Boost deliveries and test new menu concepts with virtual restaurants
The pandemic changed the way customers order from restaurants. Offering delivery and pickup has become essential for restaurants to stay competitive, shifting the way we understand restaurant growth. This change has also led to the rise of a new type of restaurant: virtual restaurants.
Virtual restaurants have become one of the biggest growth opportunities in the industry. The virtual restaurant market is estimated to reach $1 trillion by 2030, proving this type of business to be a reliable avenue for growth. Virtual restaurants can launch in about a quarter of the time of a physical restaurant, saving you time and money.
Read on to learn what virtual restaurants are, then be sure to download the checklist to understand exactly how you can experiment with a new brand of cuisine while growing your delivery sales.
Demystifying The Virtual Restaurant
Also known as virtual kitchens, ghost kitchens or delivery-only restaurants, the virtual restaurant concept is actually quite simple.
They are delivery-only operations that accept orders solely online—through apps and websites like Grubhub. With no need for a brick and mortar location, the restaurant only exists online.
Restaurateurs can launch a virtual restaurant to experiment with a new menu concept, brand a subset of existing menu items or capture unique customer demands for particular food in the market. In this way, restaurants can open up a whole new “restaurant” without any additional expenditure on staff or rent.
Since all orders are placed digitally and delivered, customers don’t know (or care) that the restaurant is “virtual.” They may even be excited to try new concepts if they are put out by their favorite local restaurant. Their only concern is that the food tastes great, is easy to order and is delivered to their door.
Paving The Way To Your Own Virtual Restaurant
So what goes into creating a stellar virtual dining experience? Take a look at these steps you can follow to launch your own virtual restaurant.
Step 1: Choose Your Cuisine
Your menu can expand your existing offerings or be based on a subset of items from your current menu. You can even test out an entirely different concept—one that may even be completely different from your physical restaurant. With the data provided by Grubhub, you can even pinpoint what type of food customers are searching for, but not finding, within your delivery boundaries, and create a menu that fills that gap.
Once you’ve decided on what type of cuisine you want to serve, the next step is to engineer your menu. Explore how competitors price and market their cuisine, look into local diners’ ordering habits and decide how you want to source ingredients. You’ll need to compile data to calculate food costs, identify contribution margins and determine what menu items are likely to sell. After you’ve evaluated this data, the final step is to create menu prices. These prices don’t need to be set in stone – you should evaluate your business during the first few months of operations to optimize your menu.
Step 2: Create Your Brand
Now that you know what you want to sell, you need to brand your restaurant to build customer recognition. Your brand should reflect your virtual restaurant’s cuisine type and niche. Spend time deciding on brand assets like a name, logo, theme and photos – these things will be the first things diners see when they order from your restaurant.
Use your branding to convey your restaurant’s identity and distinguish it from competitors. Make sure you have a good understanding of your target customers before you finalize branding to ensure that your restaurant’s theme will resonate with them.
Step 3: Develop a delivery strategy
Virtual restaurants cannot function without delivery. Your virtual restaurant’s delivery fleet should be professional, timely and efficient. Because your restaurant doesn’t have a physical storefront, your drivers are the ones who will interact with customers. Ensuring you have the best drivers can make sure your brand is represented well.
Grubhub delivery can help take work off your plate by handling out-of-house services for your virtual brand. Grubhub delivery allows restaurants to expand their delivery boundaries and reach customers in a timely manner, giving diners real-time updates on their progress. Our fleet of over 300,000 drivers are experienced and professional, equipped with the right tools to make sure your cuisine reaches your customers.
Step 4: Launch Your Virtual Restaurant
So you think you’re ready to launch your virtual restaurant? Before you start cooking, make sure you have enough inventory to support your virtual restaurant staff. Your staff should be trained on how the virtual kitchen will operate, and you should have a plan on how your virtual restaurant will work in tandem with your brick and mortar location if applicable.
Launching your virtual restaurant is as simple as publishing your menu online. You can add an online ordering link to your restaurant’s website to start. Want to get your restaurant in front of eager diners instantly? You can list your virtual restaurant on a third-party delivery platform like Grubhub to get access to 33+ million customers. Listing your restaurant on Grubhub Marketplace makes it easy for customers to place an order right from any device via an app or online platform.
