Actionable news
All posts from Actionable news
Actionable news in CMG: CHIPOTLE MEXICAN GRILL Inc,

Chipotle Needs More Than Just a Chorizo to Win Back Customers


Chipotle's (CMG - Get Report) latest menu expansion is a nice gesture, but new products won't revive the brand from the damage done by a string of high-profile food safety incidents.

The fast-casual brand said Tuesday that it will move forward with the introduction of a chorizo (a combination of spicy chicken and pork) to its offerings in an effort to win back customers driven away by health scares. The item has previously been tested in select markets.

"It was very popular, it quickly because customers' most favorite protein," said Chipotle Founder and co-CEO Steve Ells on a call with analysts following the company's first quarter earnings report. Chipotle also debuted a new craft beverage pilot program in its home market of Denver in late March.

According to Jim Cramer, TheStreet's founder and manager of the Action Alerts PLUS portfolio, a spicy sausage and other new...