We all must have heard of cloud storage, where users can store big data in less space. Right? But have you ever heard of cloud kitchen? Yes, you read it right! It also termed a ghost kitchen, is gaining huge popularity these days. Technical advancements have impacted many business sectors greatly, and the food industry is one of them. Now, on-demand food delivery has become the prime revenue source for most businesses, restaurants, and hotels. It further led to the invention of cloud kitchen app development.

Being one of the most profitable trends of today’s time, it has become mandatory for businesses to create a strong online presence. But, due to the fierce competition, excessive rents, and rising costs, businesses and entrepreneurs are looking for rational ideas to kickstart their businesses. As a result, the cloud kitchen concept comes as a savior. It is helping SMBs and mid-scale businesses start their businesses and offering immense business profit.

So, if you are also looking forward to starting a ghost kitchen, this blog is for you. It will guide you to everything about ‘What is cloud kitchen?’ its business models, benefits, and more.

What Is A Cloud Kitchen?

Cloud kitchen has emerged as the new concept for restaurant owners supporting home delivery of food. Also termed ghost kitchens or virtual kitchens, it allows food & restaurant business owners to get less spacious without dine-out options for the users. With a cloud kitchen-based infrastructure, a single person owns a restaurant and brand name with the least physical infrastructure.

Today more and more restaurant businesses are turning to cloud kitchen business due to the ever-rising demand in the food industry. Unlike traditional food and restaurant businesses, cloud or ghost kitchens/ghost kitchens enable businesses to earn huge profits with minimal overhead. As per the food delivery app developers, different cloud kitchen business models are available in the market, as discussed below.

 

What Are The Different Types of Cloud Kitchen Business Models?

Different cloud kitchen business models have their own online booking apps and websites, enabling users to order via multiple food delivery platforms. The top 5 cloud kitchen business models are – 

1. Shared Cloud Kitchen Model

Similar to the commissary kitchen model, in this type of business model, businesses rent commercial kitchen space.

Features of Shared Cloud Kitchen

• Single kitchen
• Operating multiple businesses under one roof
• Delivery-only
• Low investment
• Appropriate for all enterprises

2. Independent Virtual Restaurant Model

It is one of the simplest cloud kitchen business models with a low investment option. This restaurant and food ordering app development model is best suitable for startups, small businesses, and people who want to start a home-based food business.

3. Single Brand, Multiple Cloud Kitchens Model

This cloud kitchen business model allows a single brand to own numerous cloud kitchens spread out across various locations. The concept is appropriate for companies that frequently receive orders for food delivery online. Business owners use multiple kitchens to prepare meals more quickly and efficiently for such requests.

Businesses providing meal delivery services in numerous places can benefit from this model. To ensure prompt delivery of the orders, businesses can establish cloud kitchens close to the service region. Businesses planning to opt for any of these models should hire dedicated developers who can craft a perfect business app as per their demands.

4. Aggregator Cloud Kitchen Model

Anyone interested in making a commission using the cloud kitchen concept should use this business model. Here, a person in the restaurant industry provides a platform for business owners to receive online food orders and handle the delivery.

The unique thing about this business model is that the business person does not own these kitchens; instead, they simply charge the kitchen owners a fee for using the platform to sell food.

5. Single Brand, Multiple Cloud Kitchens Model

To ensure work efficiency and quick food delivery, businesses can use multiple kitchens to prepare orders faster. A single food and restaurant brand owns multiple cloud kitchens in different regions. The model is best suitable for business owners who receive online food delivery orders in bulk.

Businesses that deliver food in different areas can make use of this model. Also, business owners should start a kitchen nearby to ensure a quick delivery.

This is it! So, these are the five major types of Cloud kitchen models that businesses can use to start a cloud kitchen business and raise more profit within less time. Different models have their own set of profits, so first you will have to decide whether to go for android app development, or iPhone app development and then choose the models accordingly.

 

Major Benefits of Cloud Kitchen Business Models

A cloud or ghost kitchen is an excellent replacement for a brick-and-mortar restaurant. It enables businesses to focus on brand visibility and food production. There are other benefits businesses can experience while opting for a cloud kitchen business model for custom web development or mobile app development.

