Virtual Kitchens

How to utilize your kitchen space

Predicted to be a hot foodservice trend at the beginning of 2020, the virtual kitchen concept has quickly become a viable business model for many restaurant operators and those looking to expand within the foodservice industry, especially in the wake of COVID. The increased interest in virtual kitchens is the result of operators looking to make up for lost dine-in revenue and the overall cost of operating a brick and mortar restaurant with new health and safety standards. While restaurateurs had to adapt to the quickly changing business climate and local health regulations, many still struggle to find balance in keeping the doors open and their staff and community safe. Although no one could have known the extent of the impact the COVID pandemic would have on the industry, one thing is for certain: the demand for off-premise and contactless food pickup and delivery is higher than ever and will continue to be a priority as we move into the "new normal". Designed to help restaurants reduce overhead costs and still produce high volumes of food, the virtual kitchen concept (also called ghost, commissary, or cloud kitchens) are paired down commercial cooking spaces that operate strictly on a delivery or pickup-only business model, eliminating the need for in-house dining options and large storefronts. To capitalize on the virtual kitchen business model, consider expanding your offerings to include additional concepts and new menus. Doing so can help you increase profits significantly and with minimal additional costs; adding new restaurant concept helps to combat menu fatigue, allows you to cater to specific customer preferences, and expands your customer base. Perhaps the biggest advantage to operating multiple concepts from your restaurant’s kitchen is the maximum utilization of existing resources (kitchen space and equipment, staff, and in some cases, food items) – this means a reduction in the startup costs of operating a new concept, making it an efficient low-risk, high-reward revenue steam.

The shift in market monopolization of brick and mortar dining to at-home dining provides a way for restaurateurs to increase efficiency, minimize costs, reduce contact, and promote safety measures all while offering chef-driven dining experiences at the customer’s convenience. For more information on how to set up a virtual kitchen, check out the Virtual Kitchen Toolkit on Foodie Solutions!