In an attempt to win back customers Chipotle, announced a loyalty program dubbed Chiptoia for summer 2016. Chiptopia kicks off on July 1, 2016 and rewards customers for purchasing entrees from Chipotle. This is the first time Chipotle has introduced a loyalty program and provides an easy way to earn free food this summer.
Chiptopia from Chipotle is a very simple loyalty program with no hoops to jump through. Starting July 1, 2016 customers can sign up for a loyalty card by visiting a Chipotle restaurant. Upon picking up a loyalty card, customers will earn free chips and guacamole with purchase of an entree. That purchase also counts as your first purchase of the month. After the 4th purchase (Mild Status), members will earn 1 free entree. After purchase of the 8th entree (Medium Status) in a month, members earn a 2nd free entree. After purchase of the 11th entree (Hot Status) in a month, members earn a 3rd free entree. What is unique about Chiptopia compared to many other loyalty programs is free entrees count as paid entrees. This means, the first month, members only have to pay for 9 entrees themselves and 2 are covered by the free entrees earned. The following month, the 3rd free entree can be used to cover the 1st paid entree.
The program takes place in July, August, and September. Members who achieve Mild Status (4 entrees) each month will earn one final free entree. Member who achieve Medium Status all three months will earn $20.00 to spend on Chipotle merchandise. Lastly, members who earn Hot Status all three months earn a catered party for 20 people worth an estimated $240.00 value.
The introduction of a loyalty program from Chipotle is much welcomed by many who already frequent Chipotle restaurants, but is clearly another attempt to win back customers after a fairly rough year. Chipotle’s stock ($CMG) is down approximately 40% since its all time highs last summer and many consumers are nervous to return after several contaminated food outbreaks. In the past few months, Chipotle has offered many freebies, but this is potentially the largest giveaway in the company’s history. It will be interesting to see the effect of the loyalty program this summer and if customers will return to the fast casual eatery.
Update: To register click here and enter your information on the registration page.