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Chipotle bets on AR and summer rewards to revive flagging sales

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Facing continued sales decline, Chipotle Mexican Grill is ramping up its summer marketing strategy with a blend of augmented reality, social media tie-ins, and a new seasonal rewards campaign dubbed Summer of Extras. The initiative was outlined by company executives during a recent earnings call, as the brand looks to reignite engagement and drive foot traffic through digital innovation.

At the heart of Chipotle’s summer push is National Avocado Day, an annual celebration the brand has turned into a promotional centerpiece. For 2025, Chipotle partnered with Snapchat to launch an interactive AR experience encouraging users to scan real avocados in their daily lives. Through Snapchat’s AR lens, users who scanned an avocado during the campaign period had the chance to win free guacamole for an entire year, with up to 3,000 winners selected.

Snapchat continues to be a valuable platform for advertisers, especially with immersive tools like AR lenses. The platform reported $1.36 billion in revenue for Q1 2025 — a 14% increase year-over-year — driven largely by its direct-response advertising features.

In parallel, Chipotle launched its Summer of Extras campaign, which runs through August 31. Rewards members can earn bonus points, unlock exclusive badges, and track their progress against others in their state based on transactions. The campaign leans into gamification to increase app engagement and customer retention.

These efforts come at a crucial moment for Chipotle. Same-store sales declined by approximately 4% in Q2 2025, extending a downward trend that began in the first quarter. Marketing spend during the second quarter reached 2.7% of total sales — a roughly 60 basis point increase year-over-year. Executives indicated that Q3 marketing investment would remain elevated, hovering in the mid-2% range.

Chipotle plans to maintain marketing momentum into the fall, betting that a digitally savvy, experience-driven approach will help reconnect with consumers and re-energize performance in an increasingly competitive fast-casual landscape.

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