Wienerschnitzel tests new markets with ghost kitchens.
Wienerschnitzel, the largest hot dog chain in the U.S., uses ghost kitchens to test new markets and expand its footprint.
Ghost kitchens are delivery-only facilities that operate without a storefront or dine-in option. They allow restaurants to save on rent, labor, and overhead costs and reach more customers through online platforms.
How Wienerschnitzel is Using Ghost Kitchens to Test New Markets
Wienerschnitzel has partnered with Reef Technology, a company that operates a network of ghost kitchens across the U.S., to launch its first ghost kitchen in Chicago in November 2021.
The ghost kitchen is located in a parking lot in the Wicker Park neighborhood and offers delivery through third-party platforms such as Uber Eats, DoorDash, Grubhub, and Postmates.
Wienerschnitzel plans to use the ghost kitchen to test the demand for its products in Chicago, a market with no physical presence.
According to Ted Milburn, director of franchise development at Wienerschnitzel, the ghost kitchen will allow the company to “test the waters” in Chicago and see if there is enough interest and potential for opening a brick-and-mortar location in the future.
Milburn also said that the ghost kitchen would help Wienerschnitzel increase its brand awareness and exposure in Chicago and attract new customers who may not be familiar with its menu.
Wienerschnitzel also plans to open more ghost kitchens in other markets with no or limited presence, such as New York, Miami, and Boston.
What Benefits Wienerschnitzel Has Gained from Using Ghost Kitchens
Wienerschnitzel has gained several benefits from using ghost kitchens to test new markets, such as:
- Lower risk and cost. Ghost kitchens allow Wienerschnitzel to enter new markets without investing in expensive real estate, equipment, or staff. They also reduce the risk of failure or loss if the market does not perform well.
- Faster speed and scalability. Ghost kitchens allow Wienerschnitzel to launch its operations in new markets within weeks or months instead of years. They also enable Wienerschnitzel to scale up or down its operations depending on customer demand and customer feedback.
- Greater flexibility and innovation. Ghost kitchens allow Wienerschnitzel to experiment with different menus, prices, promotions, and delivery options in other markets. They also enable Wienerschnitzel to adapt to changing consumer preferences and trends.
Wienerschnitzel is using ghost kitchens to test new markets and expand its footprint. Ghost kitchens are delivery-only facilities that operate without a storefront or dine-in option.
By partnering with Reef Technology, Wienerschnitzel has launched its first ghost kitchen in Chicago and plans to open more in other markets with no or limited presence.
Ghost kitchens offer several benefits for Wienerschnitzel, such as lower risk and cost, faster speed and scalability, greater flexibility, and innovation.
The article is “Wienerschnitzel tests new markets with ghost kitchens.”