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In recent months, consumers have been more reliant on getting their meals delivered than ever.
But the pandemic isn’t entirely responsible for this trend. The online delivery market was experiencing double digit growth long before Covid-induced lockdowns, fuelled by a millennial craving for convenience, and apps such as Deliveroo and Uber Eats bringing every cuisine from all their favourite restaurants quite literally, to their fingertips.
In light of restrictions, and global health concerns, the traditional bricks and mortar restaurant game has never been harder however, and sadly, increasing rents and rates, and a decline in footfall on the high-street has sealed the fate of numerous household names.
This is where cloud kitchens come in.
Never heard the term before? You may know them as dark kitchens, ghost kitchens, virtual restaurants, or even satellite kitchens. They’re fully equipped commercial kitchens with no front of house and no dine-in facilities. They’re built within non-prime real-estate, and located at the heart of densely populated metropolitan areas. Perfectly optimised for efficient and agile production and delivery, these kitchens have the advantage of low costs and high profit margins.
Using this infrastructure to their advantage, Feastr is building a new generation of restaurants – delivery-only. Feastr is one of the first UK multi-brand cloud kitchen businesses, delivering restaurant quality food to your door in 30 minutes, or less. Operating solely from cloud kitchens and marketing to a digital audience, they are able to exploit this booming food delivery market, without the overhead costs of their struggling high street counterparts.
With minimal setup time and low CapEx requirements, Feastr’s cloud kitchen model maintains a highly competitive edge, and an ability to scale that is unrivalled by traditional restaurant models – but the concept isn’t as niche as it may seem. Even household names such as McDonalds and Nando’s have begun adopting the model, in an effort to keep up with surging demand for deliveries.
The promise of the cloud kitchen model, especially in the UK, is already evident. Uber co-founder and ex CEO, Travis Kalanick’s $400m backed CloudKitchens has been erecting them all over the UK for a few years now. With recent success from Karma Kitchen, who successfully raised £252 million to carry out its impressive growth plans, it means the infrastructure is now in place, facilitating restaurateurs who must focus their attention on delivery to survive.
In the next 5 years, Feastr plans to scale to 6 brands across 30 locations, building high-tech, open plan kitchens, with the aim of growing to become a £100m revenue business.
Feastr are now raising to accelerate their growth plans, as they scale across London and continue to develop the restaurant brands of the future.
This is your chance to join them. Check out the pitch.