The Benefits of Ghost Kitchens

Restaurant Industry 2020: The Benefits of Ghost Kitchens

This is an excerpt from Big 7 Media‘s 100-page report on The Future of the Restaurant Industry in 2020

This detailed report provides current operational guidance and insight into emerging hospitality trends for 2020-21. We investigate the trends that are impacting the industry, both currently and in the future. You will learn: how to increase sales, current and future trends, supply chain issues and more.

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The Future of the Restaurant Industry in 2020

The Rise of ‘Ghost Kitchens’ and Their Future in a Post-Covid-19 Industry

Ghost kitchens were one of the stand-out trends of 2019103, running in parallel with the success of delivery apps to bring a new concept to the restaurant industry: one where you didn’t even need an actual restaurant.

Benefits of Ghost Kitchens:

  • Reduced Rent

Rent is a huge cost for the majority of restaurants, with rent in NYC for a “semi-trendy area” costing around $120-per-square-foot. Ghost kitchens don’t have to be located in high traffic areas and can be set up almost anywhere. 

  • Lower Overheads

Unlike a traditional restaurant, you don’t have to spend money on decoration; which can cost around $160-per-square-foot. There is also decreased labour spend, with no need for FOH staff. 

  • Streamlined Workflow

A core focus of only-delivery orders will eliminate the logistics of cooking for both in-house options and delivery/takeout. Chefs can get creative with inventory to reduce food waste, optimise kitchen space and workflow, and test new menu items at less risk.  

  • Increased Speed to Market

In the US, it will cost on average $275,000 to open a restaurant. In comparison, it costs on average of $20,000 to open a ghost kitchen. This is appealing to restaurateurs who have either shut down their brick and mortar spaces or simply want to test a new concept.

Big 7 Media Report: The Future of the Restaurant Industry in 2020 – Download Here

Table of Contents:

  • Introduction
  • Restaurant Industry Overview
  • Covid-19: Steps & Barriers to Reopening
  • Produce Supply Chain: Impact on Menu Model
  • Key Trends & Developments in Restaurant Sectors
  • Food Delivery Trends & Technology
  • Marketing & Social Media
  • Beverage Trends within the Restaurant Industry
  • Looking to 2021 – The Future
  • Endnotes
Sarah Clayton-Lea

Co-founder of Big 7 Travel, Sarah created the company through her passion for championing the world's best food and travel experiences. Before her career in digital media, where she previously held roles such as Editor of Food&Wine Ireland, Sarah worked in the hospitality industry in Dublin and New York.

Contact [email protected]

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