Launching a restaurant in typical brick-and-mortar locations can be a challenge. Restaurant owners David Ragosa and his partner went the traditional route when bringing Kono Pizza, a pizza cone concept, to the U.S. last year. They quickly realized the smaller route was the way to go.
In months they could easily open three or four locations compared to 12 to 24 months on average for a brick-and-motar location.
Franchisees enjoy the low start up costs and opportunities kiosks offer. Relatively low costs open numerous opportunities for expansion but there is a technique to opening your own kiosk.
Operators note it isn’t as simple as just opening it in the middle of a mall.
Chains like Doc Popcorn, which has 80 kiosk/cart locations, determines whether there is traffic and viable customers before setting up shop.
Kiosk are typically located in the center of walkways at commercial locations; therefore, are more visible to potential customers.
Kiosk operations generally create less revenue but offers higher returns. It could take a business owner twice the amount of capital to open a store front rather than a kiosk.
Most restaurateurs seeking to expand into kiosk concepts can do so only if products can be created with limited kitchen space. Snack and beverage concepts have the highest success rates in the kiosk business.
Smoothie chain Maui started 30 years ago in Utah but now has over 450 operating locations. At the times of its inception founders did not have the money to open a full on brick-and-motar location but saw great success through what CEO Mike Weinberger likes to call “mobile kiosks.”
Rent costs are at an all time high so kiosk can often be the low cost solution to starting your own business.
As a point of sale provider to restaurants, from quick-serve to full-dining eateries, it is important for business owners and competitors to stay in tune with new-food news.
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