Cloud Kitchen Market Analysis By Component Type, By Solutions, By Deployment Type, By End User & by Region with Forecast 2017-2030

Global Cloud Kitchen Market Landscape || 2020 Edition

Concept of cloud kitchen tends to shake the business of a traditional brick and mortar food stores. Global cloud kitchen market was valued at USD 700 Million in 2018 and is expected to grow at a CAGR of 17.25% through the forecast period (2017-2030). The services segment is anticipated to have the fastest growth rate of 23.54% of the global cloud kitchen in 2018. Order management and mobile segment are estimated to hold the largest market share over the forecast period in the global cloud kitchen market as it deals with the different order related processes such as order placing, order processing, order assigning, order acceptance, order tracking, and order fulfilment.

Kitchen Infrastructure Providers & Aggregator Applications

There are three major players in the cloud kitchen value chain: kitchen infrastructure providers, cloud kitchens themselves, and food aggregators.

Kitchen infrastructure providers provide infrastructure to restaurants, like commissary kitchens. In these multiple restaurants are under one roof and share everything from kitchen space to walk-in fridges to utensils and pickup counters. In this case, restaurant can be started quickly without incurring the capital expenditure required in traditional businesses which enables the business to move quickly without incurring significant upfront costs.

Services like UberEats, DoorDash, PostMates, Deliveroo, Eat24, Amazon Restaurants, Swiggy, etc., food has become available by food aggregators. Services charge between 15% and 35% to restaurants as commission.

Geographical Outlook

Regionally, North America is expected to capture almost 35.96% of the cloud kitchen market in 2018 followed by Asia Pacific owing it to the huge potential in the untapped markets like China, Japan, Singapore, Thailand, Korea, Australia, New Zealand and India where the food delivery and food industry are growing rapidly.

What’s Happening In The Market?

Kitchen United, which has raised funding from Google Ventures, describes itself as a provider of “Turnkey solutions for off-premise restaurant expansion.” Travis Kalanick has invested nearly USD 150 million in City Storage Systems which provides distributed kitchen services through its subsidiary Cloud Kitchens. Pilotworks had also raised significant capital from VC investors before shutting down. Uber Eats and Deliveroo have also started with their cloud kitchen services. In India, unicorns such as Zomato and Swiggy have launched kitchen infrastructure services.

COVID-19 Thematic Research Briefing

Also, we are offering a Thematic Research (detailed impact analysis) of COVID 19 Impact on Cloud Kitchen Industry (including all countries) along with the syndicated reports to our clients. The current and frequent market scanning report helps you and your team to assess the business activities and investments accordingly to keep your business ahead of your competitors. The chapters includes Impact Analysis : Impact of COVID-19 Outbreak on Consumers, Food Delivery Providers, Aggregators, Food & Restaurant Industry, Sales Impact and Recovery Strategy. A complete detailed chapter of 50-70 pages which includes the data and information focused on impacts of the pandemic on the Restaurant & Food Aggregators Industry. It also showcases the expected recovery schedule and losses in the industry. 

Investment Trends

Investors are focused more on food aggregators because of the operations scalability. However, the focus has been shifting towards service providers as well as towards cloud kitchen operators. As the aggregator market faces intense competition, therefore we can expect more investment in the first two stages of the value chain.

Considering, restaurant as a non-scalable business where expansion can be driven by cash flows generated from business only. However, this is not true in the case of cloud kitchen. For instance, Sweet Green, which can be considered the first unicorn in the space, processes 50% of its orders through an app or online platform. India-based Rebel Foods, Faasos’ parent company, is valued approx. USD 525.03 million.

Growth Drivers

The High Real Estate Rental Costs: The cost of renting or buying a place for a food outlet has led thousands of restaurants across the world to shut down. Other than the good quality food, the success of a brick-and-mortar food outlet depends on the location and clientele but renting the right space requires high working capital, leaving small fishes left with no option but to pull out in the market. Therefore, the concept of kitchen-centric model of the food businesses is attracting the fascination of start-ups as it doesn’t require the investment needed to open a full-fledged dine-in restaurant.

Home Delivery Trend: Home delivery is rapidly gaining momentum, giving jerks to the revenue of fine dining restaurants, primarily because of the shift in consumer preference and an increased sense of hassle in dining out.

Market Opportunity

Futuristic B2B Venture: Cloud kitchen trend might not just target B2C but may also become a B2B venture. The centralised cooking hubs say, observers, may well support dine-in restaurants with food.

Amazon's Entry in Cloud Kitchens: Reinventing Foodtech Space

E-commerce giant Amazon is speculated to foray into cloud kitchen segment and launch private food brands in India. Amazon may launch its pilot under Amazon Restaurants brand and this business will be managed by Prione Business Services, a joint venture between Amazon and Catamaran Ventures. Amazon may join hands with national restaurant chains and plans to offer lower commission of 6-8 per cent for at least one year as part of its food delivery launch. Earlier, Amazon had plans to partner with Ola-owned Foodpanda to foray into food delivery with speculations that the partnership could extend to an acquisition. Prior to this, the e-commerce giant was also reportedly in talks for acquiring the Indian arm of UberEATS.

