There’s some useful background on scaling on demand delivery in a webinar where I was on a panel with Asad Khan, Founder and CEO of Snowflake Luxury Gelato and Alex Garland, MD of Earl Enterprises. If you missed it or would like to watch it again: https://bit.ly/3hMQTz3
In the webinar I cover scaling Krispy Kreme’s dark store network, some strategies for successfully building up new revenue streams and thoughts on ways of working.
Where do I scale my on-demand delivery business?
This is a topic that’s on a lot of businesses agenda right now. You’ve got a kitchen or dark store location and you’re making some money. You’d like to scale but where? Follow these steps to find out.
First work out your average sales per head of capita reached – you can do this using this free tool below – simply find your location and search a 2 mile radius. This will give you a population reach from your current location:
Lets say this is 100,000 people and your weekly sales via delivery are £5,000 that a 5p weekly spend per head of capita reached.
If you’re making money at this level (and the sales are just made up – some businesses will make money at £1000 and some lose money at £10,000 per week depending on your cost model) then you now need to search for all the areas that have 100,000 or more population reach to replicate that success.
I can tell you there’s over 30 locations you could be successfully trading at right now.
AND if you have meal kits, finished product, cook at home ingredient boxes in ambient, chilled or frozen I have a partnership with 2,500 locations that can do this for you.