February 25, 2024
Ghost Kitchen Market

The Ghost Kitchen Market Is Estimated To Witness High Growth Owing To Rise Of Online Food Delivery Platforms & Increasing Demand For Delivering Meals

Market Overview:

A ghost kitchen refers to a commercial kitchen space that is dedicated to the preparation of delivery-only meals and is not meant for walk-in customers. Ghost kitchens enable restaurants to expand their delivery reach and offer menus that were not possible from their dine-in locations. This new business model has helped many restauranteurs to stay operational during the pandemic by shifting focus to delivery-only services.

Market Dynamics:

The rising popularity of online food delivery platforms has been a major driver of growth for the ghost kitchen market. Customers are increasingly using food delivery apps and websites to order meals at their doorsteps, especially after the pandemic. Companies like Doordash, Uber Eats, Zomato, and Swiggy have seen a massive surge in new user signups as well as order volumes in the past few years.

Additionally, the increasing demand for delivering meals efficiently has led many restaurants and delivery chains to set up dedicated ghost kitchens across cities to cater to local food delivery demands. Companies like CloudKitchens and Kitchen United are building large centralized kitchen facilities for food brands and restaurants to scale delivery operations. The availability of rental commercial kitchen spaces optimized for food delivery has also lowered the entry barrier for new restaurants to launch delivery-focused operations.

The global Ghost Kitchen Market Share is estimated to be valued at US$ 71.14 Billion in 2023 and is expected to exhibit a CAGR of 12% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Segment Analysis

The global ghost kitchen market can be segmented into independent kitchens and chain kitchens. Independent ghost kitchens dominate the market as they have relatively low setup costs and give entrepreneurs the flexibility to experiment with various cuisines and business models. However, chain ghost kitchens are growing rapidly as major food delivery platforms like DoorDash, UberEats, and Swiggy are setting up centralized kitchens to partner with local restaurants and expand their reach.

PEST Analysis

Political: There are no major political risks affecting the ghost kitchen market currently. Most nations support investment and innovation in the food services sector.

Economic: The booming online food delivery industry is driving demand for ghost kitchens. Growing preference for convenience foods and tight household budgets post-Covid favor ordering in over dining out.

Social: Change in demographics like busy lifestyles and smaller family sizes is increasing the popularity of food delivery. Younger consumers are more comfortable adopting new tech-driven business models like ghost kitchens.

Technological: Advancements in cloud kitchen software solutions allow operators to streamline kitchen management, monitor orders, manage inventory and scale operations efficiently with minimal overhead costs.

The global Ghost Kitchen Market Share is estimated to be valued at US$ 71.14 Billion in 2023 and is expected to exhibit a CAGR of 12% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Key Takeaways

The global ghost kitchen market is expected to witness high growth, exhibiting a CAGR of 12% over the forecast period, due to the increasing popularity of online food delivery and tight household budgets post-COVID favoring convenient home delivery over dining out.
Regionally, the US dominates the ghost kitchen market currently owing to high adoption of food tech solutions. The Asia Pacific region is expected to be the fastest-growing market for ghost kitchens with countries like India and China emerging as huge markets for online food delivery and tech-driven shared commercial kitchen models.

Key players operating in the ghost kitchen market include CloudKitchens, Kitchen United, REEF Technology, Virtual Kitchen Co., Zuul Kitchens, Deliveroo Editions, Kitopi, DoorDash Kitchens, Grubhub/Seamless, Swiggy Access, Uber Eats Kitchens, Rebel Foods, Ghost Kitchen Brands, JustKitchen, and Keatz. Major players are focusing on expanding their fleet of centralized kitchen facilities across key regions to partner with local restaurants and food brands.

*Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it