Going all in on the drive-thru is a popular expansion strategy among fast-food giants. By Mura Dominko. Read more. Wendy's says that its drive-thrus are under pressure because of the labor shortage.
CEO Todd Penegor said that the chain had closed some of its dining rooms due to understaffing, which in turn led to more customers ordering at its drive-thrus. The US is suffering from a labor shortage as record numbers of Americans quit their jobs in search of better wages, benefits, and working conditions.
Restaurants have been especially hard-hit, and they've been cutting their hours and closing their dining rooms , both because they can't find enough staff and because labor is getting more expensive. Penegor said on Wendy's third-quarter earnings call Wednesday that the labor shortage had led to some "inconsistency" at its restaurants. The closure of dining rooms led to more drive-thru and mobile orders, as well as more delivery drivers coming into the restaurants, he said.
Some restaurant chains have been closing their dining rooms because of rising cases of the Delta variant. Some past versions were in the mids. The iteration of breakfast was also drive-thru centric, with stores opening the window at , but keeping the dining room closed until 9.
Alongside the marketing abatement, breakfast breakeven dropped by about 35 percent, on average, which helped keep it profitable despite lowered sales volume. And we built [this version] with a very different mindset. By March , with stores getting back on line and the overall landscape improving, the company was able to close its fiscal calendar with its two highest global same-store sales quarters in the last 15 years.
From a container restaurant above to a Frosty Cart, Wendy's has one of the most diverse fleet of stores in the fast-food game. Breakfast contributed roughly 6. Same-store sales rose 13 percent that period. Plus, heightened marketing now that the abatement package ended. Those stores have grown the daypart to more than 10 percent of mix. Sales dollars grew. Awareness lifted. Repeat business ticked up. Quality first is still the banner.
Customers recognized it. Literally going from a breakfast nobody to a breakfast somebody, and loving the heck out of every minute of it. It also appreciated high repeat orders. Toss in improved mobility, and breakfast remains a business with significant upside.
It saw monthly active users increase by about 25 percent since. Quenching thirsts. Wins all around. Frosty with purchase for an entire year. See app for details. Order Key Tags. Learn More. Crispy nuggets? Order Delivery. The Super Identity program features six different double-sided masks with both superhero and supervillain designs. Kids can mix and match pieces to create a variety of super identities.
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