These days, it’s almost impossible to miss restaurant delivery services. Go to a restaurant, and you’ll see a driver waiting to pick up food to deliver; stop at a traffic light, you’ll see a delivery vehicle waiting to hit the gas. According to a recent Forbes article, online food delivery is expected to mushroom to $200 billion by 2025.
The revolution of delivery services is having a substantial impact on the traditional restaurant industry. While food delivery is nothing new, breakout services like Uber Eats and DoorDash have capitalized on what customers want most: convenience. One previously uncommon business trend in communities across the country is the emergence of “dark kitchens” – kitchens that sell meals exclusively through delivery.
One major risk shared by these innovative food preparers and the delivery services that partner with them is being abruptly left high and dry by broken equipment. In such a situation, a reliable supply chain is crucial – it’s not as if they can go to the nearest big-box store and pick up a spare commercial oven.
Because they don’t need front-of-house furniture and fixtures to appeal to drop-in diners, these delivery-only restaurants (also referred to as ghost kitchens or virtual kitchens) can be located anywhere. As a result, many are choosing to save money by setting up in more industrial areas of cities. This allows for more kitchen space for back-of-house equipment than traditional restaurants, enabling more output for 24-hour food preparation.
Companies and brands looking to switch to this new type of dining establishment will need to be prepared, as the supply chain process changes drastically. This includes the logistics involved with kitchen technology and equipment moves, which will force operators to shift focus and find a third-party supply chain partner that can handle this new workload and be ready to respond on a moment’s notice.
“The concern for many restaurants is that some third-party logistics (3PL) providers may not be able to meet the challenges of transitioning to a dark kitchen,” said Brad Liddie, senior vice president of Global Logistics Operations at Suddath. “A trusted provider should be flexible and scalable enough to meet the demands of the marketplace.”
In lieu of greeting patrons, dark kitchens are focused on speed and accuracy, and need technology that gets orders out the door promptly. With this significant shift in the restaurant industry, 3PLs are increasingly being called on to deliver more equipment and technology and less furniture. If any equipment goes down, it is crucial to minimize output disruption. The trends of e-commerce are still impacting the globe, but 3PLs with a legacy in moving should be able to scale this new industry seamlessly.
“If a 3PL can act more as a project manager, then they can bring more to the table,” Liddie says. “As the restaurant industry transitions toward a focus on delivery service, businesses will need to look for logistics partners who are experienced with high-touch project management to deliver everything from specialty kitchen equipment to digital signage and kiosks. Choosing the wrong partner can really hinder an emerging business.”