Grubhub partners also get access to Direct, a commission-free online ordering platform that is completely free to use. With Direct, you can list your virtual restaurant’s menu online and easily manage restaurant info from your existing Grubhub account. Direct can also integrate into your existing website, giving customers an easy way to place an order. And the cherry on top is that Direct collects customer data that you can download for free and use to better target your marketing efforts. Learn more about how Direct can help your virtual restaurant grow.
Step 5: Market your virtual brand
A virtual restaurant isn’t subject to the same street recognition as brick and mortar restaurants. Restaurants that don’t have a physical dining room need to put in extra effort to make their presence known. Simply creating a website isn’t enough to generate a customer base. You need to market your new brand to potential customers to make them aware of your offerings.
Your marketing strategy should be holistic – covering web, email, social media and good old fashioned word of mouth. Your restaurant’s website should contain all the necessary info about your brand, featuring the menu, hours, delivery method and how to order. Modern diners use social media to explore new cuisines. Create social media pages for your restaurant on popular platforms like Instagram, Facebook and TikTok to share your creations. Once you start getting customers, collect their emails so you can send them announcements, deals and promotions to prompt them to place an order.
Just because your restaurant doesn’t have a physical location that customers can visit doesn’t mean you can’t connect with your local community. Old fashioned forms of marketing like fliers, signs and press announcements are a great way to make your presence known to your neighborhood. You can even partner with local businesses to cater an event to grow awareness of your brand.
Finally, encourage your customers to leave reviews about your restaurant on your website, Google Business page or on Grubhub. Reviews are a great way to legitimize your restaurant, especially when you’re just starting out. Plus, positive reviews can serve as free marketing for your restaurant.
Making A Virtual Restaurant Work For You
There are many exciting advantages to opening a virtual restaurant in addition to your physical restaurant.
- Obtain High Rewards For Low Investment. Virtual restaurants are efficient and save money because they grow your business without increasing overhead costs.
- Grow Delivery Sales. You can open up new channels of revenue using the same amount of staff, space and resources by operating one, or multiple, virtual restaurants out of one physical kitchen.
- Reach New Customers. By branching out with a new concept, you can reach an entirely different customer base.
- Innovate and Lead. With little risk, you are free to experiment and test out what works to create successful concepts and satisfy needs in your particular market. Also, being able to change your menu on the fly without updating printed menus or signage allows you to be flexible and creative.
- Increase Digital Presence. By living online, your brand will get valuable exposure through the Grubhub website and mobile app.
Whether you want to increase delivery sales or experiment with a new restaurant concept, a virtual restaurant can help you reach your goals with low risk and high rewards. Learn more about opening a virtual restaurant. Ready to reach new customers and grow your business with Grubhub? Signup today!
Angel Food seeks crowdfunding for expansion plans –
Angel Food, believed to be New Zealand’s #1 plant-based food brand, has announced its latest crowd funding raise, which will launch PledgeMe on Monday June 19.
Angel Food is looking to raise a minimum of $200,000 (for a 4.17% share of the company) with a maximum raise of $500,000 (for a 9.8% share of the company). The minimum investment is $331.00 (for 10 shares at $33.10 per share). The share offer will close on July 3 (or when fully subscribed, if earlier).
The capital raised will be used for investment in marketing, innovation (including the continued improvement of existing products and new product development), and talent resources (including the procurement of an experienced GM), while also helping the brand prepare for its launch into Australia in 2024.
Angel Food is Aotearoa’s largest and most experienced plant-based cheese company, going strong for 17 years. Founder and CEO of Angel Food, Alice Shopland (an entrepreneurial vegan activist), and her team have been championing the benefits of embracing plant-based foods long before plant-based and vegan diets were mainstream.
The company’s says the brand and products resonate with ‘flexitarians’, a newer and much larger market, who are discovering that Angel Food’s products make plant-based eating easy.
Angel Food’s core product focus is dairy-free cheese alternatives, with a production of more than 130 tonnes of cheese per year. Angel Food decided to focus its product range on dairy-free cheese given that it’s a key ingredient in a wide variety of recipes and meals, and they launched their first plant-based cheese commercially made in Aotearoa in 2015.
