Ghost Kitchens Boom Stalls as Chains Struggle with Virtual Brands Post-COVID

Delivery-only "ghost kitchens" saw huge growth during COVID as restaurants switched to takeout/delivery only. Many chains and celebrities started virtual brands.

As dining rooms reopened post-COVID, chains found ghost kitchens overwhelmed their regular operations, leading some to pull back expansion plans.

Some customers complained about poor food quality from certain virtual brands, damaging perception. YouTube star MrBeast sued his burger partner over quality issues.

Executives argue virtual brands face same hot food delivery challenges as regular chains. Some chains still finding success with concepts that leverage their existing kitchens.

Chains learned pandemic lesson to stick to their core food offerings instead of venturing into new cuisines. Some testing keeping popular virtual items on physical restaurant menus.