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Chipotle Mexican Grill CMO Chris Brandt said at a recent CNBC CMO Exchange event that the company’s marketing message centers on being “visible, relevant and loved.”
That’s much different than before Brandt and CEO Brian Niccol joined the restaurant chain in 2018, when there was more focus on why Chipotle was better than competitors.
While Chipotle has not shied away from commenting on social issues, Brandt said it does depend, and the company is not a “political action committee.”

People visit a Chipotle restaurant on February 09, 2022 in Miami, Florida.
Joe Raedle | Getty Images

Chipotle Mexican Grill has evolved into one of the most popular restaurant chains in the U.S., something its management team says is a credit to a change in marketing messaging under CEO Brian Niccol. 
Chief marketing officer Chris Brandt, who like Niccol joined Chipotle in 2018 and previously worked at Taco Bell, said the company’s previous marketing mostly centered around what made it better than other brands.  

Brandt told CNBC’s Julia Boorstin at a recent CNBC CMO Exchange virtual event that in recent years the company has emphasized what makes it unique and authentic, a shift which has translated into more sales and a cult social media following. 
Be more “visible, relevant and loved,” Brandt said.  
This marketing approach can require the company to take on social and political issues, and update its message for social media platforms where many younger consumers spend their time. Brandt weighed in on both of these topics during the conversation with CNBC.

Reminding employees that Chipotle is not a PAC 

Even prior to its shift in marketing messaging, Chipotle did not shy away from commenting on social issues. With Chipotle’s core demographic being younger overall, from the oldest millennials to college students, supporting causes like environmental sustainability and farmers wasn’t much of a risk. But in the wake of the social justice movement and increased activism, brands are often at a crossroads — silence or support — when it comes to thorny issues.
The desire to align with customer values can lead to concerns about sparking outrage or losing business. Some brands are more quiet than others to avoid the potential backlash from customers and politicians, but Brandt says there can be benefits to taking a stand, though the corporate approach can’t be all-or-nothing. 

“I’m firmly in the camp of ‘it depends,” Brandt said. 
Simply supporting all social causes can be viewed as performative activism to younger audiences, so Brandt says brands should be strategic with what causes they choose to support.   
“We have a definitely progressive culture, but the way I framed it for our teams is that we’re not a political action committee,” Brandt said.  
As opposed to addressing every social issue that arises, Chipotle encourages employees to be comfortable vocalizing their support of different issues.   
“Chipotle has been a long-time supporter of [sustainability]; we just can’t lay into every single issue, and I think that we really allow our employees a lot of latitude,” Brandt said. “‘You should pursue your passions, you should do that, but the company [will] not necessarily weigh in on every single one.”  

Becoming the No. 1 restaurant brand on TikTok 

Chipotle’s social media presence has also helped it develop loyalty among younger consumers.   
Amassing more than 1 million followers on all major social media platforms, its focus on TikTok, in particular, has paid off: in 2021, Chipotle became the “most followed food brand on TikTok.”  
Company social media challenges, like the #GuacDance or “Lid Flip Challenge,” broke records for the video sharing app.  
Brandt said Chipotle’s social media presence aligns with the traditional marketing philosophy of being where consumers are.   
“TikTok is, for the younger consumer, like TV,” Brandt said. “It is a broad awareness message.”  
While the company’s TikTok content may seem simplistic, Brandt said it helps to further present Chipotle as authentic on that platform, and he says each social media platform should be used strategically by brands.   
“The key thing is wherever you are, make sure your advertising is endemic to that platform. The things we put on TikTok are unique to TikTok,” Brandt said. “We have a group of people internally and with an agency that have a really good sense of what’s cool on TikTok, what will be popular on TikTok, and so we really turn them loose. We use influencers, we do all those things. Each one has its own role.”   More

Among the limitations for a car to be eligible for the tax credit would be its price — no more than $55,000 for sedans and $80,000 for SUVs and trucks.
A new tax credit worth a maximum $4,000 for used electric vehicles would be implemented.
Additional vehicle requirements could make it difficult for consumers to find cars that qualify for the tax credit.

David Madison | Photodisc | Getty Images

A federal tax break that’s available to car buyers for going electric may work differently starting next year.
Under the Inflation Reduction Act — which received Senate approval on Sunday and is expected to clear the House this week — a tax credit worth up to $7,500 for buyers of new all-electric cars and hybrid plug-ins would be extended through 2032. The bill would also create a separate tax credit worth a maximum $4,000 for used versions of these vehicles.

