Chipotle Case Study Essay

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1. Chipotle could provide home delivery as part of its business model to reach markets slightly beyond the fast-casual restaurant industry. Home deliveries could allow for Chipotle to reach customers who are unable or unwilling to come to the restaurant, but still want their products. It could provide employees with bicycles, for restaurants located in large cities or near college campuses, or allow employees to use their own vehicles and compensate them for gas.
2. Chipotle could open a drive-thru, which would allow customers to order their food without leaving their car. There is possible negative consequences of this, which are that many people in the line could indicate that the restaurant is really busy, but in reality, inside the restaurant is not busy. 3.
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The company could expand their marketing and promotion. Chipotle has high quality product, but they do very little to promote their products to new customers. With more competitors entering the fast casual market, Chipotle needs to remind their customers of how great their products are. One way to increase promotion is by offering loyalty cards. Direct competitors such as Qdoba and Panera Bread offer loyalty cards to customers that keep their customers coming back.

4. Chipotle could take advantage of large margins provided by alcohol sales. With the limited alcohol selection, they could open the door more without being a full service bar. Many restaurants gain huge profits on the large margins provided from draught beer selections. Certain restaurants have created self-serving systems which are controlled by wristbands keeping lower labor costs and giving customers the opportunity to sample various beers.
5. If they want to keep all the menu items they should at least add to the current selection. They could add health options along with the normal menu items. This would allow them to reach more of the market.
6. Chipotle could do absolutely nothing. The company could make no changes and stay on the strategic path that they are on. Chipotle’s strategic plan has helped the company grow a loyal customer base over the years so it may not be necessary to fix what is not broken. Recommendations 1. Chipotle should offer catering services that would allow many customers provide the high-quality Chipotle cuisine at their special events. Moe’s Southwest Grill and Subway have had much success in providing customers party-size quantities of food for events where the consumers could enjoy and personalize their food. Catering is could also serve as a marketing strategy because many people who enjoy the food at a customer’s event will likely be a future customer. To avoid any transportation expenses, Chipotle should allow the customers to pick up the catered food rather than delivering it. 2. Since Chipotle already provides customers with a way to order what they want with the Chipotle app or online, Chipotle can open a pick window exclusively for those customers. This would save the hassle of customers having to work their way through a sometimes crowded restaurant. Also, because the restaurants are laid out in such a way that you would have to go through the entire line or feel like you are line skipping everyone, it would be beneficial that there is a designated spot of all pick-orders. 3. The company should increase their promotion. Chipotle chooses to do limited marketing because the food costs

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