Focus on research tools and techniques in marketing communications: product research, competitive analysis, audience and segmentation research, communications testing and media research. Emphasis on design, implementation, analysis and reporting of market research studies.

1. IMC 440
Elizabeth Elie
Guysheena Gibson
Angelica Pelayo
Linda Puntufak
Rainie YaYin Cheng

2. • Focus Group
• Quantitative Survey
• Analysis of Qualitative &
Quantitative combined
• Recommendations
• Creative Brief
• Advertising Execution
concepts
• Future Research
• Conclusion
• References
• Appendix
• Executive Summary
• Introduction
• Overview
• History
• SWOT
• Current Marketing Position
• Current Advertising
• Social Media
• Competitors
• Competitor Analysis
• Problem Definition
AGENDA

3. EXECUTIVE SUMMARY
• Crow Creative’s Agency is very interested in helping Chipotle strengthen relationship with consumers and boost consumer
loyalty through the use of social media. Our mission is to make Chipotle the #1 restaurant that comes up in consumers’
minds whenever they think about fast-casual dining out by increasing top-of-mind awareness of the brand.
• What We Have Done..
o We have conducted primary market research for Chipotle using qualitative and quantitative methods in order to
seek out consumer insight that paves the way for us to successfully define and solve the problem of the brand.
• Research Findings
o Overall, our research findings from the focus group and online survey reveal that even though Chipotle itself is very
active on social media i.e. Facebook, Twitter, YouTube, and Instagram, unfortunately, there are a small number of
consumers following them. This can also lead to the issue that people do not come to Chipotle that often as they
claim that prices and calories of food are major factors. Clearly, this happened because they are not aware how
Chipotle is promoting the idea of “Food With Integrity” mostly though all social media outlets.
• Problem Definition
o The problem definition that we have come up with is the lack of awareness of social media presence. Based on the
analysis, it can be assumed that the consumers may not receive enough awareness of Chipotle’s social media
existence so that is why the brand does not gain as many followers as it is supposed to do. Therefore, when it comes
to consumers decision making process, Chipotle might not be on the top of their list and, thus, this can affect the
company’s long-term revenues as a result.
• Recommendations
o In order to raise awareness of Chipotle social media presence, Chipotle can promote its social media channels on
all Chipotle containers, wrappers, and bags to remind them that we are on social media. Follow us today for latest
news and offers!
o Brand managers at each location should be used to both increase Chipotle’s social media presence and educate
consumers about sustainable farming.
o Chipotle should also promote its social media presence through all advertising spots, such as billboards, radio and
web ads.

4. INTRODUCTION
• Casual dining restaurant offers higher quality of food. It is
between fast food and fine dining restaurant.
• According to the 2013 restaurant industry reports, the revenue of
the casual restaurants had a stable increase in the past 14 years.
(Mazzone & Associates, INC., 2013)
• Between 2000 and 2013, it raised from 67 billions to 87. The
revenue will expect to have 90 billions in 2014.
• Crow Creative’s Agency notice that casual dining restaurant will
become a main trend in the future.
• Crow Creative’s Agency decided to do a marketing research
about Chipotle which is the top#4 fastest-growing chin in 2014.
(Lisa Jennings., 2014)
• Crow Creative’s Agency will concentrate on getting the insights
between the focusing group and Chipotle.
• Crow Creative’s Agency wants to utilize the the gathering data to
develop a better and stronger creative plan for Chipotle.