Yet the measure also would usher in new limits to both who can qualify for the credit and which vehicles are eligible for it.

The tax credit has ‘price and income restrictions’

“First, in order to qualify, there are price and income restrictions,” said Seth Goldstein, a senior equity analyst at Morningstar.
For new vehicles, the manufacturer’s suggested retail price for sedans would need to be below $55,000 to be eligible for the tax credit. For SUVs, trucks and vans, that price cap would be $80,000.
Additionally, the credit would be unavailable to single tax filers with modified adjusted gross income above $150,000. For married couples filing jointly, that income limit would be $300,000, and for individuals who file as head of household, $225,000.

“What we’ve seen is that many [electric vehicles] are luxury autos,” Goldstein said. “And buyers of those are in higher income brackets, so that limits right away the ability to qualify for the tax credit.”

For used electric vehicles to qualify, the car would need to be at least two model years old, among other restrictions. The credit would be worth either $4,000 or 30% of the auto’s price — whichever is less — and the price cap would be $25,000.
Those purchases also would come with income caps: Individual tax filers with income above $75,000 would be ineligible for the credit. That cap would be $150,000 for joint filers and $112,500 for heads of household. 
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Another determining factor for whether a vehicle would qualify for a full or partial credit (or neither) include a requirement that the final assembly of the car would need to be in North America. Additional qualifiers include limitations on where key materials for batteries can come from and a mandate that a specified portion of battery components must be manufactured or assembled in North America.
“It’s designed to encourage domestic production in North America,” said Scott Cockerham, an attorney and partner at Orrick.

Many electric vehicles may not qualify for the credit

However, it could be difficult for cars to qualify, he said, depending on where they source their materials and where they complete the manufacturing process. The Alliance for Automotive Innovation has warned that many electric vehicles will be ineligible for the credit right off the bat.
Additionally, another change in the legislation would allow a car buyer who qualifies for the tax credit to transfer it to the dealership, which could then lower the price of the car.
Meanwhile, another modification included in the bill is good news for some electric vehicle manufacturers.

Basically, the existing $7,500 credit was authorized in 2008 and 2009 legislation with the intention of spurring adoption of electric cars. Part of that included a phase-out of the tax credit once a manufacturer reached 200,000 of the vehicles sold. 
Tesla hit that threshold in 2018, which means their electric cars currently do not qualify for the tax credit. General Motors is in the same position. Toyota (including its Lexus brand) also has now crossed that threshold, and its electric cars are scheduled to be ineligible for the tax credit after a phaseout of it ends in September 2023.
The congressional measure would eliminate that 200,000 sales cap, making their electric cars again eligible for the credit — at least based on that sales-threshold removal.

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Paris Hilton this week announced that her company, 11:11 Media, will bring her world to the immersive virtual gaming world of The Sandbox.
There, she’ll launch a “land,” in which she’ll interact with her fans and sell digital goods.
The platform said Hilton “is planning social and community events such as rooftop parties and glamorous social experiences in her virtual Malibu mansion.”

Paris Hilton this week announced that her company, 11:11 Media, will bring her world to the immersive virtual gaming world of The Sandbox.
There, she’ll launch a “land,” in which she’ll interact with her fans and sell digital goods. The platform said Hilton “is planning social and community events such as rooftop parties and glamorous social experiences in her virtual Malibu mansion” — with 11 versions of Hilton-inspired avatars.

The Sandbox, which describes itself as a leading “decentralized virtual world” that is “part virtual real estate, part amusement park,” has 300 existing partnerships, with the likes of Warner Music Group and video game maker Ubisoft, along with other celebrities such as Snoop Dogg and Steve Aoki, along with brands such as The Smurfs, and Adidas.
In an exclusive interview with CNBC, Hilton said she wanted to bring her own metaverse from Roblox into other platforms.
“Snoop Dogg released his world in there, which is incredible, and I was so excited when I saw that,” she said. “I’m really excited to bring Paris world all over — we’re going to be working with a couple other platforms.”  
In The Sandbox she’ll sell Paris-inspired NFTs and host virtual parties — but she says this us just the beginning of what she hopes to build.
“Right now we’re mostly focusing on the experiences and not the monetization because that’s just not the focus right now,” Hilton said. “But we are going to be doing digital wearables and working with different brands and there’s a lot of exciting projects I can’t announce yet.”

