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Kolkata-based chain of cloud kitchens edabba is expecting over 100 per cent growth in business in FY23 backed by the launch of a range of cuisines and foray into newer markets. The company plans to open over 100 cloud kitchens across the country by 2024 either on its own or through the franchisee route.
The company, which currently has six cloud kitchens in Kolkata, recently ventured into Bengaluru with the opening of four kitchens, some in partnership with Food-Tech firm Mukunda Foods. Starting with two kitchens in Electronic City and Bellandur, they plan to launch two more in Indiranagar and Mahadevapura in Bengaluru. Plans are afoot to take the cloud kitchen network to other cities including Delhi and Tier II and Tier III towns by early next year.
A cloud kitchen is an outlet where food is prepared and made available for online deliveries or take-out. There is no option for dine-in unlike a restaurant.
Also read: Living Food to launch cloud kitchens in Mumbai
According to Vedant Pasari, Founder, edabba, which was set up in 2019, has been witnessing a growth of around four-to-five times over the last three years, backed by the increasing inclination of people, particularly the younger audience, toward online food delivery services.
The company specializes in individual and customisable meal boxes, and owns the ebowl brand, which offers Indian and Chinese bowl meals. The brand appeals to a diverse customer base, including independent individuals, working professionals, and students.
Rapid growth
“We had closed last year at a run rate of ₹1 crore and by March 2023, we aim to be at a ₹2 crore run rate. In addition to the existing brands edabba and ebowl, we recently launched another brand ‘Kolkata Local,’ specialising in Bengali food. Red Lantern (Pan Asian brand) and Indian Kitchen Co. (premium Indian veg brand) are slated to be launched in the upcoming months,” Pasari told BusinessLine.
Industry experts estimate that the Indian cloud kitchen market is expected to grow at a CAGR 15-18 per cent over the next four years to touch close to $2.5-3 billion by 2028, up from $400 million in 2019. The growth will be driven by the rising disposable income among the younger population and the changing lifestyle of people.
Consumers have also been increasingly preferring fast food and snacks over home cooked meals. The prolonged working hours and lack of interest toward cooking at home is also contributing to the growth in demand for such cloud kitchens.
Also read: Rebel Foods is experimenting with offline food court in Mumbai
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