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Chipotle partners with DoorDash for food delivery

Published 04/30/2018, 06:02 PM
Updated 04/30/2018, 06:10 PM
© Reuters. FILE PHOTO: Chipotle Mexican Grill is seen in uptown Washington

LOS ANGELES (Reuters) - Chipotle Mexican Grill Inc (N:CMG) on Monday announced a national delivery partnership with DoorDash that covers more than 1,500 of the burrito chain's more than 2,400 restaurants in the United States.

Chipotle is beefing up digital ordering capabilities and other operations under new Chief Executive Brian Niccol, who is charged with winning back customers lost after a sales-crushing series of food safety lapses in 2015.

"We are making Chipotle even more convenient and accessible to our customers," said Curt Garner, chief digital and information officer at Chipotle.

U.S. restaurants are partnering with third-party food delivery providers like DoorDash, GrubHub Inc (N:GRUB) and UberEats as they explore the best and most profitable way to provide the service.

McDonald's Corp (N:MCD) has a delivery deal with UberEats in the United States, while KFC and Taco Bell owner Yum Brands Inc (N:YUM) has taken a financial stake in GrubHub.

Strategy firm Pentallect Inc expects the third-party food delivery industry's sales to grow from $13 billion in 2017 to $24.5 billion by 2022.

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