Hilton’s first move into the metaverse was when she built “Paris Hilton World” inside Roblox late last year. She launched the space with a virtual New Year’s Eve party in which her avatar DJ’ed. Then she DJ’ed what she called a “Neon Carnival” festival timed to Coachella. Roblox said that Hilton’s virtual world has been visited by nearly 544,000 fans — but it won’t say how much revenue it’s generated.
For Hilton, the virtual presence is an opportunity to reach more people — without the 250-day-a-year travel she was doing before the pandemic.
“On New Year’s Eve, I was DJing in the Maldives. It was my honeymoon and I was playing and there was more people at Paris World than there was a New York Times Square,” Hilton said. “At the Neon Carnival we had almost half a million people there and in the real life party there was 5,000. That’s the power of the metaverse where you can have people from all around the world be able to enjoy and experience things that are usually, you know, exclusive events.”

Paris Hilton attends a private view of “Vogue x Snapchat: Redefining The Body, Curated By Edward Enninful OBE”, an interactive augmented reality (AR) exhibition, at Centre d’art La Malmaison on June 19, 2022 in Cannes, France.
David M. Benett | Getty Images

Hilton started investing in crypto in 2016 — before crypto’s meteoric rise and fall — and she’s been selling NFTs since last April. Before that market dropped more recently, last year she sold one for over $1 million. She’s also invested in a number of startups in the space, including Genies, which creates customized avatars and has drawn investments from former Disney CEO Bob Iger, entertainer and model Priyanka Chopra and other luminaries.
Now Hilton is looking at how to bridge her real-world businesses — such as a tracksuit line — with her digital ones.
“We want to be able to do [something] where people could buy the tracksuit and then also get a digital version for their avatar to wear,” Hilton said. “That’s what we’re going to be doing a lot of — things that are happening in real live, I’m going to have them also be happening in the metaverse at the same time.”
And she’s talking to other metaverse platforms to expand her presence. She didn’t say which ones, but said she likes what Facebook parent Meta is doing.
Hilton’s 11:11 Media is private and doesn’t reveal financials, but said that the company’s business doubled from last year to this year and that it expects to generate tens of millions of dollars in profit this year.
There’s also no word on what kind of profits – or losses — she’s seen from her crypto investments over the years, but her company said she’s generated $3.5 million in revenue from NFTs this year.
As to what happens with the metaverse, and the NFTs that she’s promoted over the years, it’s too soon to say.

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Nikola’s CEO, Mark Russell, will retire at the end of 2022.
He will be replaced by Michael Lohscheller, the former Opel CEO, who joined Nikola in February.
Lohscheller, who leads Nikola’s truck-making operation, will become president and join the board immediately.

Mark Russell, chief executive officer of Nikola Corp., left, during a media briefing at the unveiling of the Iveco-Nikola electric truck plant in Ulm, Germany, on Wednesday, Sept. 15, 2021.
Andreas Grebert | Bloomberg | Getty Images

Nikola CEO Mark Russell will retire at the end of the year, the company announced Wednesday.
Russell will be replaced by Michael Lohscheller, formerly the CEO of German automaker Opel, who joined Nikola in February.

Shares of Nikola were up about 4% in premarket trading immediately following the news.
Lohscheller, who currently leads Nikola’s truck-making operation, will become the company’s president and join its board of directors immediately.
Chairman Steven Girsky said in a statement Lohscheller has had a significant impact on Nikola in his six months at the company, lauding his “sense of urgency” and “accelerated decision-making.”
“Michael Lohscheller’s selection represents the completion of a thoughtful succession planning process by the board of directors,” Girsky said. “With more than 20 years in the automotive industry, Michael has deep experience as a seasoned executive and as a highly knowledgeable business operator.”

Michael Lohscheller, CEO of Nikola.
Courtesy: Nikola

Lohscheller’s career has included a number of high-ranking positions in both finance and manufacturing. Among his past roles: president and chief financial officer of Mitsubishi’s Europe division; CFO of Volkswagen of America; and CEO of Opel and a member of Opel parent PSA’s board of directors.

Russell will retire with some important achievements to his credit. He took charge of the company immediately after founder Trevor Milton’s ouster in September 2020, streamlined its product plan, successfully led it to the start of production of the battery-electric Tre semi truck, and won shareholder approval to issue new stock over Milton’s objection.
This is breaking news. Please check back for updates.

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It shouldn’t be a surprise that you need to have a good credit score for your overall financial health. But do you actually know what your credit score is, how to figure it out, and why it matters?
Watch this video, as CNBC’s Emily Lorsch breaks it all down.

