Chipotle

Chipotle:

My most recent post about Panera Bread and their should-be strategy had me thinking about you guys. Like Panera, you have two glaring problems that should be addressed. Both of these problems revolve around your mobile strategy which ultimately can be used for predictive analysis and more efficient production. I do not currently use your app so I don't know the extent to which you do any of the things I am mentioning. But obviously your app isn't good enough if it is not being heavily used.

The first problem is waiting in lines. I think ultimately the goal you should be trying to achieve is eliminating "lines" altogether. By lines I mean standing behind people. The "line" system should be turned into a "queue" system. Not enough of your customers are using mobile as a means to order and I believe it should be a top consideration. I'd be curious to see what % of orders come through your app compared to people who wait in line. I go to Chipotle often and almost never see anyone jump to the cashier so my instinct tells me that percentage is pretty low.

I don't like getting inside a Chipotle just to realize that there are 20 people ahead of me and thus contemplate whether or not I should wait. I guarantee that potential customers avoid Chipotle during prime hours for this exact reason. If you were to use your app correctly, I could order my meal and it would tell me how long it would be until my burrito was ready and I could adjust accordingly. I could even put in a time I wanted to pick up my order to avoid hassle. The sentiment towards this problem should consider first and foremost is that time is ultimately what is most valuable to your customers and you should be looking at any ways to speed up the process of ordering a simple burrito. In my theoretical app, I would order my burrito, go straight to the cashier, and pay without even needing to do anything with an actual cashier (maybe a system where a scanner reads my phone app, automatically processes it, I pay with my card, get receipt. Or getting to the point where I can pay via mobile and all I have to do at the store is simply pick up my order).

The biggest negative I can see coming out of this is that when an order is processed via mobile, it "cuts" in front of someone who is waiting in line and they get angry/upset. That would have to be avoided at all costs. If this is feasible, it should be heavily considered.

The second problem I see with your operations is that you don't know me (or anyone that waits in lines for that matter). There's a fundamental inefficiency when someone like me, who will go to Chipotle several times per week, has to repeat his order over and over every time I go. I should at least have the option to "sign in" when I get there and put a checkmark next to my usual order so I don't have to repeat my order ever again. This brings up a question: what % of your customers get the exact same thing every time? If you don't know the answer to this, that's where the data your app creates comes in handy. "Knowing" the customer (and especially the repeat customer) will lead to better efficiency which leads to more sales.

Another thing to consider is a promotions program that can be used I you make your order/purchase via mobile. Something as simple as "Buy 10 Burritos, Get 1 Free" would probably be popular and lead to more sales. I'm sure you considered this type of thing but if it is the right type of promotion you could make it into a game/interactive/a chance to connect to the consumer. (Think: Every burrito a customer buys could give them a Burrito Ticket for a chance at a end of the year raffle or something as easy as that. If incentive is the reason why people won't go to mobile, then give them a reason to make the switch.)

As I said with Panera, it seems like a no brainer to implement such a strategy. If you personalize the experience, you not only have happier customers but also better efficiency in operations.