Chipotle and Applebee's Restaurants

Paper Summary:

This paper explains that both of the very successful restaurant chains, Chipotle and Applebee's, are competing in two completely different segments of a very competitive industry, with each company targeting somewhat different customers; as such, their menus, restaurant environments and even websites reflect this. The author points outs that Chipotle targets younger, hipper clientele in urban areas who want quick food, but not fast food. Chipotle's food is inexpensive, but not the cheapest meal, and the restaurants are often located in trendy shopping centers. The paper relates that Applebee's target clientele, families and individuals residing in "Suburbia, U.S.A.," receive a decent meal at a fair price in freestanding locations, typically located in suburbs surrounding larger metropolitan areas. The feeling of "neighborhood" is important to Applebee's and their desired customer.

Table of Contents
Introduction
Chiptole Mexican Grill
Line of Business
Sales
Target Market
Brands
Distribution
Promotion and Pricing
Advantages and Strengths
Applebee's Neighborhood Grill & Bar
Line of Business
Sales
Target Market
Brands
Distribution
Promotion and Pricing
Advantages and Strengths
Comparison of Chipotle's and Applebee's Marketing Strategies
Websites
Conclusion

From the Paper:

"Applebee's Neighborhood Grill & Bar was first founded in 1980 with the opening of T.J. Applebee's Rx for Edibles and Elixirs, in Atlanta, Georgia. The concept for the restaurant was a place "that would provide full service, consistently good food, reasonable prices, and quality service in a neighborhood setting." This would be the beginning for what would become the Applebee's Neighborhood Grill & Bar international franchise restaurants all sporting "interiors festooned with local memorabilia to give each location an indigenous feel." Applebee's now has more than 1,600 casual dining restaurants, located in the United States and nine other countries, and "the company estimates the development potential of the Applebee's concept in the United States to be at least 2,300 restaurants." Sales reflect this incredible growth. In 2003, Applebee's record more than $990 million in sales, up 19.8% from the previous year. They reported net income of $93.6 million, up 12.8% from 2002."

More papers on Chipotle and Applebee's Restaurants:

• Case Study # 115088 : "Management Planning at Steak and Ale Restaurant"
• Case Study # 115091 : "Steak and Ale Restaurant"
• Comparison Essay # 72931 : "Applebee's and Chili's Restaurants"

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