The dark kitchen market - Italy

The global market for "dark kitchens," also known as "ghost kitchens" or "virtual restaurants," has seen robust growth, particularly during the COVID-19 pandemic, as the demand for food delivery services surged. These kitchens are designed for delivery-only operations, with customers placing orders through online platforms such as Uber Eats and Deliveroo. In 2021, the value of the global market for dark kitchens was $56.71 billion, with projections estimating it to reach $112.53 billion by 2027. The Italian market also experienced significant expansion, with Milan leading the way and representing 35% of the country's delivery turnover in 2020. Major food delivery companies, such as Just Eat, Deliveroo, and Glovo, hold considerable market shares, with Deliveroo particularly growing to approximately 40% market share by early 2022. Consumers show an increasing trend towards takeaway and delivery services, driven by convenience and changes in lifestyle.

Trends and Dynamics in the Italian Dark Kitchen Market

The Italian dark kitchen market, which experienced a notable surge during the pandemic, is part of a wider global trend that is redefining the restaurant industry. Italian consumers, especially in urban centers like Milan and Turin, are increasingly turning to dark kitchens for their meal delivery needs. These "virtual restaurants," which offer no dine-in options, have carved out a substantial niche, driven by the convenience and variety they provide through delivery apps such as Uber Eats, Deliveroo, and local platforms. Statistics indicate that the market for restaurant home delivery services in Italy is robust, with a steady increase in turnover reaching into the billions. For instance, the turnover of restaurant and mobile food service businesses has been on an upward trajectory for over a decade, with a sudden interruption noted, likely due to the pandemic's impact. Consumer demographics show a preference for at-home dining options, with the majority of consumers ranging between the ages of 50 and 64, and a significant percentage holding high school or higher educational degrees. Users from various income classes are evenly represented among consumers, signaling a broad appeal across different economic segments. Households consisting of parents and children make up the largest customer base, hinting at the family-oriented nature of food consumption habits in the country.

When it comes to supply trends, Italy boasts more than 36,000 businesses categorized under “catering without administration with takeaway food preparation,” employing around 88,000 people. Milan leads in terms of growth and business count, showing a significant increase over a five-year span. Legally, most of these businesses operate as freelancers or self-employed entities, with a minority opting for limited liability structures. Firms specializing in dark kitchens, such as Kitchnn Lab, Delivery Valley, and Podëstrà, have distinguished themselves by offering a range of cuisines and branding strategies, with efficient operation processes that emphasize speedy delivery and high-quality standards. As the market for dark kitchens continues to mature, it is expected that more virtual brands will enter the fray, capitalizing on the operational efficiencies and reduced costs associated with the model. Delivery services, too, play a crucial role in the dark kitchen value chain, with several companies controlling substantial market shares. Just Eat, Deliveroo, and Glovo are among the leading delivery platforms in Italy, each holding a significant portion of the market and contributing to the industry's growth. Regulations in Italy treat dark kitchens similarly to traditional take-away food establishments, requiring compliance.

Key Players in the Italian Dark Kitchen Market

The Italian "dark kitchen" ecosystem features several innovators who are redefining the concept of food delivery with their unique business models and culinary offerings. The landscape includes companies that have created a niche for themselves by focusing on efficiency, quality, and customer experience, all without a traditional physical dining space. Let's take a closer look at some of the main players making waves in the Italian market:

• Ktchn Lab - The Speedy Culinary Innovator Located in the bustling city of Milan, Ktchn Lab is known for its agility and emphasis on rapid service. The company prides itself on its ability to get a meal out for delivery within just six minutes of receiving an order, providing customers with not only swift service but also high-quality meals. Ktchn Lab's commitment to promptness and excellence has made it a standout in the competitive sphere of dark kitchens.
• Delivery Valley - The Multibrand Culinary Incubator With operations in Milan and Turin, Delivery Valley operates uniquely by presenting itself across delivery platforms under seven different identities, each specializing in a particular cuisine. They have delicately crafted individual brands such as Lievito Mother Fucker for pizza lovers, Giga Burger for sandwich enthusiasts, and Giga Ribs for those craving low-temperature-cooked meats, among others. What sets them apart is not just their multi-brand approach but how each brand carries its distinct visual and communicative identity, complete with dedicated chefs to ensure authenticity in taste and quality.
• Podëstrà - The Diverse Food Corner by Glovo In the region of Turin lies Podëstrà, Glovo’s Food Corner, a project that has expanded beyond the borders of Italy with several international locations. This expansive venue hosts a variety of 15 professional cooking stations spread over a considerable area. Currently partnering with local favorites like Pinseria SB, Whimsy Kitchen, Amici Miei, Bun Burger, and I Love Poke, Podëstrà’s diversity allows customers the luxury of mixing multiple cuisines in a single order, catering to various palates and preferences in one go.

These players, each with their unique take on the ghost kitchen concept, are reshaping the landscape of food delivery in Italy. They have found ways to harmonize the demands of rapid urban lifestyles with the desire for diverse, high-quality culinary experiences.

Inforamtion

• Number of pages : 30 pages
• Format : Digital and PDF versions
• Last update : 20/07/2023

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