The rise of digital restaurants.. If we’ve learned one thing from the…
By: Azubuike Akunne
Tags: Food Technology, Fooddelivery, Restaurant, Ghost Kitchen

If we’ve learned one thing from the covid-19 pandemic it’s that in order to survive in today’s business climate utilizing technology, more importantly, the internet is a necessity.

As restaurants were shutting down at an alarming rate food delivery platforms experienced a record boom in in-app ordering. Existing restaurants were forced to switch up their business models from dine-in to strictly pick up and delivery. As existing restaurants began to pivot, a new crop of digital-only restaurants entered the scene.

Who would start a new restaurant business in a global pandemic?

Well there are a few thousand tech-savvy entrepreneurs out there who realized this unique opportunity.

Ghost Kitchens/Dark Stores describe businesses that are open to the public without “real” physical locations. Depending on their location, they utilize online delivery platforms such as Jumia, DoorDash, Postmates, and Uber eats to market and sell their items.

Although new to some the concept of dark stores has been around for years. These businesses are very popular in cities in China where finding a suitable restaurant location and expecting foot traffic is difficult.

In 2018 the Guardian estimated that there were at least 70 “dark kitchens” in the United Kingdom. In megacities such as Shanghai or Shenzhen, while there are no figures available, it is safe to assume there are at least 70 dark kitchens in a single neighbourhood.

According to a report by Meituan-Dianping, an online retailer (with about 310 million active users and 14.7 million daily transactions), $31.9 billion was spent on food delivery in China in 2017.

As stated in SPACE 10 article.

Shanghai Dark/Ghost Kitchen

Search through Instagram in Lagos,Nigeria you’ll see a plethora of online only businesses from Midnight Express to BYRD even Igbadun Brewery. Looking to bypass the long regulation processes businesses have sprung up to meet this demand.

Byrd Lagos, Nigeria

This new ‘Ghost/Dark Food’ market is said to be worth $1 trillion by 2030.

Don’t jump ship and try to open up a food business just yet though. A comprehensive marketing plan is needed to ensure customers will land on your page and purchase what you have to offer!

Alongside selling prepared foods Ghost convenience stores have become a staple point in cities like Berlin. Gorillas a startup offering the ease of convenience store foods delivered directly to your door has seen a growth in investments over the pandemic. Interestingly enough this company was launched during the pandemic! Talk about moving quickly to solve a problem!

Right now they’re using electric bicycles to power their fleet but with time that will change. as autonomous delivery robots are entering the market at a rapid speed. These robots have the ability to deliver customers their items on their own. Starship technologies pioneers these Robots currently being used by famous LA convenience store Pink Dot. These robots autonomously drop off customer items directly to their doorstep.

PinkDot LA

Dark kitchens often rely on delivery platforms to sell their items for them. NeuBite can help! Imagine wanting to open your own salad and juice bar but rent is too high and customer foot traffic is low. Grab a NeuBite R.A.S machine and now you have a ‘store front’ and the ability to offer delivery all from your ghost food establishment! R.A.S includes all the technology you need to run a physical location without even being there!

As businesses open again and life returns to somewhat normalcy these new businesses aren’t going anywhere. Convenience has become normal and it’s here to stay. Ghost Foods whether kitchens, stores, restaurants are here to stay. If you’re an entrepreneur this provides a great opportunity to test your brand in the market without the large capital expenditure. If you’re an innovator coming up with a solution for Ghost Foods to operate smoother can mean a large payday if you get it right. Like those autonomous robots, those could transform a small neighborhood!

It’s still early in the game and the Early bird still gets the worm.

EAT GOOD BE GOOD.

Refrences: https://space10.com/project/project-food-and-the-megacity/

Food and the Megacity: How Urbanisation and Technology are Changing the Way China Eats

The Spoon

https://thespoon.tech/germany-based-gorillas-raises-44m-for-speedy-grocery-delivery/