Returns as of 11/27/2020. Chipotle was able to notch those gains because it has transformed into a dramatically different business in recent months, one where digital ordering has gone from a promising growth area to a critical component of sales. "Now more than ever, we know our guests want the convenience of getting our real food delivered directly to their doorstep," said Chris Brandt, Chief Marketing Officer at Chipotle. All content of the Dow Jones branded indices Copyright S&P Dow Jones Indices LLC 2018 and/or its affiliates. CEO Brian Niccol said that units with a Chipotlane have digital sales in the high 20s. Additionally, in 2020, Chipotle plans to add a Chipotlane, a drive-thru pick-up lane where guests can pick-up digital orders without leaving their cars, to most of the new restaurants it opens. Chipotle had laid plenty of groundwork in recent years to handle an influx of online ordering. Chipotle CFO John Hartung said that to help improve the economics of delivery, the company is testing out delivery price increases — anywhere from 7% to 17% on delivery menu items. The Tex-Mex restaurant partnered with DoorDash to add a delivery option to the official Chipotle website and app. NEWPORT BEACH, Calif., March 18, 2020 /PRNewswire/ -- Chipotle Mexican Grill (NYSE: CMG) and Uber Eats today announced a national delivery partnership. Chipotle is testing menu price increases of about 7% for delivery orders to offset some of that pressure. And it has invested in free delivery promotions to get people to give online offerings a try. It now accounts for nearly 20 percent of sales, a figure that has quadrupled in the past three years. Both teams have been working closely on this fully integrated partnership to ensure a smooth experience for in-restaurant teams and for Chipotle fans and eaters across the country. New Restaurants are Starting to Open in the Pandemic, Peace in Chicken Sandwich Wars? Chipotle Partners With Uber Eats To Expand Delivery And Increase Access To Real Food, Chipotle will be available on Uber Eats across the US starting today with delivery fees waived all month, For further information: Erin Wolford, (949) 524-4035, MediaRelations@chipotle.com, California Transparency In Supply Chain Act. Redemptions of Chipotle Rewards and other promotional offers may be included in a qualifying delivery order but do not count towards satisfaction of minimum purchase requirements. Chipotle’s sales gains are a return to form, but don’t mistake that for a return to normal. A lifelong interest in writing led to first professional freelancing, then becoming a Motley Fool author. It is one thing to be a brilliant player surrounded by other brilliant players. Rideshare: A Premium OOH Opportunity for Restaurants? Why Maradona Was Better Than Messi and Ronaldo, Biden and Trump Are Making Dave Portnoy Look Like a Genius. The restaurant also plans to open drive-through digital order pick-up lanes at its locations this year so customers can retrieve food purchased online without leaving their vehicle. Rhian studied Business Economics and Microeconomics at the University of Wisconsin. It added dedicated pickup shelves to its restaurants for easy order retrieval. ABOUT UBER EATSUber Eats is an on-demand food delivery app and website that helps bring millions of people around the world the food they want, at the tap of a button. Sarah Halzack is a Bloomberg Opinion columnist covering the consumer and retail industries. Walk-up windows and premium placement for digital built in pick-up portals allow delivery drivers to retrieve food quickly and efficiently. Plus get a $10 off Grubhub coupon for your first Chipotle Mexican Grill delivery! Disclaimer. Deals and promos available. No matter who wins or loses, stocks always go up. It’s also offering a new delivery tracker so customers can follow their meal in real-time. In Q2, the chain reeled in $262 million in digital sales, skyrocketing 99 percent year over year. Market data powered by FactSet and Web Financial Group. For the first time, fans can get the Chipotle food they love delivered through the Uber Eats app and ubereats.com. Make sure Chipotle delivers to your address. "Our Delivery Kitchen is like a Chipotle within a Chipotle, preparing real, fresh, personalized bowls and burritos solely for digital guests," Chris Brandt, chief marketing officer. But Maradona made magic out of mediocre materials. We partner with over 400,000 restaurants in more than 6,000 cities across 45 countries and six continents who make meals for