JK.v recently announced has initiated heightened focus on improving margins and lowering costs to bolster enterprise value.
https://twitter.com/JustKitchenIR/status/1554452433283284992
JK.v has created a plan to reduce costs, some key aspects include:
- “Pursuing more B2B opportunities with higher margins that include large enterprises with over 4,000 employees, captive audiences and no or little upfront capital expenditures followed by low operating costs
- “Focusing on higher margin locales and consumer segments;
- “Driving down cost of goods sold relative to revenue by consolidating purchasing while pricing food items in line with regional inflation levels; and”
- Lowering labour costs as a percentage of total expenses.”
They will be taking other measures in order to reduce costs like, limiting hours to reduce unprofitable time windows, using more part-time staff with the knowledge of the full-time staff embedded in operations, rationalizing the poorest performing ghost kitchens to maximize location based profitability, and much more.