Curious about what a virtual kitchen is? Or curious about how to start a virtual kitchen of your own? This guide is here to help.

As the restaurant industry evolves, innovative concepts like virtual kitchens are reshaping the culinary landscape.

Whether you’re a seasoned restaurateur looking to diversify your business or an entrepreneur contemplating a virtual restaurant venture, this guide is tailored just for you.

In this guide, we’ll cover:

• What a virtual kitchen is.
• The benefits of starting a virtual kitchen.
• How to create and run a virtual kitchen.

First, let’s outline what a virtual kitchen is, so we’re all on the same page.

What is a virtual kitchen?

A virtual kitchen is exactly what it sounds like. Often referred to as ghost kitchens, dark kitchens, or cloud kitchens. Virtual restaurants are restaurant models that solely focus on takeout and delivery orders, with no dine-in option.

This concept is rising within the restaurant industry, transforming how we experience food service in the digital age. The pandemic might have spurred it on, but entrepreneurs didn’t skip a beat to find ways to get new customers.

📈 And rightfully so, as online food delivery is projected to grow by 12% annually. Reaching a global worth of $200 billion by 2025. With 29% of consumers ordering online delivery at least a few times a month.

But where’s the actual kitchen? If you’re wondering where the food gets prepared, a virtual kitchen usually operates out of a commercial kitchen (most likely a rented one). But here’s the twist: there’s no dining area attached to it. That means no tables, fancy decor, printed menus, or in-person customers.

Instead, the heart of a virtual kitchen lies within its digital presence – its online menu, ordering platform, and delivery partners. A virtual restaurant owner pays more attention to their social media, food delivery apps, and menu items than the storefront.

But what are the benefits of setting up a virtual kitchen? We’ll explore that next.

The benefits of setting up a virtual kitchen

There are several substantial benefits to setting up a virtual kitchen over a traditional restaurant.

Of course, you can imagine that your profit margins will be higher, but there are other factors to consider, such as:

Lower operating costs

One of the most attractive benefits is its significantly lower operating costs. Running a traditional restaurant comes with various fixed expenses you might not want to be tied to.

Considering the American real estate market (such as in New York or California, where the food scene is at its highest). Renting and buying space in a prime location is not for the faint of heart.

On top of paying an arm and a leg for high foot traffic, you have to spend additional resources on interior design and furniture to stand out from the competition. And let’s not forget the staff you need to maintain!

If you opt for a virtual kitchen, however, you can set up your business in a more cost-effective area, as it won’t be as reliant on foot traffic or lots of staff.

📈 According to a market research firm Global Market Insights report, ghost kitchens can save up to 25% on labor costs, 20-40% on rent costs, and 10-20% on marketing costs compared to traditional restaurants.

Increased efficiency

Since you won’t need to manage dine-in services like a mortar restaurant, you can focus on making high-quality dishes that travel well. This will help you achieve greater efficiency and a quicker turnaround time, giving your kitchen operators room to breathe.

Shared kitchen space can also optimize resources like kitchen equipment and staff, increasing productivity.

📈 This is highly advantageous because 38% of customers expect their food to be delivered within 30 minutes.

Here’s a summary of where the efficiencies lie:

• Labor costs: Ghost kitchens can save on labor costs by not having to hire a lot of staff. The kitchen staff numbers can be smaller than in a traditional restaurant because they only need to focus on preparing food for delivery.
• Food costs: Ghost kitchens can save on food costs by ordering ingredients in bulk and using more efficient cooking methods. They can also use data to track which dishes are popular and adjust their inventory accordingly.
• Marketing costs: Ghost kitchens can save on marketing costs by using online platforms to reach customers. They can also use data to target their marketing efforts to specific demographics.

Lower risk and adaptability

Setting up a new restaurant is inherently risky, with high upfront costs and an uncertain market response.

However, virtual kitchens have a lower risk attached to them. They require less upfront investment, and you can pivot quickly if a particular menu item doesn’t work well.

Adjusting your offerings without the high costs of altering a traditional restaurant puts you ahead of the competition.

Faster to set up

Launching a new restaurant can take months or even years (think of everything a dining room needs). A virtual kitchen significantly cuts down this timeline.

Since you don’t have to worry about remodeling a space or passing numerous inspections, you can focus on what matters most – the food. In fact, with a clear plan and the right resources, you can have a virtual kitchen up and running in a matter of weeks. How appealing is that?

It feels like the benefits are endless for off-premise dining. The question is, how do you go about setting up and running a virtual kitchen?

How to create and run a virtual kitchen

Starting a virtual kitchen is an exciting venture! While it requires careful planning and execution, the process doesn’t have to be overwhelming. Mainly because, as we’ll highlight in just a bit, you’ll have a support system to alleviate much of your stress!

