Rise of Cloud Kitchens
Updated: Nov 13, 2022
With Lockdowns engulfing the country for the majority of the 2020 and 2021, people have turned to takeaway and delivery services to recreate the eating out experience at home. The CGA say that 60% of 18-24 year old’s have increased their use of food delivery services because of the pandemic.
What is a Cloud Kitchen?
A Cloud kitchen is a physical location where kitchen staff or small, local businesses can set up to provide delivery-only takeaway meals. These companies don’t need physical premises for you to pick up from and have surged in popularity throughout parts of the country, responding to the need for contactless food delivery. Also known as ghost kitchens, dark kitchens, shadow kitchens, delivery-only restaurants or virtual kitchens, dark kitchens can come in multiple forms with one or more restaurants renting the same space.
The cloud kitchen empowers the restaurant owners the adaptability to work at least one eateries/brands utilizing a similar foundation, assets, and stock under numerous brand names. The cloud kitchen for the most part involves taking order request, handling of the request, and fulfilling the request. The cloud kitchen is a lucrative business model for the restaurant owners who want to expand their food offerings to multiple locations, multiple brands, and multiple cuisines.
Number of Cloud Kitchens globally
According to Statista, UK has 750 Ghost kitchens whereas as US, India and China has 1,500, 3,500 and 7,500 ghost kitchens respectively.
Cloud Kitchen Market by Type
Cloud kitchens are divided in to three key segments that includes Independent Cloud Kitchen that holds 35% of the Cloud kitchen market share, Commissary/shared kitchen holds 45% of the total market and Kitchen pods holds 20% of the market share
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