Podcast Episode Summary
Podcast: How I Built This with Guy Raz
Episode: Advice Line with Steve Ells of Chipotle
Date: April 9, 2026
Host: Guy Raz
Guest: Steve Ells (Founder of Chipotle)
Episode Overview
This episode of the "Advice Line" on How I Built This features Guy Raz and returning guest Steve Ells, founder of Chipotle. Together, they answer live call-in questions from entrepreneurs facing common (and not-so-common) business challenges. The episode focuses on themes of differentiation, authenticity in branding, scaling with purpose, and navigating shifting markets.
Key Discussion Points & Insights
1. Steve Ells’s Journey After Chipotle
- Revisiting the Origin Story:
- Steve recaps how Chipotle began as a way to earn money for a fine dining restaurant, unexpectedly evolving into a major global brand (03:24).
- Post-Chipotle Ventures:
- Kernel: Plant-based, app-based food ordering, heavy automation. Ultimately pivoted after a year because, as Steve explains:
“Kernel didn’t appear to be the rocket ship that Chipotle was and I wanted another rocket ship.” (04:38)
- Counter Service: Focused on high-quality sandwiches, small staff, artisan bread, and a blend of automation and personal touch.
- Kernel: Plant-based, app-based food ordering, heavy automation. Ultimately pivoted after a year because, as Steve explains:
- Automation vs. Human Touch:
- Observations from Kernel: People are divided—some love robots, others crave human connection.
- Insight:
“The human interaction is very, very important. ... The system... allows us to more efficiently manage the workflow. Ultimately, it’ll allow for a better economic model... to invest in higher quality ingredients and really make better food.” (06:56)
2. Caller 1: Rebecca Smith, Streaky Bay Distillers (South Australia, 08:55–19:40)
- Business: Small remote distillery making gin, vodka, whisky; strong local and wholesale presence (09:56–11:16).
- Origin: Driven by grief and creativity after a family tragedy; turned to distilling as an art and healing process.
- Challenge:
- With the rise of many small distilleries in Australia, how to authentically differentiate and resonate with customers?
- Strategies Discussed:
- Emphasizing Sense of Place:
- Community-based foraging, unique botanicals (quandong, abalone shell, saltbush), strong story and visual branding.
- Steve’s advice:
“A company that focuses, that’s best in the world at something... might resonate or be more impactful with customers than having... a vodka, and we also have a whiskey, too. Just from a branding standpoint, maybe that makes some sense.” (14:03)
- Lean Into Differentiation:
- Focus the brand around their signature, hyper-local gin rather than offering everything.
- Guy echoes:
“Could you put a story on the bottle? ... attach it to the neck of the bottle... you’re tasting the coastline of southern Australia.” (16:13)
- International Expansion:
- Strategize entry to US/Australian expat communities and craft bars in major cities with unique, story-driven product.
- Guy:
“Go with a suitcase of this stuff to LA and connect with some of these bars ... and see if they would just carry them.” (17:29)
- Emphasizing Sense of Place:
3. Caller 2: Sree Holema, MatZero (London, 21:23–30:11)
- Business: Low-voltage, safe, USB-C powered heated mats for personal warmth—energy-efficient, portable, usable for disaster relief and outdoor recreation.
- Challenge:
- When a product fits multiple markets (humanitarian, outdoor, healthcare), how do you choose where to focus without losing the original mission?
- Strategies Discussed:
- "For-Profit with Purpose":
- Steve:
“There needs to be an economic model to make this a reality for those in need. The outdoorsy, camping kind of a product might make sense... There are also a lot of outdoor companies that give back to the community, so they’ll give back a percentage of their revenue to different causes, which is super cool.” (24:48)
- Suggests building a buy/give model, funding philanthropic missions with outdoor sales.
- Steve:
- Leverage Outdoor/Adventure Market:
- Position as high-quality “gear” for enthusiasts who pay a premium.
- Build brand equity by partnering with expeditions, influencers, and social media.
- Mission Integration:
- Guy:
“It’s not one or the other... You gotta build a sustainable business. So you need to get into those places where people are going to spend the money on them. ... Over time, you can have some creative program where you give them away.” (27:06)
- Guy:
- "For-Profit with Purpose":
4. Caller 3: John Rarick, Cantina di Rosina (Philadelphia/Abruzzo, Italy, 32:01–42:33)
- Business: Family-revived organic vineyard producing Italian wine, focusing on US distribution.