But first, here are some critical steps to help you launch and run a successful virtual kitchen.

Step 1: Decide on your business concept and business plan

First and foremost, what’s your vision? What kind of food will you serve? What is your target demographic? Your vision should reflect the demands of your intended market.

There’s nothing more foundational than understanding who you’re serving and their menu preferences.

Once you have a solid restaurant concept, develop an even more solid business plan. This should detail your market analysis, concept, menu, marketing strategy, and financial projections.

This is the crucial step that will highlight the viability of your business (and it’s a must-have if you’re seeking external funding).

Step 2: Location and kitchen setup

You might not think you need a ‘location’ for a virtual kitchen, but you do. While it isn’t as critical as it would be for a traditional restaurant (remember, a prime location is necessary?). It’s still important to be close to your delivery radius if you only do delivery.

You can consider renting a commercial or shared kitchen space in your desired area. This is a cost-effective solution with peace of mind, as you’ll also have the required health and safety standards in place.

Also, don’t forget your kitchen must have the necessary appliances and tools based on your menu requirements. A well-set-up kitchen leads to efficient operations, enabling you to handle a high volume of orders.

Step 3: Your website and online ordering system

A website is to a virtual kitchen what a storefront and dining room is to a traditional restaurant. In the digital age, a professional website for any restaurant owner is non-negotiable.

📈 35% of customers discover new restaurants directly from the restaurant’s website.

Your website should effectively showcase your menu, pricing, and delivery services and offer an easy way for customers to place orders. This is where Orderable comes into play.

Why Orderable is the #1 solution for a virtual kitchen

Orderable is a game-changer for delivery-only restaurants. It’s a WordPress plugin designed to help restaurants take orders online without any added fees. With Orderable, the list of features is almost as endless as the benefits of opening a virtual kitchen.

You get features like delivery and local pickup time slots, modern app-like ordering design, product add-ons, suggested extras, and more. It helps you create that intuitive user interface (mobile-friendly, of course) your customers have come to expect.

But the benefits of Orderable don’t stop there. It also helps you with upselling and cross-selling opportunities. Instead of relying on a staff member to promote sides, unique dishes, or desserts, you can do it right in your online menu.

We can already see your revenue and profit margins ticking upward!

Plus, because Orderable works with WooCommerce, you get its built-in data and analytics capabilities. Using WooCommerce for your online ordering gives you a wealth of insights about what’s working and what isn’t.

Want to know if that new side dish is popular? Look at the data. Especially for a startup with a new restaurant concept, this information is vital to make data-driven decisions quickly.

Keep your ordering system on your website, save on third-party costs or fees, and improve your profit margins. It’s the perfect partner for your virtual kitchen venture!

Step 4: Design your online menu

The success of your ghost kitchen largely depends on your menu.

When designing your online menu, consider how well each dish will travel and how long it will stay fresh. The last thing you want is your food to arrive soggy, cold, or unappealing due to packaging or travel time issues.

With Orderable, you can easily set up your online menu and show vivid images and detailed descriptions for your creations. It makes it easy for your customers to click a button and have their food delivered to their door.

The plugin also allows real-time menu updates, letting you adjust your menu items based on customer preferences, seasonality, and ingredient availability.

With personalization on the rise within this industry, you’ll be significantly supported by Orderable.

Step 5: Source delivery

While many restaurants rely on third-party delivery services (such as Doordash, Uber Eats, or Grubhub), we highly recommend using a system that lets you ultimately control the customer experience.

Since you don’t know the drivers associated with these apps and the quality of their work, consider hiring reliable delivery drivers.

High-quality drivers will understand the importance of delivering orders quickly and accurately. This move also reduces the costs associated with third-party services and enhances your ability to offer personalized customer service.

Step 6: Launch, fulfill, and adjust

With your business plan, kitchen set up, website running, social media pages created, online menu designed, and delivery sorted, you’re ready to launch your virtual kitchen!

As orders start rolling in, keep a close eye on the order fulfillment process to ensure high-quality customer service.

It’s also vital to keep reviewing and adjusting your operations based on customer feedback and business performance. Analyze and change your menu items regularly so your virtual kitchen stays ahead of other restaurant chains.

Get to grips with virtual kitchens today

In today’s world of restaurateurs, a virtual kitchen presents a unique opportunity to serve quality food without the overhead costs of a traditional brick-and-mortar restaurant.

It is cost-effective, efficient, adaptable, and quicker to set up.

The best part? Orderable is the perfect partner on this journey, helping you manage online orders, design your menu, and analyze customer behavior.

This WooCommerce plugin is designed to support your virtual kitchen every step of the way, making it easier for you to focus on what you do best – creating delicious food.

Implementing a successful virtual kitchen with an ordering system such as Orderable is much easier. So, why wait? Embrace the future of dining and get your virtual kitchen started today.