Hoods

Over the last several years the restaurant industry has seen disruption from Apps such as DoorDash, UberEats, GrubHub, and Postmates - bringing a revolution in food delivery that has grown 300% faster than dine-in services over the last 5 years. Restaurants have begun to see the potential with offering online orders through the Apps, with restaurants seeing an average increase of sales around 20% when partnering with these third-party delivery service apps. With the delivery revolution has come a new breed of ‘restaurants’ that such as Ghost Restaurants - a delivery-only ‘restaurant’ that does not have a brick and mortar physical location. These virtual restaurants are allowing new and existing restaurants to form delivery-only options for their customers using existing food product. For example, a Taco food truck can take their excess product and spin it into a virtual Burger spot that offers delivery only.

Where do Ghost Kitchens come into play? Ghost Kitchens are also known as Cloud Kitchens, Shared Kitchens, Dark Kitchens, Virtual Kitchens.  Ghost kitchens are commercial kitchen facilities that are set up solely for virtual delivery-only restaurant brands. These virtual kitchens set up shop in the Ghost Kitchens so that they have access to commercial kitchen equipment, and it gives them a home base of operation. The food is cooked and prepped at the Ghost Kitchen and then picked up for delivery from a third-party delivery service. The Ghost Kitchen model is allowing for chefs to set up single or multiple ‘restaurants’ that exis...