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And in 2019, as I said, we had this idea in November of 2019, why can't other people sell our food?" said Alexander.
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And we ran that for about six months and really learned a lot about the space. That's all it took us to get in there and do it. "In 2017 we opened inside Cloud Kitchen in L.A., and for $30,000, we opened up in the Los Angeles market.
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Wow Bao has 300-plus grocery stores selling its food and one of its most recent ventures is a dark kitchen space serving as a conduit to selling its products through distribution to other restaurants, which in turn sell it out their back door via third-party delivery. The speakers included Wow Bao CEO Geoff Alexander, Smokey Bones CEO James O'Reilly and Zoup! Eatery President and COO Jason Valentine. The brands participated in a panel talk sponsored by Alto-Shaam and moderated by Jonathan Schroeder, director of national accounts for Alto-Shaam. It is one of several leading industry conferences run by Networld Media Group, based in Louisville, Kentucky. Three of those brands shared their experiences during the recent Fast Casual Executive Summit, held by Networld Media Group in Charlotte, North Carolina. Today more restaurants are succeeding at making it viable and financially rewarding.
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There are hurdles and challenges, internally and externally, from everything such as finding the right space and hiring staff. In addition, they can be used to launch a new concept without all the heavy costs of a true restaurant.īut that doesn't mean it's easy to go the virtual kitchen route. It can also be shared with another restaurant brand which then also reduces costs even further. It's a strategy many restaurants turned to in the past two years due to the pandemic impact - restaurants being forced to close and then reopened as takeout only given pandemic conditions.Īs there is no dining area the costs of a virtual kitchen are much less than opening another restaurant, and the room provided can be used just for food prep and creation. The virtual kitchen, also known as a cloud, ghost or dark kitchen, are restaurants that don't have any dining area and are created to either help operations at a brand's traditional restaurant or as a channel for delivery and take-out only.
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