Fast food chains compete for coronavirus delivery spike
Domino's, Chipotle and other fast food chains banking on delivery during the pandemic
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Online sales are heating up for fast food restaurants, with some chains hiring more workers to meet need demand spurred by the coronavirus pandemic.
Domino's Pizza said Thursday sales increased 10.7 percent from March 23 to April 19 amid the shelter in place orders, and same-store sales jumped 7.1 percent in the first four weeks of its second quarter. Chipotle, meanwhile, saw its digital sales grow 81 percent to $371.8 million, accounting for 26 percent of sales for the quarter, the chain said earlier this week.
Ann Arbor, Mich.-based Domino's also said it would hire more than 10,000 workers to churn out the demand for its pizza amid the pandemic. And in an effort to promote online ordering, Chipotle started free delivery last month through at least early May through a partnership with Uber Eats.
CORONAVIRUS BOOSTS CHIPOTLE'S DIGITAL SALES 80%
Restaurants nationwide have either shuttered completely or pivoted to delivery-only models in the age of the coronavirus. And millions of Americans working in the service industry are filing for unemployment benefits.
FILE- This Oct. 27, 2016, photo shows Domino's Pizza boxes at one their locations, in Hialeah, Fla. (AP Photo/Alan Diaz, File)
FOOD DELIVERY WARS INTENSE IN CORONAVIRUS WORLD
While fast-food chains are thriving with delivery-only, many mom and pop shops are struggling to sustain their business. Third-party delivery services such as DoorDash, UberEats and Grubhub, that parent company of Seamless, can take as much as 20 and 30 percent in commission fees per check, making it difficult for restaurants to profit.