5. • Chipotle is a Mexican fast-casual dining restaurant chain founded by Steve Ells in Denver,
Colorado in 1993. (Lockyer, 2006).
o Chipotle was also ranked as the best fast-casual restaurant by Consumer Reports
survey. (Wickwire, 2014).
o As stated on Chipotle’s official website, the restaurant idea was simply to
demonstrate that food served fast didn't have to be a "fast-food" experience.
o Compelling dining experience
• Chipotle uniquely positions itself as a provider of “sustainably raised food.” (Chipotle’s
website)
o Serving “Food With Integrity” is the brand promise to consumers.
o Chipotle distinctively emphasizes its use of “the very best ingredients, all raised with
respect for the animals, the environment, and the farmers.”
• Currently, Chipotle operates the total of 1,595 locations across the United States as
recorded in 2013. (Chipotle, 2014).
• Chipotle generated $3.21 billion in revenue at the end of 2013, up 17.7% from the prior
year period. (Chipotle, 2014).
o With this record, the company is considered as the dominant chain in the $7 billion-
plus domestic fast-casual Mexican restaurant category and counted as one of the
largest players in the $35 billion America’s fast-casual restaurant category. (Hottovy,
2014).
o According to Lutz (2014), the company’s growth even took the market share from
McDonald's, the US traditional fast-food restaurant, which just reported that sales
declined 3.3%.
o Superior business results for shareholders
o The fast-Mexican leader dominated in food quality as well as in customers' feelings
about which chains offer the healthiest food.
OVERVIEW

6. M
E
N
U

7. HISTORY
• In 1993, Chipotle was founded by Steve Ells and is based in Denver, CO &
the first Chipotle opened at a former Dolly Madison ice cream location
• 1995 locations 2 & 3 open
• In 1998, McDonald's made an initial minority investment in the company.
By 2001, the company had grown to be Chipotle's largest investor.
McDonald's' investment allowed the firm to quickly expand, from 16
restaurants in 1998 to over 500 by 2005. In October 2006, McDonald's fully
divested from Chipotle.
• It became Chipotle's majority owner in October 1999; by 2002, it owned
more than 90 percent of Chipotle's stock.
• In 2000, started serving naturally raised pork
• In 2002, started using naturally raised chicken
• In 2007, started using 100 percent naturally raised beef
• As of 2010, 40 percent of the black beans are considered to be organic
• In 2011, Steve Ells goes in front of Congress to try to persuade them to
eliminate the use of antibiotics in ranching.
• The company generates nearly $3 billion per year.

8. SWOT
1) Chipotle is a well-recognized brand in the United States,
United Kingdom, and Canada.
2) The restaurant uses naturally raised meat and other organic
ingredients.
3) The company has a positive brand image.
4) Chipotle has come up with innovative ways to publicize and
advertise their brand.
5) All restaurants are owned by the company and have not been
franchised.

9. SWOT
1) Limited menu choices.
2) Higher priced menu items due to the use of
natural/organic ingredients.
3) Limited international presence.
4) Difficulty living up to “Food with integrity”
when there is a shortage of meat products.
5) Long lines out the door

10. SWOT
1) Add new items to the menu.
2) Appeal to younger kids through ads to encourage them to
try Chipotle.
3) Suppliers to be more sustainable.
4) Have a commitment to sustainability by the food Chipotle’s
produces.
5) More locations.
6) Make their social media more appealing.

11. SWOT
1) Consumer spending has decreased over the past
few years.
2) More fast food chains are offering healthier
menu options at a lower price.
3) Similar restaurants such as Q’doba and Panera
Bread offering healthy menu items.
1) Government regulations (?)
2) Selling a health image

12. CURRENT MARKETING POSITION
Positioning Statement:
For American millennial who like to reward themselves, Chipotle is the casual dining
restaurant that offers satisfying and quality meals because they strive to providing
fresh ingredients in every meal they serve.
Non Traditional Marketing:
•Relying on social media to get messages across.
•"We're trying to educate people about where their food comes from," says Mark
Crumpacker, chief marketing officer at Chipotle. But, he says, Millennials "are
skeptical of brands that perpetuate themselves."
•Chipotle does not engage in robust advertising, but when they do, they go BIG.
•Chipotle took the top prize in the PR category at the 61st annual Cannes Lions
International Festival of Creativity
•This 3 minute short depicts the production of genetically modified foods, and
advocates for freshly prepared meals from natural ingredients .
•“back to the start” ad has racked up more than 8.5 million views on YouTube
•Convergence of storytelling and communicating the company’s culture that led to the
now-famous ad.

