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Ghost kitchens have evolved from a delivery-only workaround into powerful test labs for new concepts — thanks to real-time data analytics. Instead of spending many months and tens of thousands of dollars on a full-scale restaurant launch (or even just a limited-time-offer launch), operators can spin up a virtual brand in days, run it out of an existing kitchen, and use order, rating, and repeat-purchase data to decide whether it’s worth expanding.
Rebel Foods in India pioneered this model, using its Rebel Operating System to launch and track dozens of micro-brands. Each brand focused on a different taste preference and customer profile, creating cross-brand synergy across the same kitchen infrastructure. In the process, their technology helped them streamline operations, reduce waste, and make data-backed decisions at scale. As conventional foodservice operators increasingly rely on data to adjust elements of their existing operations, using ghost kitchens’ tech-first approach can also inform future decision-making at scale. Texas-based Sushi Zushi, which is emerging from bankruptcy, is using this approach to regain its footing, according to a report from the San Antonio Express-News. It has been using its kitchens to trial several licensed brands, including Nathan’s and Bennigan’s, and employing analytics to see if a concept clicks locally before signing longer-term agreements. Even if you’re not planning to expand into licensed brands in your own operation, you might use a similar testing approach on a smaller scale. For example, you could A/B test a promotion across multiple delivery apps to gauge demand before committing to marketing spend or additional staff. Looking at your upcoming plans for development, how might you lean on analytics to use your existing resources most efficiently? To be sure, the pandemic has kickstarted rapid growth for ghost kitchens: CBRE projects they will account for 21 percent of total U.S. restaurant market share by 2025. But at the same time, we’re seeing other new models emerge that are taking advantage of the kitchen real estate that has been left behind as restaurant traffic has retreated from urban locations. Restaurant tech provider Franklin Junction, for one, has created a global host kitchen network that matches restaurants or other hospitality businesses with host kitchens that have similar infrastructure and available capacity. The aim is to generate scale, sales and market share for the partner businesses in the process. As we adapt to the industry’s ongoing evolution, pay attention to your excess – whether that is real estate or something else altogether. Chances are there are new opportunities to put it to use and generate new income streams that can be managed and monitored digitally. Times of challenge spark new ideas and we’re about to see an innovation boom in the restaurant industry – particularly when it comes to ghost kitchens. Technology companies, having assessed how the pandemic has forced restaurants to transform their sales models, streamline delivery and curbside pick-up, address labor challenges and take additional precautions to protect safety, are finding opportunities to help restaurants whittle down their operations so they can excel in those areas. Specifically, look for more opportunities for turnkey restaurant-in-a-box solutions that give operators the hardware, software and management technology to set up a mobile shop in a parking lot (and in the process, decrease the cost and risk of starting a business). Restaurant Technology News reports that companies like Reef Technology are focusing on “proximity-as-a-service” platforms for organizations ranging from restaurants to retailers to even healthcare testing centers. While such solutions lower the barriers to entry for people with little experience, they can also help experienced operators dip their toe in the water with ghost kitchens to determine their ideal sales model going forward.
Could ghost kitchens become more the rule than the exception in the wake of COVID-19? It’s difficult to argue with the numbers. Automated kitchen technology systems are demonstrating how kitchens can churn out dozens of dishes per hour with minimal assistance from staff. (Kitchen Robotics’ newly released Beastro robotic kitchen, which claims to be the “world’s first robotic dark kitchen,” was designed to handle the planning, preparation and delivery of up to 45 dishes per hour – and only requires assistance in the plating of dishes and the refilling of feeders, the company says.) At a time when it’s difficult to not only find labor but also to quickly shift gears and guarantee safety if and when an employee becomes sick, the automation of kitchen tasks could be worth the investment – or at least some exploration. (In case you missed it, U.S. Foods launched a ghost kitchens program recently to help operators create new revenue streams.)
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