Surging diner demand, strong franchising sales and second-generation real estate left by shuttered eateries have created a market primed for expansion, with chains targeting Southern states with lax COVID-19 rules.
The chain began testing Krispy Rice in Orange County, California, and Maryland restaurants, with sales at these units nearly doubling from the first week.
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The ghost kitchen platform's brick-and-mortar stores are still open in the market, and the modular kitchens were voluntarily closed after permits for those units expired, Reef said in a statement.
CEO Michael Osanloo said the Chicago-based chain's new capital structure allows it to pay off significant debt, and it expects to open locations in nearby Midwestern states and the Sunbelt.
The transaction will allow Olo to expand its capabilities, which have largely been focused on online ordering, to include customer intelligence and engagement tools.
The revamp comes as more chains add loyalty programs or enhance existing rewards offerings to attract digitally savvy consumers, and marks the first major change to the chain's program since 2017.
By 2022 the use of third-party delivery will increase to 70%, making a multi-channel approach to off-premise key for restaurateurs. Learn more in this Trendline.
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