Technology

Shake Shack speeds up its app-based delivery rollout

The chain launched iOS app-based delivery systemwide, after previously saying it wouldn’t do so until the end of its second quarter.
Shake Shack
Photo courtesy Shake Shack

Shake Shack customers around the country are now able to order delivery directly through the chain’s app, the company announced Wednesday.

Currently, delivery is only offered via an iOS app, with an Android-compatible version expected in the second half of the year. The move is part of Shake Shack’s exclusive partnership with Uber Eats.

Late last month, the New York City-based burger chain said it planned to roll out app-based delivery systemwide by the end of Q2. At that time, it was available at more than 100 of the brand’s 186 restaurants.

Shake Shack only started testing direct delivery through its app in December. The chain has sped up its tech operations, including curbside pickup, during a pandemic in which its on-premise traffic was greatly diminished.

Digital sales now make up nearly 60% of Shake Shack’s total business, and the chain’s app and web-based sales in Q4 increased 3.5 times year-over-year. The fast casual also picked up 2 million new digital users since March 2020.

“With an influx of new and returning guests to our digital channels this past year, we’ve accelerated our digital investment,” CEO Randy Garutti said in a statement. “Delivery through the Shack app represents the latest innovation from Shake Shack and is reflective of our increasing focus on convenience across the broader Shake Shack experience.”

Shake Shack is also working on a mobile-first web redesign and new payment options, including Apple Pay, Google Pay and contactless offerings, also planned for later this year.

Shake Shack said last month it was testing a 5% menu price increase on third-party platforms to incentivize customers to switch to the chain’s app. To sweeten the deal, the chain is offering free fries with every delivery order over $15 on the Shake Shack app until March 31. Delivery via the app costs $0.99 and is free for orders over $35.

“We want these different channels including delivery, and certainly delivery through our own app, to be customer-acquisition opportunities,” CFO Tara Comonte told analysts last month. “And, then, from that, to drive frequency and to drive retention and to drive in-home, long-term sort of customer loyalty and engagement.”

 

 

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