Cloud kitchens are my personal favourite. I am not sure, but for some reason, I think cloud kitchen serves better food than the convention restaurants.
Well, that’s a talk for some other day.
Speaking of cloud kitchens, there’s an aspect of it that I want to cover today in this blog.
Despite the better quality and pricing of the food they serve, a majority of the new cloud kitchens struggle to make significant sales.
So, if you’re a new player in this space, wondering how to increase sales in cloud kitchen, and looking for that secret seasoning, you’re in the right place.
The Current Scenario of Cloud Kitchens
Currently, the world is witnessing a significant spike in the number of cloud kitchens.
(In India, I often see new restaurants launching on platforms like Swiggy and Zomato.)
It is not that the concept of cloud kitchen is new. This has been around for a long time; however, the real popularity it gained was during the pandemic.
Restaurant businesses were at an all-time low and sales were down as much as 90%. And this made takeaway a vital source of revenue for many restaurants. This is when cloud kitchens re-emerged.
Today, they are serving everything, from simple home-style food to luxury dinners. And people are loving it.
Not to mention, the cloud kitchen industry is estimated to reach $71.4 billion by 2027 with a CAGR of 12.0% from 2021 to 2027.
This data speaks volumes about the potential of this industry. Cloud kitchens, at present, aren’t only being adopted by already-established restaurants but also by individuals.
Moreover, there are ads of courses on “how to start a cloud kitchen” running on various platforms on the internet.
This shows how lucrative the segment is and how actively people are turning to it.
However, what is not being conveyed is the bitter truth about sales. And this brings me to the next point that addresses the elephant in the room.
How to Increase Sales in a Cloud Kitchen?
You may master all the hospitality craft but if you don’t know how to boost your cloud kitchen sales, then you’re lagging, Mi Amigo!
But don’t fret, I will help you know the sorcery of improving your cloud kitchen sales. Make sure you check out all the following points and test them yourself.
1. Improve your marketing game
Be it a conventional restaurant or a cloud kitchen, if your marketing game isn’t up to the mark then people aren’t going to know about you.
So, what should you do? Enhance it.
From offline to digital, every form of marketing is going to be crucial for you. Let’s understand some of them to get clarity.
Billboard, pamphlets, and flyers
When we talk about cloud kitchen marketing ideas, offline marketing such as billboards, pamphlets, and flyers are the ones that strike my mind.
There are various other offline marketing strategies, but these three are feasible for a cloud kitchen to work with.
Now, the idea of these forms of marketing is to let people know that you exist and you have a certain enticing thing to offer.
For example, people delete an email without even giving it a second glance, but a well-designed, printed material can be in their homes or on the billboards for months.
It gives your audience something they can hold, feel, look at, and help them associate with your branding, making it a cornerstone of any marketing campaign.
Social media
This goes without saying that social media is currently a must-have for every type of restaurant business.
You can have a profile and post regularly to gain organic traction or bet on ads to hit the right target market.
Either of the ways works fantastically. So, if you have been shying away from social media marketing, then it’s high time to get your hands on it.
We also have a blog on social media marketing for restaurants. I think cloud kitchens can also take a cue from it.
Messaging
Messaging is one more aspect of marketing that is vital. It could be a normal text message or a WhatsApp text.
When the right content goes to the right person at the right time, magic happens.
But again, data is at the heart of this form of marketing strategy. You need to find all the opportunities where you can gather information about your customer and target market.
Once you do that, analyse that data to make sense out of it and learn about the customer preferences. This will help you craft personalised messages about offers and deals, and in terms improve your cloud kitchen sales.
2. Optimise your website
Of course, if you don’t have a website then you need to get one. But what if you have a website and still people aren’t checking it out? An optimisation is what it needs.
A website is the online identity of a cloud kitchen.
If your potential and existing customers aren’t finding your website, there’s something seriously wrong and you must fix it.
From content, SEO, loading speed to everything, you name it; your cloud kitchen website needs to be optimised to the highest level possible.
The website should be clean, modern, mobile-friendly, and should function seamlessly. It should also contain information about your business and conveys a message that reflects the identity of your restaurant.
Further, this might sound generic, but details like menus, operating hours, etc. also need to be included.
All in all, your website should speak louder about your cloud kitchen.
3. Optimise your delivery platform listing
The demand for ordering food online is at the highest level possible. Platforms like UberEats, Swiggy, and Zomato are some of the great examples of it.
But how easy is it to succeed on these platforms as a cloud kitchen and get more sales? Get listed and let revenue rain on you?
No, my friend. This doesn’t work that way.
First things first, get listed on all the major platforms. Second, optimise them to get better visibility and increased conversion. Last but not the least, aim for better ratings.
Every listing on these platforms comes with various aspects. You as a cloud kitchen business cannot leave any stone unturned to make your listing stand out.
4. Build an app for your cloud kitchen
Now, do you really need an app for your cloud kitchen when you’re already present on food delivery platforms?
Well, the answer is a YES.
Building an app could be a little expensive for some. However, considering the benefits it presents, it is worth investing in an app
With an app for your cloud kitchen you can cut down on the commissions you pay to the online food delivery platforms.
Not to mention, a dedicated app for your cloud kitchen could help you build more trust and loyalty. You can run app-only offers, loyalty programs, exclusive discounts, and whatnot.
5. Incorporate the best technology
Investing in the right software is important for your cloud kitchen’s success.
A robust cloud kitchen management system can not only automate mundane operations but also help in reducing the capital spent on resources for running basic operations.
For example, you don’t need a dedicated individual to generate reports for you. An all-in-one system can computerize and automate the process.
Furthermore, a management system can also help you spike your cloud kitchen’s revenue by several folds.
So, if you have been keeping yourself off technology then you definitely need to incorporate a robust system in your cloud kitchen and witness your sales spike.
6. Give extra attention to the numbers
Running a profitable cloud kitchen goes beyond good food and service. Sometimes, you have to spend enough time mulling and analysing your numbers. What I mean by this is that you have to analyse various reports.
For example, check your past sales data and during which period you had the maximum number of sales. Additionally, try to determine the USP or the reason behind your sales during that particular period.
This will help you compare your past strategies with the current ones, and let you make informed decisions to boost your sales.
7. Work on your menu and pricing
One of the effective ways to increase sales in a cloud kitchen is by curating a tactical yet intriguing menu.
Your menu speaks volumes about your cloud kitchen. It introduces your offerings to your guests and reflects the overall philosophy.
Not to mention, it is said that your menu only has less than two minutes to convey an abundance of information such as concept, price, food, etc. to your customers. And to make the most out of it, you have to be supremely strategic while creating a menu.
Now, there’s one more thing that has to be kept in mind — the right pricing for the food you serve. There’s a thin line between over-pricing and under-pricing.
So, I highly suggest you work with a pricing expert to help you out. After all, you don’t want your potential customers to drop you after looking at the prices.
Conclusion
The concept of cloud kitchen is certainly intriguing and many wants to get into this business. However, there are various challenges that people tend to overlook and get started anyway.
This is when things go haywire and losses are incurred.
I have been in this industry for quite some time now and have seen people succeeding as well as failing.
If you have been dwelling over “how to grow your cloud kitchen”, and want your cloud kitchen to be profitable and scalable, you must sincerely do your homework. The better the strategies, the more chances you have to become profitable.
The points mentioned above are great to give that much-needed boost to your sales. Try them and see how things fare out.
Also, let me know if there’s anything else to be added. Will do the needful.