How Chipotle Has Used PR to Create a Brand and Influence the Public

How Chipotle Has Used PR to Create a Brand and Influence the Public

Public Relations (P.R.) refer to the concept of an organization managing the way its information reaches its publics. It is a vital exercise because it helps an organization to establish relationships with its key stakeholders and to maintain its reputation. Consequently, it plays an integral role in the brand-building process. Chipotle Mexican Grill Inc., an American-based fast-food company has continuously leveraged on P.R. to create a niche for itself in the highly competitive sector. In this paper, an evaluation of the firm’s use of P.R. in brand building and crisis management will occur. Additionally, a comparison between Chipotle’s P.R. campaigns and those of Oxfam Internation will occur. The entity has used P.R. not only to build its brand but also to regain its reputation after the occurrence of damaging events.

How Chipotle Has Used PR to Create a Brand and Influence the Public

Chipotle has leveraged on P.R. to create a unique brand proposition. One of the ways the company has achieved this outcome is through its Corporate Social Responsibility (C.S.R.). According to Ragas & Roberts (2009), the company has consistently made efforts to communicate its C.S.R. initiatives to both its internal and external publics. One of its core C.S.R. programs is the Food With Integrity (F.W.I.) project. The initiative aims to ensure that the entity not only sources fresh ingredients — as opposed to those processed — but that also the production of the inputs is ethical (Chipotle Mexican Grill, 2020). For instance, the fast-food chain sources its pork only from farms that rear pigs using the free-range system and with no use of antibiotics. Additionally, it also focuses its P.R. campaigns on the fact that it procures its ingredients directly from farmers. Consequently, it relies on these C.S.R. initiatives to create a brand proposition of freshness.

The company has made efforts to communicate these C.S.R. initiatives with its customers. For instance, on its website and in its marketing campaigns, the corporation has labored to ensure that its F.W.I. Program becomes a key selling point. The reliance on communicating its C.S.R. initiatives to its publics has been beneficial to its brand. According to Ragas & Roberts (2009), the establishment was able to realize a significant increase in the number of patrons soon after it initiated the F.W.I. Program. Such an outcome is consistent with the view of Mikacova & Gavlakova (2014). The two authors hold that such P.R. communications are essential in building value for an organization. For the case of Chipotle, its association with the ethical sourcing of its ingredients has helped to raise credibility. This factor has contributed to its growing brand equity.

The success of Chipotle’s approach is attributed to the ability of its P.R. campaigns to create an emotional connection. Mikacova & Gavlakova (2014) argue that for a P.R. campaign to be successful, it must evoke the feelings of its publics. The firm’s focus on food sustainability and ethical sourcing are issues that its customers are passionate about; hence, it is easy to build a connection using this approach. The success of Chipotle in this regard contrasts with that of many organizations whose focus is on their products. However, a P.R. campaign that has an impact on customer emotions rather than product perception is more likely to be successful. The company continues to leverage on this approach, as shown in its recent P.R. campaign, “For Real.” The campaign aims to emphasize its focus on the use of real ingredients on its menu (Chipotle Mexican Grill, 2018). This step was necessary, especially after the company faced a public backlash in 2015.

The use of psychological cues is a central element in Chipotle’s P.R. campaigns. Recently, the company began its “Behind the Foil” campaign. The purpose of the campaign — a documentary film — is to allow both its existing and prospective clients to have a view of the behind the scenes operations of the company (Chipotle Mexican Grill, 2019). Furthermore, the campaign also provides the firm’s employees with an opportunity to give accounts on the impact their employment at the establishment has had. The importance of this approach is that it helps to establish relatability between the customers and the company. Ridgway & Myers (2013) relatability is essential for brand building because it helps to exploit the emotional vulnerabilities of individuals. Accordingly, the company’s ability to use this approach in its P.R. campaigns has contributed immensely to the growth of its brand equity.

Chipotle also uses a grass-root strategy in its P.R. campaigns. Ragas & Robert (2009) argue that the company does not rely on traditional advertising for its messaging, Instead, it employs media relations, philanthropy, and participation in local events. The advantage of this approach is that it creates a suitable environment for high-level engagements between the firm and its clientele. This outcome implies that it helps to build the confidence of the consumer in the brand (Mikacova &Gavlakova, 2014). Moreover, the ensuing close relations help a firm to improve its brand awareness.

