F&B industry will hit the reset button with big data and cloud kitchen

Short Description
You may wonder what makes the cloud kitchen a lucrative concept for the business. Being a restaurateur might not be a cakewalk but it certainly is taking an innovative turn with cloud kitchens taking the lead.
  • Dawn Thomas CEO &Co-Founder, VRO Hospitality
Food Delivery

The food and beverage chain in the country is constantly undergoing a facelift in terms of quality and the expertise being infused every step of the way. With the ever-changing landscape of the technological advancements in the field of food and beverages, the ideal way of staying ahead of the competition is by taking a deep dive into advancements whether in terms of operations to delivery, technology being the frontrunner of the industry being consistently monitored.

Making biz more efficient

It is just a matter of time that the constant rush in terms of how we transform and upgrade our skills to be more efficient and effective in what we are striving to achieve. With the changing times literally upon us in every way and the pandemic putting a full stop to the conventional, the world is now striding towards warranting much more efficient and quicker ways in handing over a meal to satisfy them. Major food corporations and store houses have begun implementation of useful resources such as, the data trail. By using data to develop flavours, better predicting and delivering what consumers want, is literally level zero when it comes to utilising the preferences of a consumer and repurposing it in the favour of the outlets.

Data creating flavours

The higher the number of sales we generate with a single product, or a product range grants us the opportunity and information that shows us that everything from our recipe to the delivery mode was on point. Having this vital information and not leveraging your chances in the market is unacceptable with the current scenario. Big data can be a big part of creating flavours, determining what consumers like rather than just tracking trends and personal tastes. It's literally a takeover! Drones joining the race to deliver food, even though it is a rather far-fetched idea, multiple brands and establishments in the city are generating a path to deliver the food in the most hygienic and contactless way possible. Amazon foods is literally one of the biggest players in the industry being the pioneers in testing the efficiency of this method. It's just a matter of time before everyone hops on the bandwagon.

Computers help manage supply chains and reduce waste, and software helps control costs, order inventory, and stock shelves. The incorporation of these big data handling computers can be a blessing to the multi-faceted dining experience going to be provided at our outlets.

To give you an example, we have a dining restaurants expanding in Pan India currently, apart from this, we're taking a swing at cloud kitchens that will deliver delights to all our guests who couldn't turn up. Now when you have been spoiled by choice the level of waste produced and handled will be a massive task, but with the intricate eye for detail in terms of strategically curating dishes.

Tech being cost efficient

Tech provides the front door without the high rent and costs of traditional brick-and-mortar. COVID-19 is likely to only increase the shift to the cloud and not look back. With convenience at the highest point possible. You see, there is no involvement of any waiter or the need for any sitting arrangement. Only chefs working on different offered cuisines and a person for packing the food and handing it over to the designated delivery guy are involved.

You may wonder what makes the cloud kitchen a lucrative concept for the business. Being a restaurateur might not be a cakewalk but it certainly is taking an innovative turn with cloud kitchens taking the lead. In a usual F&B business scenario, day-to-day investments are often high and the return of investment might not balance it right.

However, with cloud kitchens, the business is transforming into an affordable venture with a good ROI, reaching more and more people by the day. The major operational cost in setting up a cloud kitchen is on marketing and discoverability as delivery is being taken care of by the platforms like Zomato and Swiggy.

Lower Infrastructure Cost: Since you are having only a small space for cooking the meal without the need for tables and other facilities, you save on the overhead expenses considerably. It only needs a one-time investment on utensils and other kitchen-related items.

Scalable in the Future: One of the positive aspects of having your own cloud kitchen business is, that you can expand your kitchen outlets in different areas of your city. One kitchen can deliver to about a 2- 3 miles radius area. In the future, you could open a new outlet at a different location where you think you will get good traction.

Low Overhead Cost: Your profit margin is the main purpose of opening a cloud kitchen. You DON’T need to pay for fancy doors & décor or have the main road entrance & costly client-facing staff or a reserved parking area. Cloud kitchens have their share of disadvantages as well. However, compared to its advantages, the negative aspects can be overcome if planned well.

Bye, Bye Traditional Marketing. And hello digital marketing!

It all begins with first reaching the consumer thanks to the prevalence of social networking sites. Taking this to the next level, many food and beverage marketers use influencer marketing on channels like Instagram and YouTube. Influencers reach large audiences and carry a lot of authority. This is a very effective way to build brand preference and convince new customers to try your food or beverage for the first time.

But don’t just rely on your content to be found and shared on social channels. The algorithms used to determine what users see in their feed is actively suppressing brands. It’s become very much a pay to play environment. There are great advantages to paid advertising, specifically the targeting capabilities. Different channels offer different targeting parameters. You’ll want to run tests to help you learn which channels and audience attributes work best for your brand.

As consumers spend more time using their smartphones and engaging with social media and digital video, food and beverage companies are recognizing new ways to engage consumers and drive sales. Determining the right channels and developing impactful creativity is key to any successful marketing initiative.

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