Menu Pricing: Cloud Kitchen vs F&B Restaurant

For some F&B business owners, putting a price on your dish is a chore; especially when all you want to do is share your cooking with everyone. However, there is no escaping this essential step of menu pricing.

There are 101 factors to consider when pricing your menu in your restaurant but even more so when you are looking to venture into the cloud kitchen or online delivery concept. 

Unlike conventional restaurants that can collect feedback directly from customers, a cloud kitchen requires more effort to get feedback from online customers.

However, they also come with advantages where business owners have more flexibility in making necessary improvements. 

Read more to find out some additional factors that you will need to consider when pricing your menu in a cloud kitchen. 

1. Portion and Packaging

As important as knowing every ingredient that goes into your dish, it is also equally important to know the portion that goes into each order. To cater to your target market, adjust your portion according to your price or vice versa.

Portion your meals well with each serving to avoid any wastage and communicate your instruction well to team members to avoid a cup of rice turning into a bowl of rice at the hands of a different chef.

Lastly, choose a packaging that suits not only your food portion but all the condiments that comes with your dish and include them in your costing!

2. Commission Charge

Online food delivery service is essential when you adapt to the cloud kitchen concept. Registering to major food delivery platforms such as GrabFood and Foodpanda helps your business gain customers and ease your online operation.

However, these services do come with a price (read; commission charges). When deciding on your menu prices take into consideration of the commission charges that your business will have to bear later on.

Also, keep in mind that different platforms have different percentages of commission charges.

3. Customers and pricing

When pricing your menu item, it is crucial to know and understand your target market or the people that you are catering to.

This factor is closely linked to your location and your surrounding area because food delivery platforms will feature ‘restaurants near you’ to users on their platform.

Plus, considering the delivery fee, users will most likely order from stores that are nearby them. Therefore, when pricing your menu always consider whether the price is affordable or too expensive for your surrounding customers.

Ask around and should you need to make necessary modifications try looking into aspects that you can control such as ingredients, portions, and packaging.

These are some of the aspects that you’ll need to consider when pricing your menu. Not as simple as it seems right? We have met a few conventional restaurant owners who are looking to go online but keep putting it off due to menu pricing matters. 

If you need help or additional insights to help you take that step towards adapting to the cloud kitchen concept, don’t be shy and reach out to us.

As a cloud kitchen operator ourselves, we understand the challenges that you may face while trying to expand your business online. 

For any inquiries visit us at https://keatchen.my/contact-us

For some F&B business owners, putting a price on your dish is a chore; especially when all you want to do is share your cooking with everyone. However, there is no escaping this essential step of menu pricing. There are 101 factors to consider when pricing your menu in your…