"These are dramatic numbers for restaurants and the result is that they've had to be creative to adapt to the situation," Kelly said. Restaurant foot traffic is currently down 50% year-over-year, peaking at a decline of 75% in April, according to Zenreach data shared by CEO John Kelly. While many of these brands were considering ghost kitchens or virtual brands pre-pandemic, current conditions have accelerated those plans. Cheese, Bloomin' Brands and Dine Brands have been experimenting with delivery-only kitchens as well. Smokey Bones, Muscle Maker Grill, Lemonade, Fazoli's, Chuck E. Qdoba is also exploring in-house ghost kitchens or third-party shared kitchens at its corporate and franchised stores as part of its expansion plan, Tim Welsh, Qdoba's chief development officer, said. … Then all of a sudden, they get a rocket boost by the pandemic, because something has to happen." "These were all ideas that had been on the docket to do for the last couple of years. "The evolution of moving up toward finding more efficient space was really just exacerbated by the pandemic," Crivello said.
In early October, it signed another franchisee agreement with Bluestone Hospitality to open Famous Dave's for delivery only inside an additional 25 Johnny Carino's restaurants throughout the country. The barbecue chain also launched a virtual brand called Hayward’s Henhouse this fall in nine Famous Dave's restaurants, offering chicken wings, a chicken sandwich, a burger and fries, Crivello said. "When you get hit in the face with a meteor, you have to react much faster than in any other time," BBQ Holdings CEO Jeff Crivello said. The company partnered with its existing franchisee, PDX Partners, during the second quarter to provide Famous Dave’s food for takeout and via delivery service providers in two of PDX's Johnny Carino's restaurants in California.
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