Angel Food has distribution across an estimated 1000+ food service outlets across New Zealand, including all grocery chains plus cafes, restaurants, and quick-service restaurants.
Angel Food is looking to export its products, starting with Australia, and hopes to become the leading plant-based food brand in Australia within the next few years. Angel Food anticipates that its Australian launch will require $1m NZD investment, and this raise will be the first stage of a stepped approach to ensure that they can maximize value for their shareholders at each stage of investment.
The company has a current valuation of $4.6m NZD.* Angel Food’s crowdfunding rounds in 2015 and 2019 have enabled the company to grow fast and establish its leadership position within the plant-based foods sector while the category was in its infancy. To be consistently profitable, Angel Food is aiming for its revenue to exceed $5m NZD, which they believe they will achieve.
*Founder and CEO of Angel Food, Alice Shopland, said: “We’re excited to offer potential investors the opportunity to support our purpose-led brand. Despite a few tough years, we’re still #1 in retail and remain New Zealand’s leading plant food brand. Our investors will help us to continue our positive trajectory, while giving us the resources we need to grow and evolve the business to deliver the greatest impact. Now more than ever, we remain committed to our mission of making it easier for more people to choose plant-based meals more often. Where other plant-based categories – like milks, yogurt, and ice cream are mature and crowded, plant-based cheese is still in its infancy – there is still lots of room for growth. We have great distribution in Aotearoa, and we want to share our range of delicious plant-based products with the world, starting with Australia.”
MAYO CHEESE SAUCE RECIPE FROM ANGEL FOOD
Ingredients:
½ C vegan mayo
½ C plant-based milk
½ C Angel Food plant-based cheddar, grated
Salt to taste
Methods:
- Melt all together the ingredients. You can blend it with a stick blender or in a food processor for a super-smooth result.
- Taste for seasoning and add salt as desired.
- Serve hot.
Fine Food NZ a barometer for vital industry –
Wild weather, rampant inflation, staff shortages, cost of living crises, and all following years of COVID restrictions: there’s a lot going on in the world, much of which has a direct impact on New Zealand’s food production, food service, food retail and hospitality industries.
Despite a seemingly endless series of challenges, the people who run these businesses across the country have proven more than resilient and adaptable and, in many instances, have shouldered new and unexpected burdens with an indomitable spirit – and things are starting to look up.
That’s according to Deb Haimes, Sales & Event Manager for the forthcoming Fine Food New Zealand trade event, scheduled for June 25-27 in Auckland. She says interest in the event serves as a gauge of just how well the industry is coping – and so far, the signs are encouraging. “We’ve seen a rush of interest from our sponsors, exhibitors and delegate registrations which point to an industry in resurgence,” she says. “There’s no question that our industry has suffered some tough times, but there is a palpable sense that the worst is behind us, and it is onwards and upwards.”
So far, the Fine Food New Zealand event has secured the participation of more than 250 exhibitors, with delegate registrations for the 5,000 trade-only event passing. This compares favorably with previous years, with Haimes saying the brisk rate of registrations from people across the country is evidence of an industry keen to get on with things.
The Fine Food New Zealand trade event is attracting international attention as suppliers to the food, beverage, food service, equipment and packaging industries look to enter or grow their presence in the local market. By the same token, the event serves international merchants seeking to take Kiwi products to far-flung markets and customers. “New Zealand is world-renowned for high-quality produce spanning everything from meat and dairy to wine and beer, seafood, and fruit and vegetables.”
Just one example is the locally farmed beef, lamb and venison marketed in Europe and around the world. Recognized as a premium offering, these exports earn some NZ$ 6 billion per year in foreign trade. Kiwi wines are increasingly recognized for their quality, with this industry worth just shy of $2 billion annually, according to New Zealand Winegrowers. Many locally produced foods are consistent winners on the world stage, with Pics Peanut Butter and Devonport Chocolates both holding ‘Best in the World’ recognition from the Great Taste Awards.
