Chicago Next as Wingstop Expands Delivery Test
Wingstop is capturing the momentum of its successful delivery trial in Las Vegas, announcing during its third quarter earnings call that Chicago is up next in the brand’s expansion of delivery.
Wingstop will continue its exclusive partnership with third-party delivery service DoorDash, said Charlie Morrison, CEO of the Dallas, Texas-based chicken wing franchise, during the call November 2. The Chicago market, which has 50 restaurants open and counting, was chosen as a larger test market “primarily because of its population density and cold-weather seasonality,” said Morrison.
“We also plan to launch another test market in a few weeks in a smaller, mature market to further evaluate the role that delivery can play in our core markets,” Morrison continued, later adding the results of these tests will provide the foundation for Wingstop’s broader delivery strategy.
Digital ordering remains a strategic focus as well, with those orders accounting for 21.5 percent of total sales for the quarter. Digital orders also carry a higher check average of nearly $5, the company said.
Also during the call Morrison noted that despite the challenges brought by natural disasters such as Hurricanes Harvey and Irma, same-store sales for the third quarter were up 4.1 percent and systemwide sales grew 16.1 percent. Morrison said the primary driver of that systemwide sales growth was new restaurant development, as Wingstop opened 32 net new locations in the third quarter. Wingstop has more than 1,000 locations open across the United States and in Mexico, Singapore, the Philippines, Indonesia, the United Arab Emirates, Malaysia, and Saudi Arabia. Read more about the company’s global expansion in my most recent international development story.