Shake Shack's first expansion (2001-2008)
Danny Meyer's Union Square Hospitality Group ran a hot dog cart in New York's Madison Square Park in 2001, then built a permanent kiosk in 2004. A second Shake Shack opened in 2008.
The second site tested whether a single-park stand could replicate its following elsewhere in the city.
Shake Shack grew into a public company, but it started by adding one location at a time.
Toasty's is doing the same thing at a smaller scale: taking a restaurant with one storefront and testing whether it works in a second neighborhood.
