Chipotle Aims New Rewards Program at College Students, With a Side of Dorm Decor -- Barrons.com

Dow Jones
Aug 20

By Janet H. Cho

Chipotle Mexican Grill is taking specific aim at college students with a new rewards program that gives points for every $1 spent to be used for free burritos or other food items, with a tie-in for dorm décor.

The restaurant chain says it's the first major national brand to launch a loyalty program to "recognize and celebrate" college students' milestones.

Students can join Chipotle Rewards at chipotle.com, validate their college enrollment at chipotle.com/chipotle-u-rewards, and start with 1,000 bonus points. They can earn another 12 points for every $1 spent at Chipotle, and new members will get "special offers" tied to unspecified milestones.

The promotion is part of a larger effort by restaurants to bring more diners through their doors despite economic uncertainty and tariff-related price increases.

Chipotle has increased its promotions after its second-quarter same-store sells fell 4%. Meanwhile, McDonald's increased its same-store sales by 2.5%, with customers drawn by new McCrispy Chicken strips and Snack Wraps and its $5 Meal Deals, according to RestaurantDive.com data. McDonald's has also seen loyalty program members coming in more than twice as often as nonmembers.

As an added twist to its college rewards, Chipotle joined forces with Urban Outfitters to develop dorm room décor inspired by the burrito chain's menu offerings: a $99 throw blanket designed to look like a foil-wrapped tortilla, a $59 desk light that looks like a bag of Chipotle tortilla chips, $299 beanbag chairs in pinto or black bean colors, and a $29 doormat that says "Leave My Chipotle Here." An embroidered throw pillow ($59) says: "It's ok to be a little extra."

"The dorm collection allows our fans who live and breathe Chipotle to bring a taste of fandom to their living space on campus," said Chris Brandt, Chipotle's president, chief brand officer, in a statement.

Purchases of dorm decor items don't count towards Chipotle Rewards points, Chipotle said.

Dorm items will be available starting at 8 a.m. Pacific Time/11 a.m. Eastern time on Wednesday at UrbanOutfitters.com or at select Urban Outfitters stores in "prominent college towns," the companies said.

Restaurants are boosting their loyalty programs as consumers struggle with the rising cost of dining out. That category, "food away from home, " has increased 3.8% over the past 12 months, according to the latest consumer price index from July.

One way diners are coping is by ordering cheaper kids' meals. A survey by Lightspeed Commerce, a company that provides payment systems to the hospitality industry, found that 44% of American adults have ordered children's meals for themselves at restaurants.

Although overall visits to restaurants have declined since 2019, the number of adults ordering kids' meals has increased by 30% over that span, according to market researcher Circana. Whether they are looking for lighter meals or smaller portions, consumers are saving money by buying smaller children's meals.

McDonald's, one of the nation's largest sellers of kids' meals, has introduced what some are calling an adult version of the Happy Meal: A McDonaldland Meal includes a Quarter Pounder with Cheese or a 10-piece Chicken McNuggets, plus fries, and a Mt. McDonaldland shake. It even comes with a toy, or what McDonald's calls "a first-of-its-kind collectible souvenir," MarketWatch reported.

Write to Janet H. Cho at janet.cho@dowjones.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

 

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August 19, 2025 17:14 ET (21:14 GMT)

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