Community Highlights: Meet DAVID ZHAO of Chubby Group

Today we’d like to introduce you to DAVID ZHAO

Hi DAVID, we’re thrilled to have a chance to learn your story today. So, before we get into specifics, maybe you can briefly walk us through how you got to where you are today?
Starting out in the restaurant industry was a challenge primarily due to language barriers. After moving to the U.S. at the age of 12, I had to quickly learn English while adapting to a new culture. My journey into the restaurant industry was quite serendipitous. About ten years ago, while freelancing in marketing during college, I met my future business partner at a restaurant he was interning at. He pitched a business idea, I invested $40,000, thinking it was a passive investment. However, it turned out to be anything but passive, and that’s how I began my operational journey in the restaurant sector.

Today, we’ve grown to manage 25 locations with an additional 35 under construction, aiming for 150 by next year through our own developments and partnership acquisitions. Our expansion includes a variety of brands under the Chubby Group umbrella, like Chubby Skewers and Chubby Foods, enhancing our reach and diversity in offerings.

We’ve also integrated tech into our operations, launching the Chubby Club app to manage a loyalty system akin to those of major airlines or hotel chains. This loyalty program is supported by our unique position in the supply chain—we own our Wagyu supply, which allows us to control quality and costs, giving us a competitive edge in the F&B space.

Our efforts are focused not just on expanding our restaurant footprint but also on innovative approaches like utilizing our own products in CPG (Consumer Packaged Goods) offerings, which include high-quality Wagyu products sold directly to consumers and through B2B channels. These initiatives are all part of a broader strategy to revolutionize the food and beverage industry by providing unparalleled value and experiences to our customers.

Would you say it’s been a smooth road, and if not what are some of the biggest challenges you’ve faced along the way?
No, the journey hasn’t been a smooth road. Some of the key struggles along the way included managing the operational challenges of the restaurant industry, which is known for its high intensity and thin margins. As we expanded, dealing with supply chain issues became a significant hurdle, especially during COVID-19 when supply inconsistencies and price fluctuations were rampant. This led us to innovate by taking control of our supply chain, purchasing Wagyu cattle directly to ensure quality and cost efficiency. These challenges pushed us to continuously adapt and innovate, leading to the development of a diversified business model that spans across different facets of the food and beverage industry, including tech integration with our Chubby Club app and venturing into consumer packaged goods with Chubby Foods.

Thanks – so what else should our readers know about Chubby Group?
My venture, known as the Chubby Group, encompasses a diverse portfolio of restaurant concepts including Chubby Cattle BBQ, Chubby Skewers, The X Pot, Chubby Curry and a range of other specialized dining experiences. We’re known for blending traditional culinary practices with modern technology, like using robotic servers and integrating an app for customer loyalty rewards. What sets us apart is our direct control over our supply chain, owning our Wagyu cattle supply, which allows us to offer premium quality at better prices. I’m most proud of how we’ve revolutionized the dining experience by providing diverse, high-quality food offerings in a tech-forward environment. We want our customers to know about our commitment to innovation, quality, and the unique dining experiences we create.

What matters most to you? Why?
What matters most to me is innovation and value creation. These principles drive the growth and success of any ventures. Innovation allows us to stay ahead in a competitive industry by integrating new technologies and culinary practices that enhance the dining experience. Quality, especially in our ingredients and service, ensures customer satisfaction and loyalty, which is crucial for a sustainable business. These values not only define our brand but also shape the strategies that keep us relevant and preferred by our customers.

Contact Info:

• Website: https://david-zhao.com/
• Instagram: @itsdawei
• Facebook: David Zhao
• Twitter: https://x.com/davidzhaotweet?lang=en
• Youtube: https://www.youtube.com/@itsdawei