Chipotle’s AI strategy drove record Cinco de Mayo sales

Apparently a lot of people celebrated Cinco de Mayo (May 5) at Chipotle. The chain gave them plenty of reasons to do so, providing customers who ordered an entrée via its app or website with free chips and Queso Blanco or free chips and guacamole.

According to the company, the campaign delivered Chipotle’s strongest Cinco de Mayo performance to date, as well as a surge in app and web traffic, also resulting in its all-time highest catering sales day, and its second-highest sales day overall — following the March tattoo BOGO promotion.

The company said the campaign’s success was driven by stronger placement in AI-driven search results, where “consumers are increasingly discovering deals and dining options.” An internal analysis found that Chipotle ranked first for Cinco de Mayo food-related inquiries on platforms such as Google AI Search, ChatGPT and Claude.

During the company’s first quarter earnings call in late April, CEO Scott Boatwright said there is an increased focus on modernizing the business model with “industry-leading technology, including leveraging AI to elevate the experience for our guests.”

Doing so for Cinco de Mayo also hits on another priority for Chipotle in ramping up its culturally relevant marketing.

“We’re targeting the right ways to activate against the core consumer and bring new consumers into our brand. Through targeted messaging and driving culturally relevant moments, we’re able to get the younger consumer more engaged with our brand than we have historically,” Boatwright said.

Indeed, younger consumers are more likely to rely on AI-driven search tools, with adoption around 25% for 18-to-29-year-olds.

“As you think about marketing spend, your goal is sales overnight and brand over time. There’s a component of it that is driving sales and transactions,” Boatwright said in April. “There’s another component that is brand building which will serve you well for many years to come.”

Chipotle isn’t the only restaurant chain to leverage AI as part of its consumer-facing marketing efforts. In April, Little Caesars launched an app in ChatGPT to help customers with their orders. That launch came two days after Starbucks made a similar announcement with the AI company, though that partnership is currently a beta test.

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