You can now order delivery from Chipotle Mexican Grill directly through the company’s mobile app, starting Tuesday.
Burrito fans could always order through Chipotle’s app but had to pick up their food in person. Delivery was available only through DoorDash. The two companies have combined the best of two worlds, allowing customers to order delivery directly from Chipotle while DoorDash couriers over the guac.
Chipotle delivery is now available in all 70 markets that DoorDash currently serves, or more than 1,800 Chipotle locations in the U.S.
The digital upgrade is more convenient for customers and will allow Chipotle to gather more data about its diners and their preferences. It will also help Chipotle entice more consumers to join its loyalty program, which it plans to launch in 2019.
Chipotle didn’t disclose its arrangement with DoorDash, but the delivery company reportedly takes about a 20 percent commission fee from the restaurants.
Digital sales, which include delivery and pickup orders, are an increasingly important part of the industry, as they tend to generate larger checks. On average, online orders are $16 to $17 at Chipotle while in-restaurant checks average around $12, the company said during an earnings call in July.
Chipotle’s digital sales grew 33 percent during the second quarter and now account for 10.3 percent of total sales.
In addition, its delivery sales quadrupled. The company expects 2,000 locations will be equipped for delivery by the end of the year.
Chipotle’s new CEO Brian Niccol is the catalyst for many of these changes. He is no stranger to taking chances on digital innovations. During his time as CEO of Taco Bell, he introduced mobile ordering and payment across 7,000 locations in the U.S. and reached an agreement with franchise owners to finance new tech initiatives, including self-serve kiosks and expanded delivery.
Chipotle has been testing digital order pickup shelves which prominently display orders once they have been filled.
The brand also hopes to boost employee productivity with other digital innovations. The addition of flat-screen TVs at some of its food prep lines will replace printed digital orders and boost the speed it takes to complete orders.
Shares of Chipotle were flat on Tuesday, but are up more than 71 percent since January.
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