Photo by Michael Browning on Unsplash
10 years ago, you could ask anyone how they would describe a restaurant and they likely would have said it was a place where you go to sit down, order food, and eat. Today, ask someone the same question, and you may not get such an easy answer. The food delivery revolution has become so popular (dare we say, mainstream?) that now a restaurant is more than just a place to go and eat food. It’s also a place that caters individual portions to be delivered to people all over the U.S. And now there are even new non-eat-in restaurants that only deliver called “ghost kitchens.”
Though this concept may sound completely crazy at first, it could be the key to transforming the restaurant industry to fit into a world dominated by easy convenience and quick service. A 2019 study led by L.E.K. Consulting projected:
With that in mind, many restaurants owners are now looking at the way they are using their current real estate… why open a location and dedicate 2/3 of it to seating for customers when the reality is most won’t even step into the building to order in the first place?
Enter ghost kitchens!
The idea for these locations is more of a coworking concept; much like you can rent a space from Roam or WeWork for a short or long-term office need, you can rent or share in the cost of a kitchen-only restaurant, allowing you to focus only on cooking food for orders that companies like Uber Eats or GrubHub pick up and deliver locally. The benefits? These locations help the restaurants cut costs based on location, size, rent, and staff, allowing them to pocket more of the profits. Many of the multi-tenant style kitchens also allow for split costs, giving each tenant a smaller piece of the pie to be responsible for.[ii]
So, who’s owning and running these ghost kitchens?
Well… who isn’t? It’s no surprise that companies like DoorDash are opening kitchens and renting space. After all, they’ll be the ones delivering the food anyway.
There are also real estate companies getting in on the action: Simon Properties, SBE Entertainment Group, and hotel operator, Accor, partnered to found C3 (Creating Culinary Communities). They plan to set up kitchens in vacant retail spaces, such as shopping malls, restaurants, and hotels. But there are also new companies that are being founded just to open, manage, and rent out ghost kitchen spaces.[iii]
Does this mean traditional dine-in restaurants will soon be defunct and out of date?
Absolutely not! These “old fashioned” eateries are alive and well. Does this mean that next time you want to binge watch Netflix and order a 3-course meal from a local steak house, it’ll be easier than ever? Heck yes! Now that these companies don’t have to worry about optimized locations, serving staff, and on-site dining room management, they can focus on what they do best – making sure your steak is cooked to perfection and your ice cream doesn’t melt in the car on the way over. Sounds to us like a dream come true.[iv]
Finally, what does this mean for the electrical and construction industries?
Well… a lot. And all of it is good news for the industry! Rogers’ specialization in both ground-up electrical construction and remodeling/retrofitting allows us to help both the burgeoning companies launch their first sites and the major real estate companies completely remodel existing sites to suite these new needs. Our small project and lighting teams are the perfect option for multi- or single-site upgrades. Our rollouts team guarantees that every location you have across every region of the U.S. is quickly and accurately addressed and completed. Our 24/7/365 service center capabilities guarantees that emergencies are fixed professionally and timely, no matter the hour, so there’s no interruption to the customer’s regularly scheduled business.
Want to see some of the amazing remodeling work we’ve done in the past? Check out our case studies here!