- Challenge:
- Facing declining wine consumption among young Americans, increased competition from cocktails, seltzers, and cannabis beverages—how to engage the next generation and build brand loyalty?
- Strategies Discussed:
- Personal Connection & One-by-One Growth:
- Steve recounts Chipotle’s early days, building customer loyalty through individual relationships:
“If you’re going to differentiate your product, it starts with one-on-one personal relationships...” (35:24)
- Steve recounts Chipotle’s early days, building customer loyalty through individual relationships:
- Storytelling via Newsletters and Content:
- Guy:
“Make it a resource for ideas... People know Tuscany, they know Sicily, nobody knows about Abruzzo wines in the United States... there’s a story to tell.” (37:52)
- Suggests newsletters with food pairings, travel stories, wine education.
- Guy:
- Influencer Partnerships & Events:
- Get high-profile athletes, chefs, or social influencers interested in the wine. Host wine dinners and exclusive tastings.
- Steve:
“Partner with restaurants, well-known chefs... Host them for dinners and events, help them understand your story... They can in turn share your story with their diners.” (39:55)
- Building Emotion & Experience:
- The key isn’t just another bottle—it’s a story, a sense of place, an experience.
- Guy:
“People want an experience. They want a story. And if it’s about tasting Abruzzo... that does work… with enough people.” (41:35)
- Personal Connection & One-by-One Growth:
5. Personal Reflection from Steve Ells (43:15–44:28)
- Work-Life Balance & Perspective:
- If he could advise his past self, Steve says he’d have aimed for more balance:
“I was so maniacally focused... I would have tried to live a more balanced life. ... Maybe it could have been even bigger had I been more balanced.” (43:30)
- Emphasizes reflection, time for friends, and family.
- If he could advise his past self, Steve says he’d have aimed for more balance:
Notable Quotes & Memorable Moments
- On Automation:
- Steve Ells:
“We learned that the human interaction is very, very important. … There are less people in a counter service than a traditional fast casual, and that’s by design.” (06:56)
- Steve Ells:
- Rebecca Smith’s Story:
“We’re kind of like the bowerbirds of the distilling industry, and we use some Australian ingredients... We donate $5 a bottle to motor neurone disease... I do all the lino printing for the labels.” (12:17)
- On Differentiation:
- Steve Ells:
“A brand that focuses on what they’re best in the world at... might somehow resonate or be more impactful...” (14:03)
- Steve Ells:
- On Customer Relationships:
- Steve Ells (on Chipotle and wine):
“If you’re going to differentiate your product or your offering, I think it starts with one on one personal relationships.” (35:24)
- Steve Ells (on Chipotle and wine):
- On Branding with Content:
- Guy Raz:
“I think if you use the newsletter in that way, it could really, you want it to be something people read.” (37:52)
- Guy Raz:
- Advice to His Younger Self:
- Steve Ells:
“I would have tried to live a more balanced life… I still work hard, but I also take more time for friends and family and reflection.” (43:30)
- Steve Ells:
Timestamps for Important Segments
- Steve Ells on Kernel and Automation: 04:38–08:42
- Caller 1 (Distillery Differentiation): 08:55–19:40
- Caller 2 (Product Focus Across Sectors): 21:23–30:11
- Caller 3 (Marketing Wine to Gen Z): 32:01–42:33
- Steve Ells’s Final Reflection: 43:15–44:28
Episode Takeaways
- Differentiation and authenticity are key to standing out—focus on what only you can do best, and tell that story powerfully.
- Human connection—in branding and in the customer experience—remains essential, even as automation expands.
- Building a sustainable business often means balancing profit, purpose, and personal well-being.
- Don’t be afraid to start small, build one-on-one relationships, and scale thoughtfully.
- Creative, story-driven outreach can overcome even tough market headwinds and generational changes.
For anyone building a business or searching for ways to stay distinctive, mission-driven, and balanced, this episode of “How I Built This” delivers a masterclass in entrepreneurial insight—with Steve Ells’s honest, practical wisdom at the center.
