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The next stage in Chipotle’s master plan to sell more burritos: a gamified rewards program
Chipotle's new gamified rewards program aims to enhance customer engagement and drive sales by making the ordering experience feel more like a game. By introducing features that reward users for participation and personalizing their experience, Chipotle seeks to attract more frequent visits, especially from younger consumers who are looking for interactive and value-driven experiences. This strategy not only addresses current economic challenges but also positions the brand as a leader in innovative customer loyalty programs within the fast-casual dining sector.
FastCompany: Chipotle, like almost every other fast casual restaurant, has been battling an ongoing period of increased inflation and lower consumer spending. Last year, the company saw what its CEO Scott Boatwright described to investors as a “broad-based pullback in frequency” of customer visits, especially among low- to middle-income customers and younger consumers, due to concerns about the economy. But the burrito chain has a master plan to address that, and it’s currently moving into its next phase: making earning rewards feel more like a game. The company’s fourth quarter report showed a revenue increase of 5.4% to $11.9 billion.
But those gains were partially offset by a 1.7% drop year-over-year in comparable restaurant sales, or the number of total sales at an existing store—a small decline, but a concerning one for investors after the company saw two blockbuster sales years in 2023 and 2024. Boatwright has laid out a multi-part plan to boost sales, including increasing Chipotle’s “menu innovation cadence” through limited time offerings, doubling down on protein, and relaunching the rewards program. The company has already hit on those first two goals with its Chicken Al Pastor launch and new protein menu .
Now, it’s checking off the third item with its rewards program is getting a facelift to encourage more frequent ordering. It entices users with more opportunities to earn points and score free food—and makes ordering a burrito feel like part of a quest. The reworked platform introduces several new features, revives fan-favorite activations like Freepotle, and includes a tweaked app interface that makes earning rewards feel more like a game. It’s a major part of the chain’s plan to convince the American public to get back into their burrito-buying habits.
[Photo: Chipotle] How Chipotle Rewards notched 21 million active users Chipotle’s rewards program first launched in 2019, long after most other food chains had joined the rewards game. Since then, rewards have become one of the most lucrative parts of Chipotle’s business: Today, Chipotle Rewards hosts more than 21 million active members and drives roughly 30% of total sales, the majority of which are made through the app rather than on the web. By comparison, all digital transactions accounted for only 10% of the chain’s total sales back in 2018.
Curt Garner, Chipotle’s chief strategy and technology officer (and the mastermind behind the brand’s app), says that when rewards launched, they functioned mainly as an “affinity program”—a simple way to recognize the brand’s most loyal fans. Over the past few years, though, as rewards have become more central to Chipotle’s business model, his team has invested in more experimentation to find out what kind of features and activations are really motivating users. They looked to other brands—including non-restaurant brands, like Peloton—to see where innovative rewards programs were headed.
“They’ve got rewards tiers for walking or running a certain amount of miles in a month or having a certain amount of workouts in a week, and then they layer in cool, culturally relevant moments as well as specific, curated workouts,” Garner explains. “We saw what some other brands were doing in places that lead culture and thought, ‘Let’s experiment with things that are similar.’” In 2023, the brand tested out “ Freepotle ,” an activation that gave rewards members access to up to 10 free food drops.
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Chipotle's innovative approach to customer loyalty through gamification is significant for the brand industry, particularly as it targets engagement with younger consumers, making it highly relevant and moderately novel.
