Krystal Is
Going Seatless To Jumpstart Growth

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Krystal is the biggest provider of square-shaped sliders in the southeast. The old-school chain fell on bad feet two years ago and is trying to rebrand and reduce fat.

The firm will aim to achieve this by opening smaller drive-thru-only eateries.

Krystal's new prototype reflects these improvements and will include a drive-thru and walk-up access but no seating, making it cheaper to build.

By focusing on drive-thru sales and takeaway, the restaurant becomes more cost-effective to run.

Labo's efficient. Building something 25% to 30% cheaper is interesting.

The Alabama Krystal will be 40% smaller. The innovative approach launched in Atlanta, Ga., last year.

Customers won't miss the dining rooms. The NPD Group forecasts that from February 2020 to 2022, delivery jumped 116% and drive-thru traffic grew 20%.

Krystal needs a makeover. The burger business filed for Chapter 11 bankruptcy in 2020, alleging a $50-$100 million debt.

The brand has improved, and sales have returned in 2022, but the corporation thinks the new prototypes will boost its stagnant growth.

It's hardly the only fast-food major reducing its stores, an increasing trend. Taco Bell's first "Defy" location opened recently in Brooklyn Park, Minn.

White Castle, Chipotle, and Jimmy Johns have also embraced dining-free locations, ditching the typical sit-down restaurant idea.

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