Acquisitions On The Go

DoorDash acquired caviar, an online food delivery platform where Caviar’s premium customers will be working with DoorDash to drive the organizational growth. Foodpanda, the online food ordering and delivery company acquired Holachef Hospitality, a food-tech startup based out in Mumbai. This acquisition empowers Foodpanda to enter the cloud kitchen market and launch their own range of products in different categories and cuisines.

Cloud Kitchen Market Segmentation

By Component Type

• Platform
• Services

By Solutions

• Order Management
• Brand Management
• Inventory Management
• Customer Experience Management
• Marketing Management
• Reporting & Analytics

By Deployment Type

• Web
• Mobile

By End User

• B2B (Commercial Space, Hospitality Sector, etc)
• B2C

By Region (Revenue, Gross Merchandiser Value, Growth Rate, Competitive Analysis, Investments, Consumer Base, Penetration Rate)

• North America Cloud Kitchen Market Outlook (US & Canada)
• Europe Cloud Kitchen Market Outlook (Germany, France, UK, Russia, Italy, Spain, BENELUX, Sweden, Denmark, Norway and Rest of EU)
• Asia Pacific Cloud Kitchen Market Outlook (China, Japan, India, Australia, Korea, New Zealand, Singapore, Rest of APAC)
• Latin America Cloud Kitchen Market Outlook (Brazil, Mexico, Rest of LA)
• Middle East Cloud Kitchen Market Outlook (GCC Countries & Rest of ME)
• Africa Cloud Kitchen Market Outlook (South Africa, Algeria, Nigeria, Rest of Africa)

Key Market Players 

• Toast, Inc.
• Square, Inc.
• Xenial, Inc.
• Ambiosys Labs Pvt Ltd.
• ORDERLORD
• LogBase Technologies LLP
• POSist Technologies Pvt. Ltd.
• Bringg Delivery Technologies Ltd.
• PAR Technology Corp.
• Lightspeed HQ

Key Benefits: Global Cloud Kitchen Market Outlook, 2017-2030 (2020 Edition)

The report includes Food Service Providers, Solution Providers, Aggregators & Brands Outlook (Market Competition & Regional Presence), Business Strategy & Financial Analysis of Major Players. Further, the study also covers the Industry Insights (Future Trends & Forecast Data), Service Model Analysis (App-based, Website-based, Outlet-based models)

• Market Size (USD Billion), Market Share (%), CAGR (%), Y-O-Y Growth Rate (%) of Global Cloud Kitchen Industry and further it bifurcated into Regions & Countries
• Revenue Data of Cloud Kitchen Service Providers : By Platform Type, By Solutions Type, By Deployment Type, By End Users, By Countries (Value), 2017-2030
• Revenue Data of Food Delivery Players : By Service Type, By Deployment Type, By Outlets Type, By Rands, By Places Type, By Countries (Value), 2017-2030
• Brands Outlook : Revenue Share (%) of Players By Food Delivery Aggregators, Market Positioning, Ranking Analysis, Product Portfolio, Competitiveness, Regional Presence, No. of Services, Investments, Partnerships & Collaborations, Mergers & Acquisitions, etc.
• Consumer Analysis Outlook : Consumer Preferences of Brands & Services, Consumer Spending, Average Spending Power, Adoption Rate (%), Penetration Rate (%), etc.
• Market Dynamics : Growth Drivers, Challenges, Opportunities, Trends, SWOT Analysis, Porter's Five Force Model, PESTLE Analysis, etc.
• Gross Merchandise Value (GMV) Data : By Each Player & Service Type, By Number of Orders, By Food Type, 2017-2030
• Supply & Demand Analysis, 2016-2024 (For Each Country)
• Target & Potential Markets: By Major Countries
• Exporters & Importers Outlook (Consumption Data, Volume, Value, Food Type, Importing Countries, Exporting Countries, etc.), 2017-2030
• Global Cloud Kitchen Industry Analysis (Service Providers, Brands, New Products, Product Mapping, Investments, Pricing Pattern, Food Demand, Service Models Analysis, etc.)

Key Coverage in this global cloud kitchen market report

• To evaluate the region and country wise statistics of the market from the period 2017-2030. While 2017 & 2018 have been utilized as historical data, 2019 is considered the base year. 2020-2030 have been derived as forecasts.
• To statistically analyze various application of cloud kitchen concept and individual share of the segments
• To know the regulatory framework of each country, demand & supply, competitors price strategy, market trends, opportunities, growth drivers and challenges
• To profile the detailed strategies, financials, and recent developments of the players
• To assess the opportunities for the new entrants in the business bubble

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