An increasing reliance on food technology accelerated by the ravaging coronavirus pandemic has seen a once niche kitchen alternative turn into a mainstream giant for food production. Cloud kitchens are paving the way for a revolution in the way we consume food. Promising fast returns, scalability, and flexibility, cloud kitchens have been the lifeline for food production success in the grips of the pandemic. However, many businesses transitioning into the cloud kitchen model may require some restructuring to become successful.
Kitchen Connect is at the forefront of cloud kitchen development and the food delivery boom. We’ve seen businesses succeed, fail, and everything in between. Here’s our one-stop guide to kick-starting your very own cloud kitchen.
What a cloud kitchen can do for you
The food delivery industry in Malaysia is growing rapidly, and is expected to reach more than US$319 Million by 2026. Operating a cloud kitchen puts you in the prime position to not only distribute to your customers, but operate a highly optimised, efficient, and sustainable delivery kitchen. Working harmoniously with leading food courier platforms like Foodpanda, GrabFood, and UberEats, cloud kitchens are able to completely transform your business into a food delivery-focused restaurant. They embrace modern food technology, giving you better profit margins and easy scalability, and allow you to focus on what’s important to you – producing high-quality food.
Decide on the location
You’re not likel to open a dine-in restaurant in an area with low foot traffic away from your customer base, as you wouldn’t be able to turn a profit. The same concept applies to cloud kitchens. You’ll need to find a location that promises access to untapped consumer markets, lower costs, and reduced food production competition.
Furthermore, you need to consider size and scalability. What are your long term objectives? Do you plan on expanding? If this is the case, select a location that is sizable enough to accommodate higher levels of food production. If you operate multiple brands, why not let them share the same kitchen? This can significantly cut overhead costs while synergising operations.
Plan all the details and logistics
Next up comes all the paperwork. Whilst there is much less than a traditional restaurant, there are still some important steps that you need to cover.
To begin with, you need to establish what tools your kitchen needs. Kitchen Connect provides clients with all the facilities they need to get started with food production. This includes sinks, cold, frozen, and dry storage, as well as, AC, wifi, security, and cleaning. You’re also free to bring any specialised equipment necessary.
With a cloud kitchen comes flexibility – meaning you can scale up or down as necessary. Kitchen Connect has a variety of kitchens available, ranging in sizes from small kitchen spaces for bakery to big kitchen spaces for restaurants. We’re more than happy to accommodate any unique layouts and specifications to help you manage your kitchen more efficiently.
After this, you will need to handle the issue of labour, suppliers, and licenses. The benefit of working in a cloud kitchen is that you don’t need such a large team to generate a greater output. This more efficient business model saves you money on unnecessary labour costs. However, you will need to sort out your licenses and suppliers. At Kitchen Connect, we’re happy to assist you with this so you can focus on what you do best: Delicious food production.
Master your menu
It is easy to overlook the core component of your restaurant business when setting the location up. You’ll need to source ingredients from suppliers at an affordable price, and you should also look into customising your menu depending on the location. For example, you could offer more premium dishes in a high-income zone.
Packaging is another important component of running your food delivery business. Poorly packaged food can arrive soggy and unappealing. By separating components, like noodles from the soup, you can ensure that the food remains fresh and retains flavour and texture. Also, you should consider the environment with your packaging – plastics can be exceptionally harmful, and today’s customers are increasingly conscious of this.
Finally, you will need to consider what third-party food courier platforms you wish to sign up with. Popular food delivery platforms include Foodpanda, UberEats, and GrabFood. Signing up for as many as you can will boost your reach and customer base.
Modernising your kitchen with cutting-edge food technology and equipment is a surefire way of improving your operations. Our kitchens feature a centralised terminal that tracks orders from all platforms. Data and insights allow you to monitor performance more closely and implement evidence-based improvements accordingly. This includes producing more dishes that generate the highest profit margin or popularity, and reducing bottlenecks in your operations.
Promote your brand
For a food delivery business, marketing is a major way of increasing awareness. This is essential for you to ensure there’s enough customers to keep your business afloat.
Since your cloud kitchen only has a virtual presence, digital marketing is an extremely valuable way of bringing you more customers and boosting your revenue. Social media, websites, and online advertising are all different methods of making your restaurant stand out from the rest. At Kitchen Connect, our team of growth specialists provides professional advice to help you increase visibility, especially if your restaurant is new to the online marketplace.
Reach out to us today
Should you be interested in opening your own cloud kitchen, Kitchen Connect has you covered. With years of experience in the industry, we’re well placed to accommodate your food delivery business. Reach out to us today to get the ball rolling!