Dive Brief: Famous Dave’s is planning to test ghost restaurants to serve a separate menu of fried fowl and burgers in Michigan and California, CEO Jeff Crivello informed Nation’s Restaurant News. The menu may be published on Grubhub below a brand new name, but the food may be made internally in a Famous Dave’s kitchen. The casual dining chain also plans to pilot virtual kitchens with small footprints and run off-premise and catering operations for Famous Dave’s. Dive Insight: Ghost restaurants and virtual kitchens are increasingly gaining a reputation amongst eating places, mainly in New York, to attempt new menu objects and ideas while not having to drastically alternate operations or open recent locations. On the other hand, clients have complained that those ideas regularly lack transparency since it’s difficult to realize the eating place they are ordering from online would not, in reality, have a storefront. For many restaurants, the value outweighs the chance.
Traditional eating places can cost around $800,000 to test new standards, but if a menu flops at a ghost eating place, it costs about $25,000 in line with Fast Company. Many digital kitchen operators additionally provide the wanted infrastructure, from equipment to tech structures, to assist eating places in expanding. Kitchen United, which raised over $10 million in funding in October, plans to start working kitchen centers in Austin, Scottsdale, Atlanta, and Columbus, Ohio, in the coming months, according to Hospitality Tech. By 2019, it expects to open 15 kitchen centers in various markets in Los Angeles, Seattle, Denver, and New York City. 2ndKitchen garnered about $1.Four million in extra funding in February.
Uber Eats, which has approximately 1,000 digital kitchens on its platform, has additionally been attempting out digital restaurants, using facts to parent out what customers were searching for but now not finding in precise markets. Famous Dave’s isn’t the most effective casual chain that has been testing transport-only standards, either. Red Robin commenced rolling out delivery-only places in 2017 to provide signature menu items and catering. Outback Steakhouse and Carrabba’s have been trying out a shipping- and takeout-best idea. Famous Dave’s has 127 franchise places and 17 business enterprise-owned eating places and is creating a huge push into off-premise, which now makes up 50% of its sales, in line with Nation’s Restaurant News. Ghost eating places and virtual kitchens may be an herbal addition, so it will be thrilling to see how these standards impact its to-go and catering income, up three to four and 0.5%, respectively, at some stage in 2018.