ShackBurgers are studying abroad... Shake Shack shares (say it five times fast) were already up 60% this year. They just rose higher as the chain spreads its caloric gospel worldwide — it's raising revenue expectations in Shanghai and Hong Kong, just opened in Mexico, and has new shops ready for the Philippines and Singapore. But we couldn't ignore the other earnings report highlight.
Shake Shack always hated delivery... That policy has led to brutal date-destroying lines (the Madison Square Park original literally has a live cam). For years, Shake Shack insisted your 'Shroom Burger and fries be eaten on-site. Here's what the CEO even said last year:
- Burgers were "not intended to be eaten half an hour after they were cooked."
- And delivery didn't "necessarily fit really well" with the brand.
- But wait — Update: Shake Shack just announced in its earnings that it's partnering up with GrubHub for delivery at 150 locations over the next 9 months.
We know, we know... We just chatted with you yesterday about the pinnacle of the food delivery wars (food delivery startups consolidating). But this Shake Shack update was the perfect example of another phase: exclusivity. Taco Bell's now with GrubHub. McDonald's committed to Uber Eats and DoorDash. The Shack tested delivery with Postmates, but ultimately landed with GrubHub. Exclusivity is the other key delivery battle you can't ignore.