Cloud Kitchen as a Service (CKaaS): Third wave in the food industry
A 20,000 ft kitchen space where each brand is provided with 250–300 sq. ft.
Why go for this?
Starting your own restaurant requires renting real estate space, buying equipment, hiring staff & partnering with Swiggy/Zomato
This is highly cost intensive
CKaaS platforms like Kitchens@, Kitchens Center provide you with:
- you can launch your brand/product in a week
- data: customer food choices, spending power
- kitchen space, equipments with notice period as low as one month
- cleaning, garbage disposal
- sourcing raw materials, marketing etc
- breakeven @ 50 orders/day
(CKaaS doesn’t promote their brand to avoid conflict of interest)
Numbers:
Total Addressable Market: $2 Billion by 2024 (livemint)
Rent charged: Rs 100–200/sq ft or 12% monthly revenue (higher)
Another business model
Virtual food court
CKaaS platforms partner with Dunzo (still at nascent stage)
Biggest Player
Rebel Foods with 325 kitchens
Funding: $342 mil @ $820 mil valuation
Brands under it: Faasos, Behrouz Biryani etc
Not so successful cloud kitchens
Swiggy Access, Zomato Infrastructure Services