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The Future of Dining Virtual Restaurants

The Future of Dining Virtual Restaurants

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Virtual restaurants are a new business model that has evolved the functions of traditional restaurants or a helping hand for the hospitality industry during a pandemic. Virtual restaurants also depict a new branding and profitable prospect for the brands and its creators. 

Wonder what virtual restaurants are?

Virtual restaurants are usually referred to as ghost kitchens or ghost restaurants. They offer delivery-only dining experiences. Customers digitally order the food via apps and their food is delivered by another agency. Virtual restaurants do not have much land requirements. It can be set up as a physical restaurant or a purely production kitchen space or a food truck. 

Virtual restaurants are nowadays spreading their tentacles across the globe because of the advancements of smartphones and mobile apps. The increased efficiency of door-step delivery agencies have also contributed vastly for the widespread popularity of virtual restaurants. Unlike traditional restaurants, virtual restaurants prepare food only when the customer orders it. Virtual restaurants are more advantageous in terms of additional expenses and provide a convenient and quick dining experience for the customers. 

Impact of Global Pandemic Outbreak on Virtual Restaurants:

Virtual restaurants have been beneficial mainly to the hospitality industry and more or less to all the other industries that were affected by the pandemic. Virtual restaurants have just initiated their functioning. There are numerous opportunities for the entrepreneurs to influence the customers beyond selling their traditional products through their loyalty and quick service.

Several expert surveys have revealed that the ghost kitchens have increased its number across the globe. The most known countries like the US, UK, China and India have 1500, 750, 7500 and 3500 virtual restaurants respectively.

Advantages of Virtual Restaurants:

Opening a virtual restaurant incurs a cheaper initial cost. On the contrary, opening a fully furnished traditional restaurant, service staff and artistic wallpaper demands a huge amount of money. Ghost restaurants need not be set up in a bustling city. It can work with the same efficiency in a not-so-busy area too because these restaurants only deliver food. The upfront costs are also cut-down especially in metropolitan cities where the commercial real estate prices are spiraling. 

Virtual restaurants are also known to deliver comparatively healthy and home-cooked meals to the customers. Most of the virtual restaurants shout-out through huge advertising agencies that their food is prepared from organic and locally grown fresh products. The restaurants also have the leverage of dynamic pricing depending on the traffic times.

Drawbacks of Virtual Restaurants:

Virtual restaurants have the heaviest trafficked websites to order food. These restaurants have to pay at least 30% of their sales as commission which can be a big drain. There are a number of other challenges such as to ensure quality packaging, handling and effective delivery. Above all, dealing with the annoying complaints of the customers is extremely tedious.

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To overcome complaints such as delayed delivery, a few apps have implemented a feature that enables the customers to track their order and get a push message or an SMS.

Virtual Restaurants – A Success or a Flop!!!

As virtual restaurants have just started a new trend in the hospitality industry, the success of virtual restaurants will be superb and exciting. Experts are looking forward to visualizing the effect of this new trend on traditional brick and mortar restaurants. Start-ups have just started to roll the dice to balance a few factors such as online service, pricing, ability to track and taste. However, in future, various other challenging factors may influence these newbies. Virtual restaurants will continue to exist with the same zest if the situations are handled effectively. 

In a Nutshell

On the whole, launching a ghost restaurant is comparatively cost-effective and profitable to function in the hospitality sector. Though the sales of food delivery are expected to grow by 20% approximately over the next decade, it is not the only domain and the virtual business that you must rely on. Your establishment can axe beyond just selling your traditional products by innovatively creating a novel experience for your pre-existing audience. The concept of virtual restaurants initiated through the food delivery apps are reforming and reshaping the restaurant industry and also the way we eat by inspiring the delivery-only idea that do not require a dining room and handsome waiters.

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