Online ordering has increased in popularity over recent years, especially with the onset of the COVID-19 pandemic. More and more people are taking advantage of third-party delivery apps, having restaurant-quality meals delivered to their homes instead of going out. The restaurant industry is hurrying to adapt to this trend; some restaurants have no choice due to the indoor seating limitations imposed by the pandemic.
The importance of online ordering in the restaurant industry has led to an increased number of ghost kitchens. Ghost kitchens, also known as cloud kitchen companies or virtual restaurants, maintain the kitchen function you find with a typical restaurant but lack the seating component. Although the ghost kitchen trend has been around for some time, there are a number of false notions surrounding how it works. Here are some of the most common misconceptions about ghost kitchens.
Misconceptions About Ghost Kitchens
1. Ghost Kitchens Make Less Money
One thing that might deter people from considering a ghost kitchen start-up is the idea that they're less lucrative than traditional restaurants. While ghost kitchens don't earn income through indoor dining, they make up for it with online ordering. From 2019 to 2020, delivery orders increased by 150 percent, and the unforeseen pandemic only contributed to this already rising trend.
RELATED READING: Complete Guide to Restaurant (and Ghost Kitchen) Profits
2. Ghost Kitchens Are A Big Investment
Any start-up is an investment, but ghost kitchen concepts are relatively inexpensive compared to standard restaurants. Virtual dining eliminates several costs, such as:
- Decor
- Curbside appeal
- Printed materials
- Full staff
Moreover, some ghost kitchen owners earn even more by embracing a multiple kitchen concept. This involves operating more than one eatery from the same location. Since the menus are web-based, ghost kitchen owners enjoy a high range of flexibility.
3. Ghost Kitchens Are Not Professional
Some people may think that because there are no in-person diners, ghost kitchens are unprofessional or don't follow proper hygiene rules. In reality, ghost kitchens operate very similarly to standard restaurant kitchens; they also follow the same health codes. In fact, it may be easier to ensure that everybody is complying with health regulations due to ghost kitchens typically having a smaller staff.
4. Ghost Kitchens Are Located In The Middle of Nowhere
Because they lack a tangible space for consumers, some people believe that ghost kitchens are situated only in the outskirts of towns or in random warehouses. This couldn't be further from the truth.
Since ghost kitchens depend on online orders, it's essential that they are located close to consumers. Otherwise, food would be soggy and cold, which would negatively affect reviews.
5. Ghost Kitchens Need Delivery People
Since they depend on online orders, it's pretty common for people to believe that a ghost kitchen requires its own delivery staff. While some of these locations may employ their own delivery people, the existence of third-party apps renders this unnecessary.
Most ghost kitchens partner with apps such as UberEats and GrubHub, gaining access to their consumer base without having to employ their own staff. However, when a kitchen works with multiple delivery companies, it can be difficult to manage the sudden influx of orders.
Working with delivery apps requires managing several multiple tablets at once and processing orders in real-time. Failing to adapt to this process could be detrimental to a business. Fortunately, there are technological solutions out there.
Streamlining Your Delivery
Because ghost kitchens are entirely dependent on online orders, it's essential that they have some sort of system for managing all of these. If they don't, they risk missing or losing orders, which ultimately harms the reputation of the business.
Cuboh strives to facilitate the process of keeping track of orders by streamlining deliveries to a single platform. Services include:
- POS integrations
- Printer integrations
- Consolidating metrics
- Account management
Cuboh sends your orders to your POS system in real-time, ensuring that you don't accidentally miss one. It also gathers your restaurant analytics for you and performs menu updates if needed, assisting with the management so that you can focus on the food.
Should I Open A Ghost Kitchen?
Most of the negative conceptions surrounding ghost kitchens, such as the idea that they are less professional or more expensive, are false. In reality, ghost kitchens can be a lucrative option for hopefuls in the restaurant industry who don't want to risk the overhead costs associated with traditional restaurants. They're especially useful during the pandemic, when the majority of diners are relying on online orders.
However, ghost kitchens can only earn you money if they're operated properly. One way to make sure that your business is successful is to streamline your deliveries so that you don't miss out on business. Contact Cuboh for your online order management needs.
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