Chipotle also are into numerous partnerships with schools for promoting their food. They have tie ups with the local farmers and suppliers who supply them fresh ingredients every day. Chipotle has followed this trend to avoid almost all low-risk, high profit items within their business model. Margins are slim, food prices can be high, so the rule is to save on salaries. They are accepting people into the program who have no experience at all. For Chipotle it is essential that the intangible benefit that they give to the customers is of the topmost quality. Ells has always stated that the reason why the Chipotle business model has been successful is because he didn’t know the rules of the QSR industry when he got started. The brand’s focus is on high- quality ingredients from which customers can choose to make up their orders themselves. Chipotle Mexican Grill is an American chain of restaurants serving Mexican food founded by Steve Ells in 1993. This restaurant operates 2491 stores, mostly in the USA and in a few international locations i.e., Canada, France, Germany, and the United Kingdom. Browse 4Ps Analysis of more brands and companies similar to Chipotle Mexican Grill Marketing Mix. Chipotle stays in the good graces of their primary customer base by focusing on the guest experience. These prices are higher than the competitors but Chipotle continues to charge these as it also wants to maintain the brand image. Chipotle has changed the model of the quick service restaurant in the United States for good. It is only going to grow when it can continue providing the high quality dining experience that has changed the QSR industry. Chipotle Mexican Grill, one of the U.S.’s most successful and recognized chains of fast-casual restaurants in the market, is on a new strategy. One thing is for certain: Chipotle isn’t just going to grow because it has the ability to do so. The pricing strategy of the Chipotle Mexican Grill will focus on setting the list price, credit terms, payment period and discounts. Chipotle stays in the good graces of their primary customer base by focusing on the guest experience. Imagine if Chipotle sold cookies and coffee like McDonald’s wanted them to do? Also read Chipotle Mexican Grill SWOT Analysis, STP & Competitors. Let us start the Chipotle Mexican Grill Marketing Mix & Strategy: The product strategy and mix in Chipotle Mexican Grill marketing strategy can be explained as follows: Chipotle Mexican Grill is a leading Mexican food chain based out of USA. The prices are in similar ranges for the dishes. If you are looking to cater to your next event, you can view Chipotle catering prices here. A key component of this unique culture is the entrepreneur program that Chipotle offers. The salads are also priced between $6.5 and $7.5 like bowls and burritos. One could call Chipotle the first “Fast Casual” restaurant. Below is the pricing strategy in Chipotle Mexican Grill marketing strategy: Chipotle Mexican uses high quality organic ingredients in its dishes and hence the dishes are priced higher than their counterparts. The tacos are price according to the number of pieces and the prices range from $2.5 to $7. In cities like San Francisco – where wages were recently raised to $12.25 per hour – the company is using that as a reason to increase menu prices substantially. Even those that are serving the same style of food have caught on to what the Chipotle business model has been able to achieve. In comparison, McDonald’s has seen an average decline of 1.5%. 13 min read. The names and other brand information used in the Marketing Mix section are properties of their respective companies. Chipotle Mexican Grill Marketing Strategy comprises of not only its Marketing Mix, but also segmentation, targeting, positoning, competition and analysis like SWOT. That’s exactly what Chipotle did when every other QSR restaurant was slashing prices and competing to have the cheapest price possible. Home » General » Chipotle Business Model and Marketing Strategy. The pricing strategy of the Chipotle Mexican Grill will focus on setting the list price, credit terms, payment period and discounts. Walked into a typical QSR restaurant, even today, and you’ll find frozen fries, frozen burgers, and highly preserved foods. They will, however, make more than the standard QSR employee. The company will be able to win market share based on discounted pricing. Chipotle has centered its business strategy, operations, and marketing on serving food with integrity. In the fast food industry, the average compound annual growth rate has been about 5.5%. They also give the customers the understanding about the animals that they raise in good conditions whose meat is later used by them.


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