With so much going on, Haimes says smaller producers are encouraged to visit the event or consider exhibiting. “A lot of business happens on the floor of Fine Food New Zealand. We have international visitors looking for opportunities to find great Kiwi products and take them into their markets. Exhibiting at Fine Food New Zealand could be the key to cracking territories you haven’t even considered – but you have to be there for that to happen.”
Fine Food New Zealand is supported by partners including Tasman Liquor, Service Foods, Anchor, Gilmours Wholesale Food & Beverage, NZ Chefs Association, Bidfood, the Restaurant Association of New Zealand, FMCG Business, Hospitality Business, Baking New Zealand and Restaurant and Café.
The exhibition takes place at the Auckland Showgrounds from June 25-27. Attendance is FREE for trade delegates who register online. For more information or to register visit www.finefoodnz.co.nz.
Introducing The Cube! –
Indulge in the ultimate culinary delight with the exquisite Cube at Cordis Auckland’s new premium local neighborhood bar Our Land is Alive.
Experience the sweet option of Berry and Vanilla Cream Pavlova or for those craving a savory experience, the Steak and Mushroom Pie awaits creation.
But be quick, as Executive Chef Volker Marecek is only making 10 of each a day so it’s first in, first served!
what: The Cube: Sweet and Savory
when: Monday to Friday only (limited batch of 10 each prepared daily)
where: Our Land is Alive
Time: Available from 12pm (until they run out!)
Prices: $19.50 each
Don’t miss this chance to experience the best of both worlds with this mouth-watering pair at Our Land is Alive, the home of NZ’s best, locally sourced ingredients. To book yours today, simply email [email protected].
Do you have a new foodie creation from your kitchen that you would love to publish? Let me know at: [email protected]
Arnott’s open world class facility in Avondale –
The Arnott’s Group (TAG) has resumed manufacturing in New Zealand, bringing a welcome boost to the local economy and exciting additions to its iconic snacking and cracker range.
Officially opened today, TAG’s new multi-million-dollar, 4000sqm manufacturing facility in Avondale, Auckland, has been designed as an innovation hub for Arnott’s sweet and savory biscuits across the ANZ region and to accommodate further growth and expansion of the 180 degree cracker brand, acquired by the business in May 2021.
Arnott’s Group CEO, George Zoghbi said the new facility signals TAG’s commitment to ongoing investment in New Zealand, enhancing localized supply chains and strengthening manufacturing, technology, capability and skills.
“The Avondale facility has been designed to unlock world-class innovation and flexibility for the broader Arnott’s network and will allow us to increase our locally made Arnott’s range,” Zoghbi said.
“The integration of 180 degrees in 2021 and the subsequent construction of Avondale, have meant greater speed and agility within the New Zealand arm of our 157-year-old business, that will allow us to unlock new products and reach new consumers.”
“It will also further strengthen the century long affection we know Kiwis have had for the Arnott’s brand, which recently saw us recognized as NZ’s most trusted biscuit brand in the 2023 Readers Digest Annual Trusted Brand Awards.”
Mike Cullerne, TAG’s Country Director NZ, said the opening of the Avondale facility reaffirms TAG’s commitment to the local NZ economy, industry and community, as part of the business’ ‘local support’ ethos.
“Today’s announcement is a welcome boost for local suppliers who are responsible for everything from ingredients to logistics and will also allow us to strengthen relationships with our retail partners around the country and continue supporting local food relief charities.”
“Our fast and flexible facility in Avondale will support further expansion of the premium 180 degrees brand both domestically and in Australia and allow us to develop new Arnott’s biscuits for New Zealand customers to enjoy. Last year alone, New Zealanders consumed over 30 million 180 degrees crackers – an astonishing level of support for this locally made brand.”
The inaugural Arnott’s products baked at the Avondale facility are Arnott’s Shortbread Bites, a new range of premium biscuits made with fruit from Barkers of Geraldine. The melt-in-your-mouth shortbread range (available July 2023) are batch baked, with pure NZ butter and quintessentially NZ flavours. There are three varieties:
- Black Doris Plums made with Black Doris plum puree plus decadent dark chocolate chips.
- Feijoa made with sweet feijoa puree plus poppy seeds.
- Mixed Berries made with boysenberry & blackcurrant puree plus decadent white chocolate chips.