13. CURRENT ADVERTISING
• Mostly billboards, radio and web ads.
• Only 2 advertising videos over the 20 years of
Chipotle’s existence.
• Relies heavily on internet buzz.
• Misleading ads suggest that ALL Chipotle
ingredients are organic, when this is not the
case.
• Also suggest that most ingredients are locally
produced.

14. CURRENT ADVERTISING

15. SOCIAL MEDIA
https://twitter.com/chipotletweets
https://www.facebook.com/chipotle
http://www.youtube.com/user/chipotle
https://plus.google.com/118011364920242875504/about
465K Followers
2,396,898 likes
3,878,422 visits
27,539 Subscribers
http://instagram.com/chipotlemexicangrill106,880 Followers
http://www.chipotle.com/en-US/default.aspx?type=default

16. SOCIAL MEDIA
ANALYTICS
Topsy Results
•Past 30 days: Last checked 10/23
686,327 Tweets Sentiment Score: 80
•Past 30 days: Last checked 11/11
929,385 Tweets Sentiment Score:79
Trends
Food: 11,321,809 Service: 4,136,334
Location: 1,198,443
Statscrop Results
•Ranked: #9,043 in the world
•Daily Revenue: $390 USD
SEO Score: 58.8%
•Daily Visitors: 27,098
•Daily Page views: 104,056

17. COMPETITORS
Q’doba Mexican
Grill
Panera Bread Potbelly
Revamped kids menu Top sandwich category
for food quality and
healthy food.
Small family owned
antique store
Raised $25,000 for the
Starlight Children’s
Foundation as part of
company’s online
promotion
Loves of house-made,
whole-grain bread
In 2007 nominated 8th
in
Crain’s Business “50
Fastest Growing
Companies”
Three year deal with
Boston Red Sox
Accommodating
children- 20% rating
Opened 42 new
restaurants last year,
estimated 1.1 million in
sales
Top line growth remains
intact

18. COMPETITOR ANALYSIS
Strength Weakness Opportunity Threats
Variety of Mexican
food including
soup, salads, and
quesadillas
High calorie foods More venues Chipotle Mexican
Grill
Ranked top for fast
and friendliest
service.
Came out later
than Chipotle
Delivery added to
all locations
New fast-casual
dining services
Started earlier in
the fast-casual
trend
Franchise Format
makes it difficult to
offer locally
customized menu
options and
services
Expand into newer
regions and
territories
Cheaper food from
other companies,
including fast-food.
Fast-casual dining
with food other
than Mexican
Contests such as
with the NCAA
Final Four, and
others
Limited
International
exposure
More marketing
and branding
activities to boost
brand image
Increasing focus on
healthier food
options
Q-to-Go lunches
and Hot Taco Bar
QDOBA MEXICAN GRILL- Rated 73% in the Forbes
survey of Diners choice: Top 8 Tastiest food chains

19. COMPETITOR ANALYSIS
Strengths Weakness Opportunities Threats
Over 825 locations in
35 states
High calorie foods More venues New fast-casual
dining services
1 billion shareholder
value
Somewhat expensive Delivery added into
Via Panera
Cheaper food
from other
companies
including fast-
food
Sells salads, soups,
sandwiches, and
baked goods
Limited menu items More specialty coffees
Fresh healthy
options
Strong presence only
in U.S. and Canada
Global expansion
Strong presence in
niche segment
Strong competition
from local and
internal players
means constant fight
over market share
Market the company in
a better way by
highlighting the
healthy aspect of the
company.
Strong relationship
with franchises
PANERA BREAD- Rated 80% in Forbes survey rating of
Diners choice: Top 8 Tastiest food chains

20. COMPETITOR ANALYSIS
Strengths Weakness Opportunities Threats
Experienced
management team
High calorie foods More venues New fast-casual
dining services
Impressive
community
involvement
Somewhat expensive Increase productivity Rising food costs
Great quality food Bad customer service Increase product
knowledge
Rising employee
expenses
Mobile apps Slowing revenue
growth
Attitudinal changes Uncertain
economy
Market Niche Low employee moral Expected growth in
domestic and
international sandwich
and fast casual industry
Distinctive ambience Lack of customer
loyalty program
POTBELLY

21. PROBLEM DEFINITION
“Chipotle has been very active on its social media
sites, such as Twitter, Google+, Facebook and Instagram.
However, based on our research findings,
Chipotle’s core consumers are not really engaged in the
brand’s social media channels.”

