Why is Chick Fil LA closed on Sunday?

WHY WE'RE CLOSED ON SUNDAYS

Our founder, Truett Cathy, made the decision to close on Sundays in 1946 when he opened his first restaurant in Hapeville, Georgia. Having worked seven days a week in restaurants open 24 hours, Truett saw the importance of closing on Sundays so that he and his employees could set aside one day to rest and worship if they choose - a practice we uphold today.

• Chick-fil-A likely loses more than $1 billion a year by staying closed on Sundays.
• The chicken chain's founder, Truett Cathy, decided to close all locations on Sundays because of his Christian faith.
• While Cathy's original reasoning was rooted in religion, closing on Sundays is also a brilliant business decision, experts say.
• Visit Business Insider's homepage for more stories.

Chick-fil-A likely loses millions of dollars by refusing to open on Sundays. But the strategy is still worth it for the chicken chain.

Chick-fil-A earned $10.46 billion in US systemwide sales in 2018, despite being closed every Sunday. Missing out on 14% of possible open business days likely cost the chain more than $1 billion, according to 24/7 Wall Street.

"Although McDonald's does not disclose traffic by day, there is evidence that the weekends are particularly busy, which means that it may post 15% of its sales on Sunday," Douglas A. McIntyre reported. "If Chick-fil-A has a similar traffic pattern, Sundays could bring in sales of at least $1.2 billion."

Read more: Chick-fil-A is taking over America by offering the best customer service in fast food

However, Chick-fil-A will likely never open on a Sunday.

"Closing our business on Sunday, the Lord's Day, is our way of honoring God and showing our loyalty to Him," Chick-fil-A's founder, Truett Cathy, wrote in his book "Eat Mor Chikin: Inspire More People."

Cathy continued: "My brother Ben and I closed our first restaurant on the first Sunday after we opened in 1946, and my children have committed to closing our restaurants on Sundays long after I'm gone. I believe God honors our decision and sets before us unexpected opportunities to do greater work for Him because of our loyalty."

In 2000, Cathy's children — including Dan Cathy, now the chain's CEO — pledged to uphold the company's commitment to closing on Sundays and to never take it public.

Why closing on Sundays pays off

While Cathy's original reasoning was based on his Christian faith, closing on Sundays is also a brilliant business decision, experts say: It cements Chick-fil-A's reputation, benefits workers, and persuades customers to come back with a greater sense of urgency.

"They don't shy away from being family-focused, and they don't shy away from being mission-driven," Adam Chandler, who wrote "Drive-Thru Dreams: A Journey Through the Heart of America's Fast-Food Kingdom," told Business Insider. "If there's one thing that everybody knows about Chick-fil-A, it is that it is closed on Sunday."

John Hamburger, the president of Franchise Times, described Chick-fil-A's decision to close on Sundays as a counterintuitive sales booster.

"Being open six days a week provides benefits to both the operators and the customers," Hamburger said. "The owner-operator gets the time off. 'Closed on Sunday' conveys a sense of caring and community to the customers."

Hamburger added that "being private means they can do the right thing, not the expedient Wall Street way of doing things."

And for customers, knowing that they can't get Chick-fil-A on Sundays helps drive them to visit the chain when it's open.

"It provides a sense of urgency — you better get to that restaurant today, because they're going to be closed on Sunday," said Mark Kalinowski, the founder of Kalinowski Equity Research. "I don't think the company designed it that way at all. But it's a call to action every single week."

• Chick-fil-A locations across the US are all closed on Sunday, in keeping with founder Truett Cathy's Christian faith. 
• While the decision to close on Sunday is driven by religious values, analysts say that it is also a brilliant business decision. 
• Closing on Sunday gives employees a chance to recharge, and it creates a sense of community and scarcity among customers. 
• Visit Business Insider's homepage for more stories.

Chick-fil-A is achieving sales numbers no other chicken chain in the industry can top — and it's doing it with one fewer day of the week to work with. 

The chicken chain is famous for its policy of closing on Sunday. Even locations in airports and sports stadiums remain closed on Sunday, despite the massive number of travelers and hungry football fans seeking fried-chicken sandwiches. 

"Closing our business on Sunday, the Lord's Day, is our way of honoring God and showing our loyalty to Him," Chick-fil-A founder Truett Cathy writes in his book "Eat Mor Chikin: Inspire More People." 

Cathy continues: "My brother Ben and I closed our first restaurant on the first Sunday after we opened in 1946, and my children have committed to closing our restaurants on Sundays long after I'm gone. I believe God honors our decision and sets before us unexpected opportunities to do greater work for Him because of our loyalty." 

Despite being open for 14% fewer days a year than competitors, Chick-fil-A is dominating the fast-food industry. The chain's same-store sales grew by 16.7% in 2018, according to Nation's Restaurant News data; internal sales figures shared with Business Insider indicate that same-store sales have been up by more than 16% so far in 2019 as well. 

Read more: Chick-fil-A's mobile sales are skyrocketing as execs say the chicken chain is entering a new tech-obsessed era

While Cathy's original reason may have been based purely on his Christian faith, analysts say that the decision to close on Sunday is also a brilliant business decision.

"Initially people might think, well, they're going to do less sales because they closed one day every week," Kalinowski Equity Research founder Mark Kalinowski told Business Insider. "But, there are a lot of benefits to being closed on Sundays." 

Giving employees and franchisees (referred to as operators at Chick-fil-A) at least one day off a week allows them to relax and return rejuvenated to their jobs, Kalinowski says. And, for customers, the knowledge that they can't get Chick-fil-A on Sundays helps drive them to visit the chain when it is open. 

"It provides a sense of urgency — you better get to that restaurant today, because they're going to be closed on Sunday," Kalinowski said. "I don't think the company designed it that way at all. But it's a call to action every single week."

John Hamburger, the president of Franchise Times, similarly pointed to Chick-fil-A's decision to close on Sunday as a counterintuitive sales booster. 

"Being open six days a week provides benefits to both the operators and the customers," Hamburger said. "The owner operator gets the time off. Closed on Sunday conveys a sense of caring and community to the customers."

"Being private means they can do the right thing, not the expedient Wall Street way of doing things," Hamburger added. 

There is no chance that Chick-fil-A will change its policy of closing on Sunday any time soon. In 2000, Truett Cathy's children — including Dan Cathy, the chain's current CEO — pledged to uphold the company's commitment to keeping the chain closed on Sunday.

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