Partnership with Ghost Kitchen Brands gains importance as Dine Brands focuses on off-premises sales growth
The International Division of Dine Brands Global, the parent of IHOP, has opened its first IHOP virtual kitchen, located in Toronto, Canada, accelerating its relationship with Ghost Kitchen Brands. Customers can enjoy their pancakes, breakfast, omelettes and other favorite IHOP meals through the Ghost Kitchen Brands’ direct ordering platform and in-store kiosks. Carryout and delivery orders can also be submitted through third-party providers to this location, according to an announcement.
The opening of the 60 Sudbury Street virtual (cloud) kitchen location demonstrates Dine Brands’ growing optimism about digital ordering and off-premises business. IHOP off-premises orderss accounted for 23% of sales mix during Q3 2021. At sister chain, Applebee’s, off-premises made up 27.5% of mix during the same quarter.
“With off-premise sales nearly doubling since the start of the pandemic, it’s evident that guests have become accustomed to the ease of digital ordering and continue to seek convenient options for enjoying their favorite meals outside of the four walls,” said Tony Moralejo, president, International, Dine Brands Global.
In addition, the introduction of Burritos & Bowls in January to the IHOP menu indicates the restaurant chain is responding to shifting consumer dining trends, it said. The Glendale, Calif.-based pancake-house chain considers virtual kitchen locations an ideal platform to continue to service customers looking for on-the-go convenience from an expanding menu.
“IHOP is one of the world’s most beloved full-service restaurant brands and we’re thrilled to partner with Dine Brands International to increase accessibility to IHOP’s signature menu through on-site ordering, takeout, and delivery,” said George Kottas, founder and chief executive of Ghost Kitchen Brands. “We are uniquely positioned to help iconic brands like IHOP serve more customers by leveraging best-in-class technology and customized mix-and-match ordering, making the experience convenient for both guests and brands.”
Moralejo added, “Through our partnership with Ghost Kitchen Brands, we can provide guests more ways to access our beloved pancakes and familiar comfort foods. This demonstrates our brand’s continued commitment to innovation by providing new ways to experience our classic favorites.”
IHOP virtual kitchen, 60 Sudbury Street, Toronto, ON M6J 3S7, Canada
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