Faasos had logged in Rs 27 crore revenue and a Rs 15-crore loss in the financial year ended March 2014. From a high of Rs 10 crore in November 2015, cash burn had plunged to Rs 3.2 crore by September. “We indeed are on cloud nine,” he exults, explaining how cloud kitchens saved him from “tyranny of location”.Take, for instance, one of the Faasos kitchens tucked in the Swastik industrial estate in Kalina in the Mumbai suburb of Santacruz. The failure made him realise the need to have multiple food brands rather than a brand extension. “Today, Faasos operates profitably across the entire kitchen network,” claims Mehta, adding that many in foodtech are now jumping onto the cloud kitchen bandwagon.Apart from full-stack foodtech startups such as FreshMenu, which works on a cloud kitchen model, the bigger aggregator and delivery ones like Zomato and Swiggy too have started flirting with cloud kitchens.

Source: Economic Times November 04, 2017 18:22 UTC