Why Business Expansion Through CloudQitchens Is For You! 

Ghost kitchens, a hot trend in food delivery, are now also gaining traction in the UK.

Also called ‘dark’, ‘virtual’ or ‘cloud’ kitchens, they are shared cooking spaces that serve as hubs for online deliveries. Different brands prepare their food in the same space, which are then sent out as ordered. The kitchens don’t offer a dine-in option.

The main attraction is that it saves a lot of money – instead of setting up their own restaurant or kitchen, a company can rent a spot in these new big kitchens.

It also gives companies the flexibility to expand their business to new suburbs, without taking the financial risk of setting up a restaurant there.

The first ghost kitchen was set up in the UK in 2017, and Uber’s founder Travis Kalanick has raised more than $400m to fund CloudKitchens, which plans ghost kitchens in the US, India and China. Google has also invested millions in its venture Kitchen United.

The phenomenon has now also arrived in Scotland. New start-up CloudQitchens has established a delivery-only establishment – 8000ft2 facility in East Kilbride, Glasgow – that only produces food for delivery.

For many businesses growth signals success. When you achieve a certain level of success as a leader you may start to think about the benefits of expanding. It creates new opportunities, captures more customers, generates greater profits etc. Partnering with CloudQitchens to grow your business can help you outmanoeuvre competitors, gain greater success and increase your market share. Possibly the greatest advantage of business growth is the ability to capitalise on economies of scale.

As you increase your production output you can reduce costs per unit and achieve savings across: ‍

  • PURCHASING - BY GETTING DISCOUNTS FOR BUYING IN BULK

  • MARKETING - BY SPREADING THE COST OF PROMOTION OVER LARGER SALES

  • OVERHEADS - BY SPREADING STAFF OR ADMINISTRATIVE COSTS ACROSS A GREATER OUTPUT

 

By expanding your business in partnership with CloudQitchens, you will be able to grow and target a new groups of customers. Although you may already possess a strong and well-mined customer base there is always the opportunity to win new customers when you expand. In doing so you have the opportunity to offer new products and services, new markets offer new opportunities. In diversifying your product and service offering you are also able to multiply your revenue streams, meaning you are not exclusively reliant on selling just one core product or service.

“The advantages of business growth aren’t just limited to revenue diversification, expanding your brand recognition brings a number of benefits also. Branding is all about making sure that your targeted audience associates specific qualities, ideas, and characteristics with your product or service. When you expand your business you also expand the possibilities of reaching a wider audience by implementing marketing strategies that help grow your company’s awareness among prospective and existing customers

Overall expansion is a route which successful business leader should consider. At CloudQitchens we offer this opportunity, a chance to partner with you, to help grow your business.