarding and promoting from within. This leads to maximization of profit, reduction of turnover, and improved employee satisfaction and performance through retained knowledge, skills, and experience of long-term employees. The net effect of these communication and management methodologies is to ensure that services offered to customers are of the highest possible quality. For example, 84% of the customers spend less than five minutes waiting to be served.

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After analyzing Chipotle Mexican Grill, the strengths, weaknesses, opportunities, and threats will give a basic format for an improved marketing plan. Chipotle’s internal resources give way to both its strengths and weaknesses as a business. Chipotle’s greatest strength is its nontraditional use of social media in its marketing program. Chipotle’s social media strategy targeting Millennials and Generation Z has made the greatest impact through word of mouth and reference groups to consumers. Chipotle has spent much less on advertising compared to other fast food companies, only 2% of its revenue was spent on advertising (Tan, 2015).

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Since then, others have followed the same concept and consumers now have a variety of choices from Mexican, American, Italian, Mediterranean to Asian cuisines. Today, Chipotle is not just competing against competitors who offers the same ethnic food but also against competitors who provides food from other countries. Bargaining Power of Customers. Chipotle consumers have the upper hand in this situation because of the choices available to them. There are a wide variety of choices they can choose from at different price points.

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And achieve as a result, the grow for its brand, market share, and sales revenue. Key Issues for Chipotle Chipotle is quite strongly positioned fast casual segment but it is facing increasing competition from the quick service restaurants such as Taco Bell that are looking to compete for the market share. These quick service restaurants are trying to attract fast casual customers by providing similar products at a lower price which is a threat to

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Like most fast casual restaurants in the United States, Chipotles saw a 13% boost in sales in 2012. But has Chipotle really evolved from twenty-three years ago? Over the years, Chipotle has not changed the price of their food and have not introduced as many new goods as you would see at a typical fast food restaurant like McDonalds, Burger King, and Taco Bell. The latest food product that Chipotle has introduced is Sofritas. This tofu cuisine helps Chipotle reach out to another group of consumers, vegetarians.

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