Group Name: Los Vendedors

Name Roll
Md.Reaj Uddin Shawon 266
Farhana Akter Priya 109
Nur Hossain Akash 261
Shakila Akter 157
Shrabony Borna 11
Md. Julfikar Ali 257
Ananda Saha (Group Leader) 163
Fatema Akter 3003
 Cloud Kitchen

Abstract
A cloud kitchen is basically a takeaway outlet that provides no dine-in facility. They function as a
production unit with a space for the preparation of food. The food can be ordered online, hence, the
name cloud kitchen. The home delivery option has gained momentum and along with that has brought a
shift in the restaurant industry as now food overpowers dining experience. It is imperative for cloud
kitchen operators to ensure that their operations are completely optimized for peak efficiency so as to
deliver better service to the customers.

Introduction
Taking a leaf out of the Internet first restaurants such as Yumist, HolaChef, Petoo, etc, several
restaurants are now shutting down outlets and moving towards cloud kitchens. Mast Kalandar has shut
down its restaurants in two of the four cities it was operating in, and Ammi’s Biryani has converted some
of its outlets into cloud kitchens to cut down on the cost. Faasos credits its high profits and survival in
the F&B Industry to its idea of shifting to a cloud kitchen business model. Online food business specially
in Dhaka and few other cities of the country has witnessed and unforeseen rise, thanks to technological
advancement and change in lifestyle.

Methods
A cloud kitchen is basically a takeaway outlet that provides no dine-in facility. They function as a
production unit with a space for the preparation of food. The food can be ordered online, hence, the
name cloud kitchen.
Stiff competition in the restaurant industry, along with decreasing margins result in the shutting of
restaurants as they are not able to cover their costs. It has been noted that the number of dine-in
customers has decreased significantly over the last few years, with customers mostly opting for home
delivery of food. Because of the shift in customer preference and an increased sense of hassle in dining
out, the home delivery option has gained momentum and along with that has brought a shift in the
restaurant industry as now food overpowers dining experience. This has given a path to new
entrepreneurs and more competition

Result & Discussion

Ordering food through online by mobile food ordering apps is becoming popular day by day. It has
several advantage of lower operational cost, competitive pricing, automation and food equality.
Customer also benefited by getting their favourite food staying at home or their suitable places.

Online food business specially in Dhaka and few other cities of the country has witnessed and
unforeseen rise, thanks to technological advancement and change in lifestyle.

Now the delivery business market hits sales worth $10 million which was almost $0 in 2013. The market
will cross $5 billion by 2025 indicating the huge potential of the sector. Currently four companies
including Pathao food share 90% of the market, leaving the rest for a few others. Approximately 25000
orders of food are currently being delivered every day on an average while a total of 3500 delivery
persons are working either as employed or freelancer

Market share

Pathao food ----42%

Foodpanda ------32%

HungryNaki-------8%

Shohoz -------------8%

Others---------------10%

The business is till now centered on the capital and few other cities. But the whole country still remains
unexplored.

Conclusion & Recommendation

India over a period has witnessed an impressive growth of the concept of virtual or cloud kitchens. Since
the competition in this domain is on the rise, it is imperative for cloud kitchen operators to ensure that
their operations are completely optimized for peak efficiency so as to deliver better service to the
customers.

Since a cloud kitchen business model does not have a dine-in facility, the primary operations are –

Sourcing the raw materials

Accepting online orders

Preparation of food

Maintaining Consistency

Packaging

Delivery
Automating and streamlining these operations will help one boost one's cloud kitchen business like
never before.

The steps that you can take that will optimize your cloud kitchen operations are –

1.Maintaining consistency

2.Enhance Packaging system

3.Accept Online orders carefully

4.Optimizing the delivery system

5.Automate the cooking system

6.Source the right ingredients

Reference
https://www.posist.com/restaurant-times/trending/cloud-kitchens-smarter-way-run-restaurant-
business.html