Ghost Kitchens: The Biggest Trend You Never Heard Of

Business Wars Daily


Space to multiple restaurants workers in a single dark kitchen may prep meals for say Wendy's sweet Greens and host of independent restaurants. All at once what? These ghosts kitchens have in common is what's not. Their consumers. Do Not darken their doors. There are no signs advertising delicious meals. No tables and chairs know waiters and waitresses. Just spaces were delivery drivers lineup to pick up their latest stash of Burgers and onion rings. Some like cloud kitchen owned by Uber's ousted. Ceo Travis Kalanick's go to great lengths to hide their kitchens. Locations calendar clearly takes the ghost named seriously. Here's what else they have in common. They are suddenly everywhere. Funded by investors hungry to take advantage of our seemingly insatiable desire to eat our meals on the couch. In the office. Kalanick's new venture has been buying up suitable real estate in the US. India and China according to Fortune magazine funding growth with four hundred million dollars of cash from the Saudi government. Last week ghost kitchen company TOPI which already has thirty locations announced it had secured another sixty million dollars in funding to build out fifty more kitchens in the US Saudi Arabia Dubai Kuwait and the UK. And then there's Pasadena based kitchen united which plans to build at least five thousand kitchens in the Coming Years Industry Publication Restaurant Business reports alphabet which owns Google is. An investor goes kitchen's promise advantages to people in different parts of the restaurant ecosystem. You're an independent chef dreaming of opening your own restaurant but without a million dollars to spare well. You can test your recipes and a ghost kitchen and create a virtual restaurant that exists only on a delivery. App like Grub Hub. Now you can get started for thousands of dollars and build a storefront or by a food truck only after you prove the concept if ever the promises and statistics have been so overwhelming in such a short time but now observers say there may be too many ghost kitchens. Investors have sunk at least five billion dollars into the new industry since two thousand eighteen. The Wall Street Journal reports restaurant business questions whether it's a setup for a bubble especially should a recession set in. Here's the logic when employment looked shakier. We lose a job. We start cooking again. Takeout sales Wayne and ghost. Kitchens can't fill their spaces. Ghost kitchens become ghost towns. I suppose you could say moreover there's already a backlash against some delivery services which have to keep growing to feed the ghost kitchen pipeline chains like olive garden in. Texas roadhouse are shunning third party delivery reports industry publication FSR restaurant executives at these restaurants. Say Third Party. Delivery hurts business. Diverting potential customers who would otherwise dine in order drinks at the bar and develop bonds the bartender in waitstaff. Some say their food doesn't travel well. And if it arrives at a customer's home or office cold well. The restaurant gets blamed. Not Grub Hubbard posts. Mates FSR says these restaurant leaders also questioned the wisdom of paying high commissions to outside delivery services for an outcome that well while it can raise revenues by twenty or thirty percent can shrink profits nearly as much still plenty of business leaders. Believe delivery is here to stay like kroger one of the nation's largest supermarket chains. It is so bullish on this trend that it's partnering with Ghost Kitchen Company Cluster truck. Yes you heard that right to offer meal

Coming up next