“Delivery Only” Kitchens At Attractive Start-up Prices, Lower Delivery Costs, and Access To Cutting Edge AI and Robotics Solutions
August 31, 2017 – Cali Group announced today that it has co-founded and invested in Kitchen United, a new delivery-only coworking system aimed at removing dining room chaos and making it possible for restaurants to hyper-grow their delivery business. Concurrent with the funding of Kitchen United, Kitchen United has executed a lease agreement to take over 12,000 square feet of built out kitchen space in Pasadena, California. This space will also serve as headquarters for Miso Robotics, another Cali Group affiliated company using artificial intelligence and robotics to transform the restaurant industry. Similar to WeWork for shared office space and Amazon’s delivery warehouses, Kitchen United will provide shared kitchen space to numerous chefs and chains seeking to enter the Pasadena market through delivery only initiatives. Kitchen United enables restaurant concepts to begin servicing the Pasadena market with little start-up costs. And because Kitchen United has dedicated loading areas for delivery vehicles to line up and software systems for managing the efficient transfer of multiple payloads of food from different concepts in the shared facility to the vehicles, it also reduces the costs of delivery.
In the last 12 months, the fresh food delivery market has grown from $8.5 billion to $10 billion and is expected to reach $17 billion by 2020. Yet, while restaurants are recording increasing top line revenues through the delivery services, their bottom line is not increasing due to the costs of the delivery services and operational inefficiencies caused by the chaotic transfer of food from the kitchen to delivery drivers.
“Based on our experience with CaliBurger’s delivery business, we believe that Kitchen United solves two fundamental problems with the delivery paradigm,” said John Miller, Chairman of Cali Group. “First, the current delivery system is not sufficiently profitable for restaurant operators or delivery services due to inefficient logistics. In most cases, drivers are picking up a single meal from a particular restaurant to deliver to a single recipient. By contrast, Kitchen United’s facility design and software enable drivers to quickly and easily pick up multiple payloads of food and deliver to multiple recipients on a planned route. Second, we believe that driverless vehicles will be capable of delivering fresh food in the not-too-distant future. Yet, it will not be operationally viable for restaurant staff to leave the four walls of the restaurant to search for and load up the driverless vehicles. Kitchen United’s facilities are designed to have a fleet of driverless vehicles adjacent to its kitchens that can be easily loaded with multiple payloads of food from different concepts.”
In addition to enabling restaurant operators to begin delivery businesses with little start-up costs and lowering delivery costs, Kitchen United’s partnership with Miso Robotics enables restaurant operators at Kitchen United to collaborate with Miso to develop AI solutions to more effectively monitor their kitchen operations as well as AI-driven robotic solutions to automate their kitchens. Kitchen United joins Super League Gaming, CaliBurger, FunWall, POP, and Miso Robotics in the Cali Group family of companies focused on digitizing and automating the built world of restaurants and retail.
ABOUT CALI GROUP
Cali Group is a holding company that comprises CaliBurger, a global restaurant chain, and its affiliated technology companies. Cali Group is pioneering restaurant and retail operating software systems to drive revenue, lower costs, collect data, and improve operations. Cali Group uses its CaliBurger restaurant chain to demonstrate proof of concept and lead the commercial adoption of the software products developed by its sister companies.