22. FOCUS GROUP
Some insightful questions:
•What is your favorite fast food/casual restaurant?
•Do you know that the Chipotle burrito is more than 1000 calories?
•Can you identify all the menu items at Chipotle?
•How important is it for you to watch your food get prepared?
•If Chipotle were a person how would you describe it?
•What are your feelings about Chipotle’s “low key” advertising?
•“If I woke up tomorrow and Chipotle was closed”

23. FOCUS GROUP
The insights learned:
•Chipotle ranked as the number one amongst other casual dining restaurants.
•Target audiences do not feel the need to count the calories at Chipotle.
•Eating at Chipotle is a treat they indulge in. (Examples)
•Chipotle’s menu is intimidating to new customers, many “hold up the line”
trying to decide what they want.
•Frequent customers know what they want as soon as they get in line.
•The ability to watch your food get prepared adds value to your meal; customers
are never separated from their meal.
•Viewed as “hipster” “outgoing” “Neutral gender”
•Consumers appreciate the fact that Chipotle is not “on your face”
•Chipotle is “very active on Social Media”
•“Devastated “ “heartbroken”
•“It’s amazing in my mouth” “It’s not crappy”
•Unique brand: “It’s not authentic Mexican cuisine, but it’s also not McDonald’s
and Taco Bell”.

24. These Focus Group insights guided us to theThese Focus Group insights guided us to the
following Quantitative Research:following Quantitative Research:

25. Sample Size
142 respondents
Male Vs. Female FindingMale Vs. Female Finding

26. Female Category:
Dining out is a preferred activity

27. Male Category:
Dining out is a prefered activity

28. Opportunity to grow within the breakfast category

29. Social Media Usage :
Very popular activity in
leisure time

30. Chipotle Social Media Followers:
Brand preference ≠ Social media usage

31. Word of mouth is primary marketing tool
for Chipotle

32. RECOMMENDATIONS
• Develop “quick pickup” make delivery more convenient less wait
time.
• Add on menu, calories per each ingredient added into a burrito or
bowl
• Jr. Burrito options to reduce high calories
• Educating people on sustainable farming: All coupons and
promotional materials should be informative about Chipotle’s
commitment to sustainable agriculture and their dedication to
naturally-raised animals and locally grown produce.
• Chipotle should invest more resources in the Chipotle Student
Brand Manager Program Before each new location is opened, a
brand manager should already be promoting Chipotle at local
campuses, schools, and community centers Brand managers should
be used to both increase Chipotle’s social media presence and
educate consumers about sustainable farming.

33. CREATIVE BRIEF
• Problem and Opportunity
o The research findings clearly show that although Chipotle itself is very active
on all social media channels, only a small number of consumers, who spent
their leisure time on social media and chose Chipotle as their favorite fast-
casual dining restaurant, follow. However, this indicates such a huge
opportunity for Chipotle to improve consumer engagement on social media.
• Solution
o We recommend that Chipotle should put more effort into promoting its social
media presence in order to keep all consumers engaged and updated about
news, content and offers that Chipotle shares.
• Marketing Objectives
o To increase Chipotle sales revenues
o To boost consumer loyalty
o To strengthen relationship with new consumers
• Communication Objectives
o To drive traffic to all social media channels
o To make Chipotle the #1 restaurant that comes up in consumers’ mindset
whenever they think about fast-casual dining out