Reusable milk kegs launched today will eliminate thousands of single-use bottles –
An innovative reusable milk keg could see the average New Zealand café eliminate up to 10,000 single-use milk bottles a year.
The Udder Way officially launched in New Zealand today, ahead of World Milk Day – June 1, which this year focuses on how the dairy industry is reducing its environmental footprint.
The Tasmanian company has joined forces with Waikato owned and operated Green Valley Dairies, which is filling the reusable milk kegs in New Zealand with organic and non-organic milk.
Each The Udder Way keg holds 18 liters of milk and has a lifespan of at least eight years before being recycled and turned back into kegs. This allows the average café to eliminate 7000 to 10,000 milk bottles a year.
Green Valley Dairies general manager Mark Pulman says that the innovative milk kegs are unlike anything he has seen before and are a big win for the dairy industry, hospitality sector and the environment.
“This is the most exciting reusable packaging solution we have come across. It’s great to have an alternative option that’s specifically designed for both the dairy and food service industries, with all the relevant certifications. We’re also proud to be playing our part in helping our customers reduce their environmental footprint,” says Pulman.
The idea for the reusable milk kegs came to The Udder Way founder Ed Crick while he was running three cafes in Tasmania.
“We were going though almost 30,000 plastic milk bottles a year, which really concerned me. We were making the effort to use things like sustainable coffee cups and henceforth our bins were overflowing with plastic bottles,” says Crick.
So, the former tradition started dreaming up ways to eliminate the need for single-use plastic milk bottles. In 2021, he launched The Udder Way in Australia, with the mission to eliminate 100 million single-use plastic milk bottles globally, per year.
“Two years on from launching our kegs in Australia, we’re now removing around 1.6 million milk bottles from waste a year. With more and more businesses coming on board every day on both sides of the Tasman, we anticipate that number to triple by the end of 2023,” said Crick.
Daily Bread is one New Zealand business which has signed on to use The Udder Way milk kegs.
“We’re always looking for ways to reduce our environmental footprint, so the decision to change to The Udder Way milk kegs was a no brainer. It’s actually amazing! The kegs are easy to use, take up less space than milk bottles and create much less waste at the end of each day,” says Daily Bread manager Emily Hancock.
The Udder Way kegs can be connected to existing milk dispensing units or a simple tap system can be provided, allowing baristas to easily pour milk without the waste and clutter of plastic milk bottles.
For more information or to order milk in kegs, visit www.theudderway.com or www.gvd.co.nz
Training investment leads RANZ’ Budget wish list –
The Restaurant Association of New Zealand has produced its own budget wish list ahead of Thursday’s 2023 financial announcements from the Government.
“While the hospitality industry itself is leading the long-term work that will make our sector more resilient, we also know that ongoing skills shortages, increased costs of doing business and the ever-changing regulatory environment only add to the pressures we have experienced over the past three years.
“Increased investment in training to address the national skills shortage is one of our top priorities, so we would like to see investment in work-based training initiatives, to both fill the immediate skills gaps that we are facing and up the skills of New Zealanders at the same time,” said Marisa Bidois, CEO of the Restaurant Association.
“This means investing in hospitality apprenticeships and other on-the-job training schemes. This would help to alleviate the immediate pressures on our industry, and assist us to prepare for the future.
“Alongside the training we would like to see an increase in investment in supporting hospitality as an industry. The regulatory environment for our industry is constantly changing and with so many small businesses making up our industry, it’s more important than ever that the Government understands the impact of these changes on business owners.
For that reason, as tourist numbers finally start to reach (and even exceed) pre-pandemic levels, our hospitality businesses are being left without the staff numbers to remain open and meet the demands of the influx of holiday-makers.. Ensuring the regulatory environment is conducive to productivity and business growth while still prioritizing the well-being of employees and consumers remains a top priority.
“Promotion of New Zealand to the world as a place to work, as well as study and travel, is something that we are keen to see investment in. As tourist numbers finally start to reach (and even exceed) pre-pandemic levels, our hospitality businesses are being left without the staff numbers to remain open and meet the demands of the influx of holiday-makers.
“We are glad that infrastructure development is a priority for this budget. Ensuring that our businesses and communities are resilient in the face of future natural disasters is of the utmost importance.
