Consumers are changing the way they dine – there’s no doubt about it. In Upserve’s annual roundup of the year’s most salient statistics, they report that 60% of consumers order delivery or takeout once a week, and that digital delivery ordering has grown 300% faster than in-person dining in the past seven years. Those are just two of several statistics they highlight to underscore an emerging reality in the restaurant industry: delivery is big business.
Stats like these might make some brick-and-mortar restaurateurs uncomfortable, but they shouldn’t. To capitalize on the food delivery boom, you can launch a virtual concept from your existing kitchen –with virtually no risk –in addition to offering your regular menu for delivery.
So, what is a virtual restaurant? Simply put, a virtual restaurant is a food business exclusively available online, catering to on-demand delivery and pick-up orders. It can be a way for restaurant owners and chefs to experiment with new flavours and top-performing menu categories without the cost of brick-and-mortar expansion.
In this article, let’s explore a few steps for getting your virtual restaurant concept off the ground.
Developing a Winning Concept
Here’s the fun part: developing a concept for your new virtual restaurant.
Start by determining local demand through market research and by identifying your own top-performing menu items/categories. Understanding what sells will ultimately guide you as you craft a concept and – ultimately – a menu.
Next, it’s the all-important task of choosing a name. Find something that immediately calls to mind the food you serve, but has a grabby, compelling angle. Some restaurants opt to use proper names (Joey’s Burritos, Maria’s World Famous Tortas, etc.) as they can convey authority and singularity of vision. But, as with most things in concept ideation, there are no hard and fast rules.
Finally, you can plan the menu. Develop dishes that can be prepared and packaged on a tight timeline. Remember, delivery order customers demand speed and freshness.
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Choosing the Right Partnership
The fantastic thing about launching a virtual restaurants concept is that you don’t need to limit yourself to your own brick-and-mortar establishment. You can seed new markets and expand your restaurant empire relatively safely and easily – provided you have a compelling concept and the right partnership.
Consider partnering with a network of delivery kitchens, like REEF. You can start by hosting an existing concept at your restaurant to test the waters, and then launch your own concept. As your restaurant gains traction, you can expand throughout the network’s many locations, leveraging geoscoring and delivery management technology to ensure success. Because delivery kitchen networks like REEF operate through revenue sharing, they don’t make money until you do.
Advertising Your Business
Lastly, advertise your business across channels. Book media appointments with local food and culture publications to drum up interest with the “foodie” crowd. Devote a portion of your existing restaurant’s social posts to create buzz for your virtual restaurant. And consider contacting local food influencers to try your new menu.
As the world of dining goes digital, take the opportunity to launch a virtual restaurant concept. Start in your own kitchen with a big idea, then expand to new markets with a delivery kitchen network. There’s no limit to how big your virtual restaurant can become.