These virtual restaurants could significantly minimize overhead costs, especially if multiple restaurant brands come together and use the same kitchen to handle various independent menus. They are used to operate a foodservice business without a brick and mortar dining room, and cook food exclusively for delivery. What are ghost kitchens, and why are they interesting?Īlso known as cloud kitchens, they are a new business model that resulted from the delivery revolution initiated by online ordering options. Foodservice operators will need to carefully plan their transition to the new normal, balancing profitability with keeping prices low for their customers.
GHOST KITCHEN FREE
On the consumer side, people are likely to be more cost-sensitive, and free delivery will be an expectation 4. The goal: resilience through diversification. Moving forward, full-service and limited-service restaurants are expected to reorganize operations and supply chains to accommodate more off-premise consumption 3.
The closure of dining rooms further solidified this model’s importance, as digital ordering traffic doubled in March 2020 compared to year-end figures from December 2019 2. More off-premise consumption in the future of the industryĪt the start of 2020, restaurant operators were already experimenting with off-premise consumption 1. Our Consumer Market Insights team took a deep dive into current trends to shed some light on this emerging operating model. As takeout and delivery continue to rise in popularity, the concept of ghost kitchens – delivery-only kitchens that exclusively operate as a virtual restaurant – has started gaining traction. Over the last few months, restaurants have made some challenging decisions and adjustments regarding their business model.
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