34. CREATIVE BRIEF
• Primary Target Audience (Who are we talking to?)
o Single, middle-class men and women aged 18-34 who have graduated college and
lived in the city. They are also heavy Internet users who spend free time on social
media and consume massive amount of online data when it comes to decision making
process.
• Key Idea
o Based on the finding that a number of Chipotle’s core consumers do not follow
Chipotle on social media, we need to increase awareness of Chipotle social media
presence by heavily promoting them mostly in store through menu board, burrito
wrappers, containers, and bags, while also including them in existing advertising
channels which are television, radio, billboards and Internet.
• Key Response
o As a result of this communication, these core consumers will all follow Chipotle on
social media. Therefore, by keeping consumers engaged, Chipotle will gain a lot of
top-of-mind awareness, and eventually become the #1 choice of destination among
other restaurants in the fast-casual dining category.
• Benefits To Be Communicated
o We will be communicating the advantages of following us on social media. That is,
Chipotle will keep fans updated with the latest news and offers that are posted on
these social media pages including Facebook, Twitter, YouTube, and Instagram.

35. CREATIVE BRIEF

36. CREATIVE BRIEF

37. ADS EXECUTION CONCEPTS
LARRY!
Friday E-BlastsLunch Specials Daily from 11:00am-3:00pm

38. FUTURE RESEARCH
• Price
• Offer Gluten Free
• Remove as many GMO foods from the menu if
possible
• Know which customers you want to target

39. CONCLUSION

40. REFERENCES
• https://www.linkedin.com/today/post/article/20140922174927-283620963-chip
• http://www.reddit.com/r/Chipotle/search?
q=chipotle&sort=relevance&restrict_sr=on&t=all
• https://twitter.com/ChipotleTweets
• http://mediadecoder.blogs.nytimes.com/2010/04/05/chipotle-
bites-the-hand-it-used-to-feed/?_php=true&_type=blogs&_r=0
• http://www.digitalsparkmarketing.com/creative-marketing/non-
traditional-marketing/
• http://www.usatoday.com/story/money/business/2013/09/12/c
hipotle-big-food-millennial-marketing/2798023/
• http://www.forbes.com/sites/maggiemcgrath/2014/10/21/the-
advertising-game-how-brands-like-chipotle-google-and-gap-rise-
above-competitors/
• http://www.motherjones.com/politics/2013/09/chipotle-
commercial-sustainable-food-truth
• http://www.huffingtonpost.com/news/chipotle-ad/

41. REFERENCES
Chipotle. (January 05, 2013). Chipotle Press Release. Retrieved from
http://ir.chipotle.com/phoenix.zhtml?c=194775&p=irol-
newsArticle&ID=1895464.
Chipotle. Food with Integrity. Retrieved from
http://www.chipotle.com/en-us/fwi/fwi.aspx.
Hottovy, R. J. (October 27, 2014). Strong unit economics and concept
optionality make narrow-moat Chipotle an intriguing growth story.
Retrieved from
http://analysisreport.morningstar.com/stock/research?
t=CMG&region=usa&culture=en-US&productcode=MLE.
Locker, Sarah E. (July 17, 2006). Mexican fast-casual chains revamp
offerings as parents mull spinoffs. Nation's Restaurant
News;7/17/2006, Vol. 40 Issue 29, p1.
Lutz, A. (October 21, 2014). Chipotle's CEO Describes A Seismic Shift
In American Consumers. Business Insider. Retrieved from
http://www.businessinsider.com/chipotles-ceo-comments-on-
consumers-2014-10#ixzz3I23gRrTM.
Wickwire, E. (July 2, 2014). Consumer Reports' best and worst fast food
lists may surprise you. Today Food. Retrieved from
http://www.today.com/food/consumer-reports-best-worst-fast-food-
lists-may-surprise-you-1D79871727

42. Opportunities
• More opportunities
for Gift Cards
(INCENTIVES)
• Ensuring every
college campus
has a Chipotle
nearby
(NEW
LOCATIONS)
• Creating fun and
sustainable
campaigns like the
“Scarecrow-
cultivating
commercial”
(SUSTAINABILITY)
• Continue providing
organic and fresh
food
(FRESH FARM
FOOD)
• After school
Gardening Clubs
at with Chipotle
(PARTNERSHIP
S)
• Continue keeping
consistent
communication
with Customer
Service
(CONSISTENCY in
COMMUNICATI
• RADIO
COMMERCIALS
• ONLINE ADs