Cloud kitchens lose steam in post-Covid recovery, as F&B tenants move out to optimise costs

Cloud kitchens lose steam in post-Covid recovery, as F&B tenants move out to optimise costs


Food delivery platforms have ended their cloud kitchen business in Singapore, though some dedicated operators remain upbeat

SINGAPORE no longer has cloud kitchens run by delivery platforms, after Deliveroo closed its last two in August. But at least two operators of such kitchens remain, even as some food and beverage (F&B) brands move away from the model.

Cloud kitchens, which prepare food for delivery or pick-up without a shopfront, boomed amid Covid-era dine-in curbs.

Typically providing 100 to 250 square feet per tenant, they cost less to set up and run than dine-in restaurants. They also serve as low-risk springboards for entrepreneurs to test brands.



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