Shipley Do-Nuts Posts Double-digit Same-store-sales Growth in Q2

Shipley experienced 10.9% same-store sales growth year-over-year in Q2, driven in part by online ordering, which Shipley introduced late last year and has continued rolling out to all its locations this year.

Jul 17, 2023 - 10:09

Shipley Do-Nuts continued its momentum through Q2 2023 with record-breaking same-store sales, new store openings and IT enhancements.

Shipley experienced 10.9% same-store sales growth year-over-year in Q2, driven in part by online ordering, which Shipley introduced late last year and has continued rolling out to all its locations this year. Year-to-date, the company has opened eight new locations, including in new states for the brand, Maryland and Georgia, as well as its home state of Texas.

Shipley also recently appointed industry veteran Flynn Dekker as the company's CEO to build upon the growth led by his predecessor Clifton Rutledge, who remains on the company's board of directors.

"Having joined the Shipley team at a pivotal point, I'm deeply encouraged by our track record of success, and we have big plans to take the brand to the next level in terms of sales and footprint," said Dekker. "The steps we're taking have improved our guest experience and increased sales for our existing franchisees and are attracting highly qualified new franchisees who want to be a part of the brand's success."

Shipley has implemented several technological enhancements, including an updated POS system, new business intelligence tools, an upgraded website and online ordering. Online sales have increased 23% since Q2 2022. Looking ahead to Q3 2023, the company plans to expand its digital capabilities with the systemwide launch of its first-ever loyalty program, which it began testing in select corporate- and franchisee-owned stores in Q2 2023.

Shipley is also testing a kitchen display system to improve the speed of service, with wait times decreasing by an average of 46%. Additionally, Shipley will launch a new digital training program to support franchisees in seamlessly training their teams to provide a consistent product and guest experience across the network.

By the close of 2023, the brand plans to open at least 20 additional shops in current and new markets, including its first Orlando, Florida, location in Q3. With more than 200 new units in the development pipeline as of the end of Q2 2023, Shipley is expected to nearly double in size over the next five years.