How Chipotle is Adopting to Social Media Sites and Other 21^st Century Avenues

The use of social media sites as a platform to drive organization messaging has become common in the 21^st century, especially among the millennials and generation Z consumers. Chipotle has leveraged on this media to manage its relations with its publics. It has accounts on more typical social media sites such as Facebook, Twitter, and Instagram.

The company has not only taken up to the use of these sites but has also adapted to messaging techniques that resonate with the primary consumers of social media. For instance, the firm applies a jolly social media strategy. This approach differentiates itself from the exceptionally formal form of communication that would be typical of corporations. The advantage of this technique is that it allows Chipotle to personalize their social media messaging to suit the needs of its target audience. Secondly, it provides an opportunity for the organization to engage in a conversation with its clientele. For instance, the Brower Group (2020) holds that Chipotle has been relatively successful in having a high rate of engagement with its social media followers. As an example, its social media managers respond to at least 83% and 90% of the comments on its Facebook and Twitter timelines.

Moreover, the company has adopted the use of social media by ensuring that its posts and comments have a personality to it. Therefore, instead of the robotic responses that are common in a formal and corporate environment, its social media managers apply a cheeky approach to its replies. Voorveld, Noort, Muntinga, & Bronner (2018) argue that such an approach is appropriate because it is relatable; hence, it is likely to create a close association between an organization and its target audience. The outcome of the establishment’s social media strategy has been the creation of a loyal fanbase that famously identifies themselves as “ChipotBae” — a contraption that illustrates its followers’ love for its products.

Chipotle’s E. coli Crisis and its Handling

In 2015, numerous cases of food poisoning — primarily related to the E. coli bacteria — were reported, with all of them having links to Chipotle outlets in various states in the country. The reports created a public relations crisis. In the aftermath, consumer confidence in the food retailer fell significantly. The disappointment arose from the fact that the company had built its brand values based on food safety and quality (Bradley, 2017). Consequently, its sales plummeted, a factor that led to a significant decline in its stock price. Additionally, the company posted its first-ever loss in that corresponding financial quarter. The availability of substitutes made declines in sales even more severe. Accordingly, the corporation launched a public relations exercises to regain the confidence of its customers. The primary objectives for its P.R. campaigns were to regain the loyalty of its clients. Secondly, to stop the reduction in sales of its products across its many locations both in the U.S. and abroad.

Its PR exercised relied on several actions. The first entailed offering an apology to both its customers and the public. More importantly, the restaurant chain’s founder Steve Ellis gave the apology. The use of its founder as the face of the amends the company was seeking to make was calculated. It had the implicit effect of conveying a message to the public that the highest echelons of the organization cared about the crisis and its outcomes.

Secondly, the campaign focused on closing the affected stores. To illustrate its prioritization of safety over profits, Chipotle went further and closed even stores that had not been affected by the E. coli contamination. Such a move intended to illustrate to its clientele that it cares about their health. Hence, it would take all the necessary measures to guarantee healthy outcomes, even if such a move led to a worsening financial situation for the firm. More importantly, the corporation announced changes to its food inspection and quality control procedures intending to become more proactive in identifying incidents of contamination. ‘

While the company was criticized for its initially slow response to the crisis, its P.R. campaign nonetheless managed to appease the public. After the first round of crisis management, Chipotle, it engaged in a second wave of campaigning to improve its public relations (Bradley, 2017). It achieved this outcome using the PESO model — Paid, Earned, Shared, and Owned. For Paid, the corporation used both traditional and digital media platforms to emphasize on its new safety and food quality procedures. For Earned, it leveraged on the goodwill that its founder Steve Ellis had with the public. For Shared, it used its social media platforms to convey the appropriate messages to its target audience. Finally, for Owned, it utilized media relations in the form of press releases. It also managed its own communication through its website.

The measures were largely successful because the company has been able to regain some of the customer confidence it had lost. Ngai & Jin (2016) intimate that the success of the P.R. campaign may have been due to effective crisis management strategies. The two hold that during a crisis, an organization should focus on transparency and commitment to change; Chipotle’s P.R. campaign mirrored these two elements.

