Pick the Right Cloud Kitchen Business Model for You

cloud kitchen business model

After the onset of the Covid pandemic, dining out in restaurants has become a secondary option for many. Food delivery options like Zomato and Swiggy have made food delivery incredibly easy and fast, with fresh dishes being delivered in a matter of minutes right to the customer’s doorsteps. Cloud Kitchens have become a rage in metropolitan cities as well as small towns alike, given the sense of feasibility and convenience that they bring. 

The emergence of cloud kitchens has allowed many small businesses, entrepreneurs, as well as big chain restaurants, to realise their full potential and establish themselves on a much larger scale. For starters, a cloud kitchen requires minimum equipment and does not offer the option to dine in. It is not visible to the customers and is a simple kitchen that fulfils delivery orders, and that is it. Cloud kitchens are devoid of any kind of fancy decor or equipment, and operate as kitchens alone. 

Here are some cloud kitchen business model that could align with your ultimate business objectives:

  1. Independent Cloud Kitchen Model

This type of cloud kitchen operates for a single brand alone and does not have a storefront. This is the primary cloud kitchen model, where there is no seating space or takeaway option. This model has proved to be insanely popular after the emergence of online delivery giants like Zomato and Swiggy. 

  1. Hybrid Cloud Kitchen 

This model allows the cloud kitchen to fulfil takeaway orders and can be seen as an extension of the traditional cloud kitchen. This type of cloud kitchen has a storefront that allows it to be seen, thus facilitating takeaway orders as well. The delivery here is either fulfilled by the restaurant’s team or online food delivery apps. 

You can also check this out Wondering How to Start A Restaurant Business? Here’s Help!

  1. Food Aggregator Owned Cloud Kitchen

Food aggregators are now in competition against each other in the realm of cloud kitchens as well. Driven by the high revenue and popularity of cloud kitchens, numerous food aggregators have either leased out or purchased cloud kitchen spaces. This is great for food delivery giants as the delivery is fulfilled directly by them. 

  1. Multi-brand cloud kitchen 

This cloud kitchen business model can accumulate a variety of brands and their culinary needs, all under one roof. The menu is vast and outsourced from a single kitchen but under numerous different brand identities. This model is highly effective as it lowers the overall operational costs. However, this model requires the restaurant owners to be flexible and accommodative of others’ needs. Moreover, this type of cloud kitchen can get a tad bit busier than the aforementioned models as it caters to a varied audience. 

  1. Outsourced Cloud Kitchen 

This is a newer type of model than the other ones and is dependent on the outsourcing of food and delivery. Any restaurant can outsource its entire menu in such a manner that the prepared dish is only received at the restaurant and not prepared there. The restaurant just has to pack the item for delivery, and that is it.

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