Chipotle is testing a collaborative robot, developed in partnership with Hyphen, to work alongside human employees in order to increase efficiency and capacity for digital orders. The robot, called the digital makeline prototype, assists in building bowls and salads while human employees handle burritos, tacos, and quesadillas. This technology aims to streamline the process and enhance the dining experience for customers. Chipotle also recently introduced a robot, Autocado, to help prepare guacamole faster.
Chipotle is testing an automated digital assembly line in partnership with Hyphen to fulfill digital orders, with the potential for a robot to assemble burrito bowls in the future. While an employee will continue to assemble burritos, tacos, and quesadillas, the automated line will create salads and burrito bowls by positioning bowls under each specified ingredient and portioning them out. Bowls and salads currently account for 65% of Chipotle's digital orders, and the company is exploring how these technologies can complement each other. However, the robotic assembly line is still "months away" from being tested in a restaurant.
McDonald's plans to phase out self-serve soft drink fountains in its dining rooms across the U.S. by 2032, as fewer customers visit the dining room and opt for take-out or digital orders. The change aims to create a consistent experience across all ordering points, including McDelivery, the app, kiosk, drive-thru, and in-restaurant. Some McDonald's locations have already removed self-serve soda fountains, with customers now having to ask employees for refills at the counter. Other fast-food companies, like Yum! Brands Inc., are also considering focusing on digital sales in the future.
Chick-fil-A is testing two new restaurant concepts—a four-lane drive-thru with an overhead kitchen and a walk-up store for digital orders. The drive-thru, set to open in Atlanta next year, will feature an overhead conveyor belt system to deliver food to customers. The pick-up location, slated to open in New York City, is designed for urban areas with high foot traffic. Fast food chains like McDonald's and Taco Bell have also been experimenting with new formats to improve speed and customer satisfaction.
Wendy's has partnered with Pipedream to pilot an underground autonomous robot system that will deliver digital food orders from the kitchen to designated parking spots in seconds, for faster and more convenient pick-up experiences. The technology will allow the restaurants to increase efficiencies with crew members by streamlining digital orders. Wendy's plans to integrate the underground delivery system into an existing restaurant later this year.
Chipotle Mexican Grill reported Q1 earnings per share of $10.50, beating analysts' expectations, and revenue of $2.37 billion, up 17.2% YoY, driven by better than expected same-store sales growth of 10.9%. The company's profit margins improved due to menu price hikes and lower avocado prices. Digital orders accounted for nearly 40% of sales during the quarter. Chipotle plans to open between 255 to 285 new restaurants during 2023 and is anticipating same-store sales growth in the mid-to-high single digits for the rest of the year.