 

● Low Overhead

While opting for cloud kitchens, businesses can save themselves from excessive property taxes for commercial kitchen space, additional expenditures, and employee payroll, which helps them stay competitive. It can handle these time-consuming and costly administrative tasks.

Businesses that operate in virtual kitchens typically employ one to two chefs and split expenses with other users. So, overall the idea of a cloud kitchen promotes lower overhead costs.

● Customer Satisfaction

While running an offline food and restaurant delivery business alone, it becomes difficult for business owners to satisfy their customers. But, today, every customer prefers access to a food menu and quick food delivery, which can be possible with ghost kitchens. The process streamlines efficient logistics, lower pricing, and technological advancement implementation. All this will result in improved customer satisfaction.

So, if you are one of those planning to bring your small business to a large scale while keeping the customers happy and satisfied, you should step into cloud kitchen app development. Just get in touch with a leading mobile app development company to get the perfect app for your business.

● Route Planning & Optimization

In this busy and modern age, no customers have time to wait too long to get their order. Hence, a client wants quick service and seamless delivery with just a tap. To adhere to the customers’ needs and demands, cloud kitchen comes in handy as they offer better services quickly.

Here the dark kitchen space can avail significant benefits by synchronizing their apps and receiving orders. It further ensures speedy delivery while eliminating total establishment costs. With proper planning and optimization, owners can keep their businesses on track.

● Manage Multiple Brands Easily

Running multiple brands with dine-in facilities while running an offline restaurant business is a hard nut to crack. But, with the concept of cloud kitchen business models, food and restaurant delivery business owners can run multiple brands simultaneously and under one roof. The best part is cloud or ghost kitchen investment is comparatively low compared to running a brick-and-mortar restaurant.

Cloud kitchen is the best business idea for those passionate about running multiple businesses at a time. An investment made once during a cloud/ghost kitchen startup can benefit businesses for years to come. Even some brands have set an example for the food and restaurant businesses.

Process of Food delivery App Development 2022

Popular Examples of Cloud Kitchen Startups [2023]

Every year, new tech startups & shared spaces join this sector and earn huge profits with low investment. So, here we’ve discussed some popular examples of the fastest-growing ghost kitchen startups earning huge success in 2022 and beyond.

1. Rebel Foods

 

It is a tech company offering cloud-based kitchens to well-known restaurant brands. They offer the infrastructure, technology, and space required to launch their brands with minimal cost.

2. Swiggy

One of the well-known food delivery businesses, Swiggy, has gained huge popularity and covered most of the market. Swiggy offers a separate service offering cloud kitchens to brands to expand its customer base. Businesses planning for cloud kitchens can develop food delivery apps like Swiggy, Zomato, and more.

What is the cost of running any food delivery app, like Swiggy or zomato, per month?

3. Karma Kitchen

 

This business transforms commercial spaces into kitchen and storage facilities for the food and restaurant businesses. Their ghost kitchen business model is equipped with the essential components and services designed for seamless day-to-day operations.

4. Ikcon

 

Ikcon offers smart kitchen networks to restaurants in the prime locations of UAE and KSA. This cloud kitchen business model comes up with advanced technology and trained chefs. Ikcon has onboarded around 70+ brands with more than 15 operational kitchens.

5. Zomato

 

Who isn’t well-versed in Zomato? Of course, everyone is! Well, it is a multinational tech company that offers food delivery and marketing services to all restaurants. It offers dark kitchens to partner restaurants that want to expand their business by reaching more customers.

So, these are the five popular cloud kitchen Startup examples that have been making noise for the past several years, and businesses can think of developing such ghost kitchens for the same.

 

Final Thoughts!

Cloud kitchens are gaining huge popularity in the food and restaurant industry as food lovers are increasingly shifting towards online food ordering and getting it delivered to their doorstep. Now that you know the cloud kitchen business model, benefits, and more, it is the right time to start a ghost kitchen. For better professional assistance, get in touch with a leading food delivery app development company with a team of dedicated experts.

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