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The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($647,200 or less) increased to 5.47% from 5.43%.
Refinance applications rose 4% for the week but were 82% lower than the same week one year ago.
“The purchase market continues to experience a slowdown, despite the strong job market,” said Joel Kan, MBA’s associate vice president of economic and industry forecasting

An “Open House” sign at the Saratoga Homes Glendale Lakes community development in Arcola, Texas, on Tuesday, July 12, 2022.
Mark Felix | Bloomberg | Getty Images

After dropping at the end of July, mortgage rates moved higher on average again last week, but the daily moves were volatile. Mortgage demand was split, with gains in refinancing but declines in applications from homebuyers, according to the Mortgage Bankers Association’s seasonally adjusted index.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($647,200 or less) increased to 5.47% from 5.43%, with points rising to 0.80 from 0.65 (including the origination fee) for loans with a 20% down payment. While the weekly average didn’t change much, daily moves were more dramatic.

Another read from Mortgage News Daily showed the average rate on the 30-year fixed jumping 45 basis points at the start of last week, then falling 41 basis points on Thursday and then jumping up again by 36 basis points. Mortgage rates don’t often move in such large increments.
That volatility was likely behind the gain in refinancing, which has been falling steadily since the start of this year. Those applications rose 4% for the week. Some may have been taking fast advantage of the drop in rates or were still hoping to get the lower offerings from previous weeks. Refinancing, however, is still down 82% from a year ago, when rates were right around 3%.
Mortgage applications to purchase a home, which are less reactive to weekly rate moves, were down 1% for the week and down 19% from one year ago.
“The purchase market continues to experience a slowdown, despite the strong job market,” said Joel Kan, MBA’s associate vice president of economic and industry forecasting. “Activity has now fallen in five of the last six weeks, as buyers remain on the sidelines due to still-challenging affordability conditions and doubts about the strength of the economy.”
Mortgage rates fell slightly to start this week and have been far less volatile than last week. That could change Wednesday with the release of the latest consumer price index, which measures inflation in the economy. The bond market watches this perhaps closest of all economic indicators.

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There’s been mixed messages so far this quarter about streaming’s growth potential.
If Disney+ meets or exceeds 10 million net adds, investors bullish on streaming will breathe a sigh of relief.
If it falls short, investors will question if CEO Bob Chapek can hit his target of 230 million to 260 million subscribers by 2024.

A performer dressed as Mickey Mouse entertains guests during the reopening of the Disneyland theme park in Anaheim, California, U.S., on Friday, April 30, 2021.
Bloomberg | Bloomberg | Getty Images

Disney will put a stamp on how the media industry views streaming’s growth potential — at least for the time being — when it announces its quarterly earnings results on Wednesday.
The possible conclusions are “don’t panic” or “call the doctor.”

Wall Street analysts on average expect that Disney added about 10 million Disney+ subscribers during the period, pushing its total global customers for the service to about 147 million, according to FactSet.
If Disney hits or exceeds that forecast, investors and media executives can file the quarter away as one that showed mixed trends for the industry. It will suggest the global streaming market isn’t nearing saturation. With the right product, in certain regions of the world, Disney can show entertainment companies are still capable of adding many millions of subscribers in a quarter.
That’s particularly important for Disney Chief Executive Officer Bob Chapek, who in February stood by his forecast that Disney+ will have between 230 million to 260 million subscribers by the end of 2024. That gives the company 11 more quarters, including the one reported Wednesday, to reach its goal. Disney will need to add an average of about 8.5 million subscribers a quarter to reach the low end of the range.

Walt Disney Company CEO Bob Chapek reacts at the Boston College Chief Executives Club luncheon in Boston, Massachusetts, November 15, 2021.
Katherine Taylor | Reuters

If Disney+’s net addition are well below 10 million or — even worse — below 8.5 million, the last quarter will go down as disastrous for media and entertainment companies racing to build their streaming businesses.

Don’t panic

With double-digit million net adds for Disney+, Disney would join Paramount Global as relative winners for the past three months. Paramount+ added 3.7 million subscribers, including 1.2 million disconnects in Russia, in the quarter.

