Chipotle Needs Queso, Not a Rewards Program, To Save The Company
Business Finance - On Monday, Chipotle Mexican Grill, Inc. (NYSE:CMG) announced that it will roll out its limited period loyalty program in order to lure back its customers after witnessing food safety crisis last year, which significantly drove down its sales.
According to the Mexican food retailer, this will be a three-month long program, called “Chiptopia,” which is scheduled to start from Friday, July 1. This program will be the part of Chipotle’s plant to produce its first-ever permanent loyalty program.
Since October, the company has witnessed dramatic decline in sales due to its food-safety issues, which involved multistate-wide spread of E. coli and norovirus at a Boston location, causing sickness among several customers. Chipotle sales were down nearly 30% at its established stores during the first three months of the year.
In order to safeguard its tumbling sales, company has been rolling out such initiatives to regain lost confidence of customers. Hence, this is not the first time when Chipotle is making an attempt to get its diners back after a string of Food safety crisis suffered by the restaurant. The company has already given away millions of free burritos through coupons.
However, not all analysts are satisfied with Chipotle’s latest strategy. In a recent research note issued to its clients, Maxim Analyst Stephen Anderson reiterated his Sell rating on Chipotle stock, and maintain price target at $285.
I can’t figure out what Chipotle is doing. I’m getting coupons left and right for free burritos. Now they are launching a rewards program like a 6 year old giving his mom a coupon book to do chores for Mother’s Day. Hey retard, you’re 6, you’re going to make your bed if your mom tells you to anyway, how about a real present next time? Nothing Chipotle is doing is working. They are constantly out of pork because they only slaughter the happy, free range pigs. Which by the way, is also bullshit. Who wants to eat a happy pig? I’d rather eat the pigs that are born to die, not a pig that was frolicking about in the meadow before a butcher chopped its head off.
But I digress, nothing Chipotle is doing is working. Stock is in the toilet. In store sales couldn’t be worse. And I’m getting quite tired of free burritos to be honest. I don’t know why Chipotle can’t figure out all they need to do is offer queso. Nice hot queso on their luke-warm buritos will sky rocket Chipotle back to the moon.
You see, when Chipotle started getting big around 10 or so years ago, it was a sight to be seen. Ritos bigger than your head, stuffed with meat, as spicy as you wanted. Since then, they have progressively gotten smaller, more expensive, and the novelty has worn off. They haven’t been progressive one bit. The chicken has gotten colder, the steak isn’t as rare as it once was, they even had a white person behind the counter cooking the food the other day. A white person!
It doesn’t exactly take a rocket surgeon to realize queso is the answer. They could even do it like the McRib and make it limited time only. Make people crave it. Get people talking about it. Make Chipotle great again.