every taste and occasion. Given recent world events, Chipotle and Uber Eats are working together to make the delivery experience easier for fans. Normal service fees still apply, however, and certain types of orders, such as catering, don't qualify for free delivery. Chipotle’s operating margin shrank to 19.5% from 20.8% in the year ago period, dragged down by expenses associated with delivery. Customers have the option of leaving special instruction for delivery drivers to limit contact. Chipotle enthusiasts, your prayers have been answered. Chipotle had over 2,600 restaurants as of December 31, 2019, in the United States, Canada, the United Kingdom, France and Germany and is the only restaurant company of its size that owns and operates all its restaurants. (It is a lower proportion than was recorded in the quarter ended in June, but that’s to be expected, as local regulations have allowed more dining rooms to reopen.). $0 delivery is valid only for orders placed and fulfilled 3/18/20 - 3/31/20, within Uber Eats delivery areas from participating Chipotle locations, during normal operating hours for such locations. Plus, Chipotle executives have said they can better control food costs when online is a higher proportion of sales. Consider this your official excuse to splurge on extra guac . Panda Express Had a COVID-19 Task Force in January, Association CEO: Restaurants ‘Convenient Scapegoat’ for Shutdowns, The Restaurant of the Future 4.0: Hybrid Concepts Emerge from COVID Solutions, The Updated Guide to Running a Safe Restaurant During COVID-19, Nathan's Has a Plan to Save Independent Restaurants, REEF Raises $700 Million to Transform Parking Lots, A Barbecue Legend Expands During the Pandemic. Uber Eats reserves the right to modify or terminate this offer at any time without notice. Or, browse the Chipotle menu. Picard, Imperfect Foods' business is booming during the pandemic, See Burger King's new three-lane (yes, 3!) Chipotle’s digital dependence probably won’t stay this high over the long haul. Order online, and get Chipotle Chicken delivered, fast. Select. You Could be Ordering Chipotle Delivery Right Now, Here's How To Get Free Chipotle This Month, How To Get Free Guac At Chipotle This Tuesday, [Updated] Get a Free Chipotle Burrito By Playing This Game, 19 Healthy Meal Delivery Services You Need To Try. Restaurants package items to maintain temperature, quality, and freshness and to ensure delivery orders hold up during trips to customers. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. The company said on Wednesday that while delivery helped send its revenue up 14% in the quarter ended Sept. 30, the costs associated with that hurt its profit. Let's conquer your financial goals together...faster. "Our Delivery Kitchen is like a Chipotle within a Chipotle, preparing real, fresh, personalized bowls and burritos solely for digital guests," Chris Brandt, chief marketing officer. "The fans have asked for it, and we could not be more excited to finally deliver delicious Chipotle burritos, bowls, and sides within the comfort of their own homes. It increased its ability to fill these orders by installing second “make lines” that are equipped with technology to help workers assemble burritos more quickly and accurately. See you at the top! Digital has essentially become a $1 billion business for the brand. In 2020, the brand wants to open 150 to 165 stores, and more than half of those will include a Chipotlane. Chipotle To celebrate the new offering, Chipotle is giving customers free delivery on orders over $10 now through September 12. "Chipotle is the first brand to scale this concept nationally with over 2,500 restaurants featuring the unique set-up for digital orders, and our March Free Delivery offer is the perfect opportunity to experience the Delivery Kitchen.". Check out the Chipotle Mexican Grill menu. The chain’s deliveries feature a new, tamper evident packaging seal to help ensure food is untouched during delivery. Should Restaurants Charge More During COVID-19? Whatever the near-term profit challenges, Chipotle has done the right thing by leaning hard into digital ordering. Chipotle Mexican Grill near you now delivers! To contact the author of this story:Sarah Halzack at shalzack@bloomberg.net, To contact the editor responsible for this story:Beth Williams at bewilliams@bloomberg.net. Madison Flager is the Lifestyle Editor at Delish.com; she covers food news and trends, travel-worthy food experiences, and the products you need in your kitchen right now.