Nowadays, the food delivery market is booming in the UAE, and the online food business is projected to grow to $ 365 billion by 2030. According to the UAE market, the food delivery sector has shown growth by 6%. Thus, shifting customer needs, high rents of the food delivery, and low margins of foodservice operators let them privatize their cloud kitchen setup.
At present, the cloud kitchen model is making more profits than the traditional one. So, if you are a new entrant in the online food sector or an experienced brand, you must read out this article to know how to set up a cloud kitchen or smart kitchen in Dubai mainland.
The concept of Cloud Kitchen Business:
A cloud kitchen is an innovative concept, known as a dark kitchen, ghost kitchen, or virtual kitchen, based on a delivery-only restaurant format. The Cloud kitchen business setup in Dubai models takes online orders via different mediums, such as websites, third-party platforms, mobile applications.
The rise of e-commerce paved the way for cloud kitchens as society continues to delve into a more digital way of purchasing and entering the market. Cloud kitchens usually get the service of food delivery platforms such as UberEats, Deliveroo, and Talabat. They also set up a powerful online presence through websites, mobile apps, and social media platforms to capture their intended audience.
A delivery-only restaurant is gaining customer’s attention.
It is considered a smart decision, as Setting up a cloud kitchen requires low investment, low risk, and yet high profit. If you are dreaming to start your food business, you must choose a cloud kitchen rather than a traditional kitchen. Moreover, as a restaurateur, you are getting the opportunity to experiment your skill with unique concepts. This amazing concept has given birth to various kitchen models, such as co-working spaces, multi-brand kitchens and, much more.
Are you starting your cloud kitchen Business in Dubai?
If yes”, then tables have turned around you, Cloud kitchen can be set up with low set-up costs, better scaling operations and, ease of replicating. As this type of restaurant does not require a working staff, front-of-house-staff, do not require any prime location. What you require is one-third of the space for your cooking.
If you are ready to know more about the Cloud kitchen setup in the UAE, check out the detailed checklist.
Location & Property
A cloud Kitchen just needs a 250-300 Sq Ft space, there is no need for a premium location that generates the highest footfall. Instead, less space is sufficient to operate a virtual kitchen. Ghost Kitchen can be easily set up in different locations, like unused parking lots, market backsides, residential areas. But before selecting the kitchen area, you must consider whether there is high customer demand or not. Even, operators can share their kitchen space with others, it will cut down the cost.
Before starting your ghost kitchen, you must have proper licenses and certification. If you want to save yourself from legal hassles, you must take the permit and license. If you are looking ahead to start your cloud kitchen in UAE, you must have a Trade License and Food License. Make sure to arrange the license before opening your ghost kitchen.
Kitchen pieces of equipment and Proper Packaging
You must take the kitchen equipment as per the cuisine you are serving. However, you can buy some of the essential kitchen tools, like, cutting knives, refrigerators, ovens, microwaves, etc. For running a successful ghost restaurant, you must work on your order packaging. No matter how your food impresses your customers, if the food is not packaged properly, it will ruin the customer experience. Even your brand can lose its reputation in the online world. You must serve customers with quality food and great packaging material.
The best part of running a cloud restaurant is – there are no front-of-house operations required. You need not have to invest in recruiting staff. You can easily kick off your business with a handful of employees. Yes, in case you are the owner of multiple chains, your chef can prepare food for every brand. So, it is recommended to hire a small staff at the beginning, once your cloud kitchen becomes famous, you can hire more employees.
Marketing is the pillar of any successful business! Since the ghost restaurant relies on telephonic or online orders, you must work on your marketing skills in the initial days. So do proper marketing by adopting a unique strategy. Your marketing competencies must be better than your competitors, so think from a customer perspective and start marketing your brand.
Before you set up a cloud kitchen in Dubai mainland, do marketing of your brand.
Want to get customer attention? List your ghost kitchen on online Food Aggregators.
As your online aggregators are in the Limelight and your customers know them. Listing your brand on the aggregators’ site will work for you. Log in your details at the aggregators’ website and register your brand.
Key Benefits of Cloud Kitchen
- Reduction in Service Time
- Better expansion Opportunities
- Customized Solution
- Flexible Menu
The food industry in the UAE is on the rise and your cloud kitchen business can thrive in the region. Therefore, you should know of the areas to set up your cloud kitchen in Dubai as it decides your geographic audience with Business Link, you get end-to-end Business Setup Consultations that help to secure the business license.
Cloud Kitchen the format is one of the preferred concepts in the UAE. It also enables you to test and learn before bringing that experience to your in-service guests. If you are planning to initiate in the food sector, try your hands-on online food industry. This sector is one of the newest concepts to introduce around the globe, but UAE is one of the hubs of cloud kitchens. If you want to step into the booming sector of cloud kitchens or smart kitchens in the UAE, reach out to Business Link UAE, one of the most prestigious business setup companies in Dubai. They will be able to assist you in every step of setting up a company in Dubai, UAE.
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