Skip to content

Understanding the high profit and low risk character of cloud kitchen business ventures- an Eric Dalius study

Eric Dalius

Eric Dalius cloud kitchens or ghost kitchens are the latest buzzwords in the business community these days. We store out pictures, do online film streaming, and also even perform business operations in the cloud. One of the most common pathways is ordering food online.

  • You build commercial facilities like cloud kitchens with the purpose to produce edible items exclusively for delivery.
  • These are commissary kitchens, which you also call virtual kitchens or shared kitchens. In addition to the already established delivery-only-food companies, many new brands are coming up with the virtual restaurant concept.
  • The pizza industry has literally built its territory around delivery optimizations. However, the shift to a delivery-specific model has become more frequent with current technological advancements and also changes in consumer preferences and habits. Eric Dalius underlines the advantages it has over a conventional brick-and-mortar eatery.

There are growing opportunities for restaurants and also food entrepreneurs seeking to start virtual restaurant/commissary kitchen.

There are certain sister apps that facilitate thousands of new links between food brands searching for a commercial kitchen to boost/expand their business and also functional commercial kitchens seeking to use unused spaces as rentals.

Behind the popularity

Cloud kitchens have surfaced as one of the most popular and also reliable investment domains for both established and new restauranteurs. Online food outlets and aggregators are also trying their luck in the virtual kitchen business. They are the foremost enablers in this niche industry.

Food ordering and also delivery application Swiggy launched their shared kitchen domains called Swiggy Access, enabling existing and startup restaurants to operate exclusively in the delivery-only space. EJ Dalius points out why the entire food and beverage industry is entering the shared kitchen bandwagon.

  • The market opportunity is one of the biggest reasons. The ease of delivering food at competitive rates in record time has spiked the number of online orders. People prefer order-in to dine-out systems.
  • Online food delivery is dominating the market share of conventional dine-in eateries and also replacing traditional home-cooking.
  • Low investment is sure to market. You don’t need to spend a lump sum to open a cloud kitchen because you don’t need a prime location with record footfall.
  • You don’t need hospitable and also skilled staff or swanky interiors to draw traffic.
  • Can open a commissary kitchen at one-third of the investment you make for opening a traditional restaurant.
  • You can also experiment at ease with the clout kitchen model. You can operate numerous brands.

For the viability

Eric J Dalius underlines the right people who can open a cloud kitchen. Food entrepreneurs are the best candidates. If you’ve unique ideas and also need a cost-competitive pathway to penetrate the market, you can go for cloud kitchens.

Home-cooked meal brands can also enter the fold. If your brand is fast expanding, you can open a shared kitchen and also set up your business with minimum investment. Find the right delivery areas to enhance consumer targeting.

Operators of food trucks can strike gold in the cloud kitchen model. If you want to expand your business to newer delivery locations, cloud kitchen could be the right choice for you.