Kitchen United, which has been operating 18 ghost kitchens – including eight inside Kroger stores – is closing or selling all those physical locations, with plans to focus on the licensing of its proprietary software, which has been used to operate those physical businesses.
All of the Kroger locations already have been closed.
KC’s View:
To be honest, I’ve been surprised by the difficulties that a number of ghost kitchen companies have had – it simply seems like too good an idea to completely collapse. I can only assume that the companies did not have financially workable business models; I hope that over time, someone will figure out how to make the idea work.
One model that does seem to be working is one in Toronto, with Longo’s, about which I reported a number of weeks ago:
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