P.R. Campaign Comparisons

In 2011, Oxfam, an international non-governmental organization, engaged in charity work in Haiti following a devastating earthquake. During that period, the charity’s employees were accused of sexually abusing children (Bulman, 2019). The organization’s response to the crisis revealed its lack of empathy for the victims. Once reports of the incidents became public, Oxfam denied the allegations. For the establishment, protecting the integrity of its employees was a bigger priority when compared to the safety and welfare of the victims.

The approaches to P.R. by Chipotle and Oxfam are divergent. While both were faced with potentially damaging crises, the fast-food chain acknowledged its mistakes, an act that not only earned it respect among the public but also sympathy. On the contrary, Oxfam denied the allegations. This step illustrated a failure by the organization to communicate with both internal and external publics effectively. Even if the N.G.O.’s management believed the claims were false, it should have crafted its messaging to illustrate to the public that it cares about the concerns. It should also have promised to undertake further investigations into the matter.

Conclusion

Public relations are an essential exercise if an organization hopes to create a meaningful relationship with its publics. Chipotle has utilized P.R. campaigns to build its brand, primarily through its F.W.I. Notably, the company has also used a similar approach to manage its crisis communication, after the E. coli outbreak in its restaurants. Its approach contrasts with that of Oxfam International which did not take steps to manage its communication with the public following a sex scandal in Haiti. Therefore, Chipotle Mexican Grill Inc. has used P.R. not only to build its brand but also to regain its reputation after the occurrence of damaging events.

References

Bradley, D. (2017). Chris Arnold guides Chipotle’s crisis comeback. P.R. Week. Retrieved from https://www.prweek.com/article/1438230/chris-arnold-guides-chipotles-crisis-comeback

Brower Group (2020). Chipotle’s Lighthearted Social Media Strategy is Helping to Build a Lot More Than Burritos. Retrieved from https://brower-group.com/chipotles-lighthearted-social-media-strategy/

Bulman, M. (2019). Oxfam failed to act on reports its workers were raping girls as young as 12, damning report concludes. Independent. Retrieved from https://www.independent.co.uk/news/uk/home-news/oxfam-child-abuse-haiti-scandal-inquiry-sexual-exploitation-charity-commission-a8953566.html

Chipotle Mexican Grill (2020). Food With Integrity (F.W.I.). Retrieved from https://www.chipotle.com/food-with-integrity

Chipotle Mexican Grill. (2019). Behind the Foil: Chipotle Unwraps the Brand’s Commitment to Real Food And Transparency. P.R. Newswire. Retrieved from https://www.prnewswire.com/news-releases/behind-the-foil-chipotle-unwraps-the-brands-commitment-to-real-food-and-transparency-300792873.html

Chipotle Mexican Grill (2018). Chipotle Launches New ‘For Real’ Campaign Placing Its Real Ingredients in The Spotlight. Retrieved from https://ir.chipotle.com/2018-09-24-Chipotle-Launches-New-For-Real-Campaign-Placing-Its-Real-Ingredients-In-The-Spotlight

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Ngai, C. S. B., & Jin, Y. (2016). The Effectiveness of Crisis Communication Strategies on Sina Weibo in Relation to Chinese Publics’ Acceptance of These Strategies. Journal of Business and Technical Communication, 30(4), 451–494. doi:10.1177/1050651916651907

Ragas, M. W., & Roberts, M. S. (2009). Communicating Corporate Social Responsibility and Brand Sincerity: A Case Study of Chipotle Mexican Grill’s “Food with Integrity” Program. International Journal of Strategic Communication, 3(4), 264–280. doi:10.1080/15531180903218697

Ridgway, J., & Myers, B. (2014). A study on brand personality: consumers’ perceptions of colors used in fashion brand logos. International Journal of Fashion Design, Technology, and Education, 7(1), 50–57. doi:10.1080/17543266.2013.877987

Voorveld, H. A. M., van Noort, G., Muntinga, D. G., & Bronner, F. (2018). Engagement with Social Media and Social Media Advertising: The Differentiating Role of Platform Type. Journal of Advertising, 47(1), 38–54. doi:10.1080/00913367.2017.1405754