Although the benefits are high, a few challenges like technological costs prevail among 35.6% of the surveyees.

WASHINGTON, WASHINGTON, UNITED STATES, November 21, 2022 /EINPresswire.com/ -- GoodFirms, a globally renowned research, ratings, and reviews platform, recently released its new research report-"Cloud Kitchen - Business Opportunities and Future Scope." It attempts to identify and analyze the market for current cloud kitchen, benefits, opportunities, trends, and operational challenges faced by cloud kitchen organizations.

The study highlights how cloud kitchens are reshaping the food service industry with incredible flexibility, frictionless scaling, and unprecedented consumer response. It also uncovers the business opportunities in the cloud kitchen space and finds valuable insights regarding the current business environment, consumer perception, and market for the cloud kitchen industry.

The main drivers for this growth projection are restaurant owners' adoption of smart kitchen services, increased consumer disposable income, and increased technology investments.

The survey reveals the types of cloud kitchen models: independent/single, multi-brand (Shell model), brand-owned, hub and spoke, commissary/aggregator, outsourced (Kitopi model), and hybrid cloud kitchen model.

Further, the research shows that 48.5% of cloud kitchen providers receive maximum orders from mobile apps and 31.3% through websites. Other key channels to receive orders include phone calls (15%) and takeaways (5.3%).

The research also discloses the benefits reported by surveyed cloud kitchen businesses: lower investment/cost-effectiveness (65.4%), menu flexibility (57.4%), high profitability (47.4%), easy to manage multiple brands (37%), prompt servicing/fast delivery (30%), easy to start/expand business (26.6%), increase food quality/hygiene (22.5%), competitive pricing (22%), and improved efficiency (16.8%).

76.8% of cloud kitchen operators have delivery-only services, and 23.3% of cloud kitchens are run by restaurants that also allow dine-in services.

The research analyzes the key challenges faced by cloud kitchen providers: 41.5% reported set-backs in the delivery process, 35.6% have issues with higher technological costs, 18.5% poor financial management, and 17.6% report a lack of customer interaction.

Other challenges faced by cloud kitchen operators include creating a menu that satisfies the needs of a broad clientele, emphasizing delivery accuracy, cancellations, and revenue charged by the food aggregators.

The survey and data analysis show that 76.8% believe that cloud kitchens are essential to gain the sustainability quotient in the food delivery and restaurant business in terms of the environment, socially, and from an economic perspective.

The research further unveils top technology adopted by the cloud kitchen service providers to automate their work operations and grow. This includes; POS (Point of Sale) system, workflow orchestration engine, mobile courier management system, KDS (Kitchen Display System), inventory management system, resource provisioning manager, restaurant management system, and route planning software.

80.2% of the surveyees believe that cloud kitchens will have a bright future. GoodFirms’ report highlights the driving factors for the growth of cloud kitchens: low-risk factor, low operational/overhead cost, quick expansions/increased visibility, providing fast/effective customer service, and easy entry.

GoodFirms concludes that the cloud kitchen, with its unique concept of offering food delivery service with just a well-equipped kitchen, is likely to grow as millennials and the iGen generation desire digital, mobile-friendly solutions.

Other Key Findings:

– As the need for food delivery rises, more and more restaurant owners and food entrepreneurs are turning to cloud kitchens as an excellent business solution.
– 47.4% of cloud kitchen operators ranked high profitability as the prime benefit of a virtual kitchen.
– One-third of the cloud kitchen operators provide delivery-only service.
– Cloud kitchens use digital channels to acquire customers and invest significantly in technology that supports the entire business model.


About Research:

GoodFirms Survey-"Cloud Kitchen - Business Opportunities and Future Scope" was conducted from 15 October 2022 to 21 October 2022. The survey queried businesses globally for various aspects related to their processes, operations, financials, consumers, challenges, etc., to reveal valuable insights into the current state of the cloud kitchen industry. A total of 285 participants responded to the survey.

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About GoodFirms:

GoodFirms is a Washington, D.C-based B2B research firm that aligns its efforts in identifying the most prominent and efficient companies that deliver results to their clients. GoodFirms research is a confluence of new-age consumer reference processes and conventional industry-wide reviews & rankings that help service seekers leap further and multiply their industry-wide value and credibility.

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