“There are other areas that we would like to invest in for example community policing to keep our cities and communities, staff and businesses safe; or lowering GST (and removing it from food items altogether) which will benefit both the food services industry and the public at a time when the cost of living is skyrocketing.
“While we won’t know exactly which initiatives will be funded until the Budget is announced, we remain hopeful that the Government’s investment in skills, science and infrastructure is a good sign for our sector, through the priorities that we’ve identified in our 2023 election manifesto.”
Super ideas for Mother’s Day Promos –
If you haven’t already fixed your marketing plan for Sunday May 14, take a look at these promotional ideas to grow your repeat business!
1) Promotions That Maximize the Entire Day
Brunch: Try a Little Trendiness
You can’t go wrong with omelette and waffle stations. But these trendy, menu-based Mother’s Day promotions are the way to her heart.
- Bottomless Mom-mosas: Just for Mum…it might be her dream come true. Serve mimosas in a mason jar or other special glassware she can take home.
- Avocado Toast Trio: Prep 3 variations of this trendy toast.
- Gourmet Yogurt Bars: From house-made granolas, to shaved chocolate – set out gourmet toppings and let Mum choose. It’s the brunch version of the sundae bar. Or prepare a Bloody Mary bar as one of your Mother’s Day promotions. Think crumbled bacon, fresh herbs, and hot sauces.
Mid-Afternoon High Tea, Dahling
When 2 pm hits, tap into the British tradition of high tea for your Mother’s Day promotions. Complete with tasty finger foods and an array of teas, it’s the perfect mother-daughter event. Use the BBC’s guide to high tea to plan an authentic tea time.
Farm-to-Table Prix Fixe Dinner
Fixed price menus make for popular Mother’s Day promotions at every meal. Guests love knowing how much they’ll spend in advance. Plus, limiting choices means your kitchen can work more efficiently (hello, faster table turn).
Create a special Mother’s Day dinner inspired by the farm-to-table trend. Focus on in-season, local fare.
2) Free Gifts for the Win
A little Mum-spoiling goes a long way in building loyalty. Show your appreciation with a small gift as part of your Mother’s Day promotions.
- Sweet Succulents: All the other restaurants will offer her a rose. Go trendy with a little potted succulent. Already ordered those roses? Print out a few lines of epic Mother’s Day poetry to go with each rose or plant.
- Treat Bag: Welcome Mums to your restaurant with a gift bag filled with chocolates. Ask nearby businesses if they’d like to include coupons or offers, too.
- Branded Merch: Send it home with a souvenir like a coffee mug or pint or wine glass with your logo. Each time she sips, she’ll see your logo – so these freebie Mother’s Day promotions are worth the investment..
3) Mother’s Day Promotions (That Bring Them Back)
For most restaurants, Mother’s Day is already a big business. Use the event to earn repeat business with these Mother’s Day promotions that bring ’em back:
- Mum’s Night Off Certificate: Create a free meal certificate that Mom can “redeem” any weeknight in May when she doesn’t want to cook. Of course, she’ll bring in the rest of the family.
- The Envelopes, Please: Give Mum a sealed envelope. She can bring back the envelope (in 2-3 weeks) for the server to open – and reveal her surprise offer. Include a free dessert or appetizer voucher. In a few envelopes, throw in a $10 or $15 gift card.
- Father’s Day Deal: Try Mother’s Day promotions that encourage guests to book future reservations – on the spot. For example, give a $25 credit if the family books their Father’s Day meal with you.
4) Cater to the Kids
The fastest way to Mum’s heart? Mother’s Day promotions that entertain her children at your restaurant. Translation: she’d love to sip that rosé in peace please, can you help make it happen? Here’s how to be mother’s little helper:
- Make Mum a Card: Hand out blank cards and crayons for kids. Ask them to play Picasso and make her a handmade card.
- Digital Arcade Games: This is one Mother’s Day gift that keeps on giving all year. Bring in restaurant tablets loaded with trivia and arcade games for both kids and adults.
- Mini Me Meals: “I’ll have what Mum is having, thank you very much.” Older kids have a thing for ordering from the grown-up menu. Cave into their demands by offering small portions of your main dishes.