Disney is already taking steps to ensure Disney+ growth continues. It plans to launch a cheaper advertising-supported tier by the end of the year. Last month, Disney also raised the price of ESPN+ 43% to $9.99 per month but kept its bundled offering of ESPN+, Disney+ and Hulu stable at $13.99 per month.
That price increase should move more solo ESPN+ subscribers to the bundle, increasing Disney+ customers. Disney also launched Disney+ in 42 new countries and 11 territories in June, which should help boost adds both its fiscal third quarter and its current quarter.
Adding 10 million subscribers in the quarter and forecasting another 10 million adds in the next will help convince investors that Netflix’s sudden stalled growth is not reflective of the entire entertainment industry. Netflix reported a loss of 1 million subscribers in the quarter and forecast a gain of just 1 million subscribers for its third quarter. Netflix has 221 million subscribers worldwide.
There’s some evidence Netflix investors believe the company has hit a temporary bottom rather than an extended slowdown. Netflix shares have risen 19% since the company announced its quarterly earnings on July 19. The gain suggests there’s belief that Netflix will be able to reinvigorate subscriber and revenue growth in coming quarters, spurred by a cheaper Netflix advertising-supported tier, a password sharing crackdown and the company’s push into video games.

Call the doctor

An underwhelming Disney quarter, by contrast, would be more evidence for the argument that streaming’s growth is waning.
Comcast’s NBCUniversal followed Netflix’s earnings by reporting no subscriber gains for Peacock, and Warner Bros. Discovery reported last week HBO Max and Discovery+ gained just 1.7 million subscribers, combined.
If streaming growth worldwide is slowing, it’s possible far fewer households are interested in subscribing to more services than previously thought. Netflix, for example, has said it expects the total addressable market for subscribers is 800 million to 900 million homes globally outside of China.
Already, analysts are predicting Disney may have to lower its 230 million to 260 million guidance, especially after the company didn’t renew streaming rights to the Indian Premiere League, the top Indian cricket league, for Disney+ Hotstar.
“At some point, we believe Disney may have to cut its streaming guidance,” Barclays media analyst David Joyce wrote in a note to clients. “However, it may be a bit early for the company to walk back on Disney+guidance (ex Hotstar) even if the company was planning to do that.”
A poor Disney quarter could potentially mark this quarter as a turning point for the entire industry, when the biggest media and entertainment companies realized chasing streaming subscribers was no longer a winning plan.
Disclosure: Comcast’s NBCUniversal is the parent company of CNBC.
WATCH: Streaming is hard when you’re levered as much as Warner Bros. Discovery, says analyst

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Sweetgreen lowered its 2022 forecast, citing weaker sales that began around Memorial Day.
The chain said it laid off 5% of its support center workforce and will downsize to a smaller office building to lower its operating expenses.
Shares of the company fell about 20% after hours.

A worker wears a Sweetgreen Inc. hat while preparing food inside the company’s restaurant in Boston, Massachusetts.
Adam Glanzman | Bloomberg | Getty Images

Shares of Sweetgreen plunged more than 20% in extended trading Tuesday after the salad chain lowered its 2022 forecast.
The restaurant company also said it laid off 5% of its support center workforce and will downsize to a smaller office building to lower its operating expenses.

As of Tuesday’s close, Sweetgreen’s stock has fallen 37% since its initial public offering in November.
Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv:

Loss per share: 36 cents, in line with estimates
Revenue: $124.9 million vs. $130.2 million expected

Sweetgreen sales softened around Memorial Day, leading the company to revise its forecast lower, CFO Mitch Reback said in a statement.
On the company’s conference call, executives attributed the slowdown to a number of factors, including “unprecedented levels of summer travel,” a slow return to the office and another wave of new Covid-19 cases.
In the quarter, ended June 26, Sweetgreen’s net sales rose 45% to $124.9 million. Its same-store sales climbed 16%, boosted by 6% menu price hikes.

For the year, Sweetgreen now expects annual revenue of $480 million to $500 million, down from its prior forecast of $515 million to $535 million. The chain also revised its outlook for same-store sales, predicting growth of 13% to 19%, down from the previous projection of 20% to 26%.
“We think that it’s a conservative estimate, but looking back, we’ve just been wrong on so many of these calls,” Reback said on the call.
Moreover, Sweetgreen also changed its outlook for adjusted loss before interest, taxes, depreciation and amortization to a range of $45 million to $35 million, wider than its previous range of $40 million to $33 million.
But the chain explained the steps it’s taking to achieve profitability, including layoffs and reducing its real estate footprint by moving to a smaller office. Severance packages and related benefits are expected to cost the company between $500,000 to $800,000, while the office move will cost $8.4 million to $9.9 million. The charges are expected to impact its third-quarter results.
Sweetgreen reported a second-quarter net loss of $40 million, or 36 cents per share, wider than a net loss of $26 million, or $1.55 per share, a year earlier. The company blamed an increase in stock-based compensation for its increasing losses.
Read the full earnings report here.
Correction: A previous version of this story misstated Sweetgreen’s previous forecast for its same-store sales growth.

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