Cloud kitchens, ghost kitchens, or virtual restaurants have become increasingly popular. These establishments often use a shared or leased kitchen space to prepare their menu, work on a takeaway or delivery model, and do not need a physical storefront. This business model allows more efficient use of space and resources and is much less expensive than a traditional restaurant business.
Even though this business model is becoming more mainstream, cloud kitchens face multiple challenges, such as regulatory issues and zoning laws. Even though considered a lot more profitable than traditional brick-and-mortar establishments, the profitability of cloud kitchens can be affected by high real estate costs, technology expenses, and other operational costs.
However, even though these challenges continue to glare at cloud kitchens, the industry continues to evolve and adapt rapidly, making the future of cloud kitchens look promising. The rise of food delivery apps, consumers preferring delivery and takeout options, and changing food preferences, make these establishments well-positioned to make the most of these trends, capitalize on them and continue to grow their popularity.
Most Popular Cloud Kitchen Concepts in 2023
We have listed down 7 of the most popular cloud kitchen concepts worldwide that can inspire your next business initiative.
Kitchen United
This American company operates a network of cloud kitchens that restaurant brands can use to expand their delivery and takeout operations. It provides shared commercial kitchen space to restaurants, food trucks, and other food businesses and currently operates in several cities such as Los Angeles, Chicago, and New York City.
Kitchen United offers various services for its customers, such as 24/7 kitchen access, fully equipped kitchens, an online ordering and delivery platform, and assistance in marketing, menu development, and logistics.
REEF Technology
REEF Technology is an American Company that operates a network of kitchen and retail spaces used by food businesses to expand their delivery and takeout operations. Their services include kitchen space, equipment, staffing, marketing, and delivery support.
This company also provides, what they refer to as, micro-fulfillment centers strategically located in urban areas for retailers and restaurants to have proximity to their customers. These centers allow for faster product and food delivery and allow retailers and restaurants to reach customers in different areas.
Cloud Kitchens
CloudKitchens is among the first companies to capitalize on the increasingly popular trend of ghost kitchens, as more and more consumers opt for food delivery over dining out today.
Founded by Uber co-founder Travis Kalanick, this company specializes in acquiring underutilized commercial spaces, revamping them into fully equipped kitchen spaces, and then renting them out to food businesses.
This company also has a technology arm that helps streamline the operations and logistics of cloud kitchens.
FoodStars
FoodStars is a London-based company that operates a network of cloud kitchens. The company provides a platform for food businesses, including restaurants, caterers, and food trucks, to prepare food for delivery or takeout. It offers a variety of services to its customers, such as 24/7 kitchen access, fully equipped kitchens, and access to an online ordering and delivery platform.
These kitchens are located in strategic locations across London and help food businesses increase their delivery footprint without investing in brick-and-mortar locations. FoodStars also offers services such as menu development, marketing, and logistics support to help its customers grow their delivery business. It claims to have helped its customers increase their delivery sales by up to 300%.
Grubtech
GrubTech is a leading provider of technology solutions for the food industry. They offer a variety of software and hardware products that help food businesses to improve their operations, increase efficiency, and enhance customer experience. It provides a range of hardware products, such as kitchen display systems (KDS), used to improve communication and efficiency in the kitchen, and customer-facing tablets, which allow for self-ordering and payment.
Their solutions aim to help the food business to improve the customer experience, streamline operations, and increase revenue. These solutions are helpful for businesses that operate multiple locations, as they allow for centralized management of all locations from a single platform.
CookUnity
This French company is a food delivery service provider that partners with restaurants and other food businesses to help them expand their delivery and takeout operations. The company’s leading service is to provide restaurants with their own virtual kitchen space and equipment, allowing them to prepare and package food for delivery without investing in their own physical kitchen space.
They offer a range of other services to support food businesses, including marketing and delivery support, a platform for customers to place orders for takeout and delivery from various restaurants. They use their drivers to ensure that the food is delivered promptly and efficiently.
Ghost Kitchen Brands
Ghost Kitchen Brands is a cloud kitchen provider in the United States. The company was founded in 2020 and quickly established itself as a leader in the ghost kitchen industry. Ghost Kitchen Brands provides various services for virtual restaurant operators, including kitchen space, equipment, and staff.
One of the critical features of Ghost Kitchen Brands is its network of shared kitchen spaces strategically located in areas with high demand for delivery and takeout. They are also known for their focus on sustainability and have implemented practices to reduce waste and energy consumption in their kitchens.
The demand for cloud kitchens has only increased with the COVID-19 pandemic and the restrictions on dine-in services. Cloud kitchens are a popular trend in the food industry, allowing more efficient use of space and resources. This makes it an attractive option for established food businesses looking to expand their delivery and takeout operations and for new food businesses.
