Why setting up a kiosk is a good idea: Bengaluru is now famous, more for its posh restaurants, hotels, malls, residential, commercial and office buildings than for its gardens and cleanliness. It has also become notorious for the rapidly rising real estate prices and high cost of living. Food entrepreneurs in Bengaluru are now looking at setting up kiosks rather than renting out prime localities in Bengaluru to set up restaurants the reasons being that kiosks are quickly scalable and cost effective to setup. It takes only a capital of Rs. 10 lakhs and time of upto twenty days to setup a kiosk as opposed to Rs. 40 lakhs capital and six months’ time required to rent out a place and setup a restaurant in Bengaluru. Kiosks also provide flexibility to customers who just want to parcel their food and head to office or their homes. Many people in the cities of India, especially Bengaluru, lead a very fast life and do not have the time to order their menu, wait for food to be served, chat with their family, friends or colleagues in the meantime, dine, wait for the bill to be given, pay the bill and leave. They look forward to just parceling their food and having it in their offices while doing office work simultaneously and kiosks serve this purpose. Even ordering food through mobile apps from restaurants has become tedious and time consuming because customers have a hard time explaining their address to delivery boys and sometimes, despite all their explaining, it gets delivered to the wrong address! Delivery boys also take time to navigate through the city traffic and deliver their parcel order. Kiosks also provide mobility because they occupy less space and can be setup near offices or residential apartments where people can easily walk upto them and order their meals rather than travel miles in search of good restaurants through the dense and chaotic traffic of cities. People who like open ambiences rather than the closed ambiences of restaurants will also appreciate kiosks.
Here’s what some people have to say about kiosks:
- “This format is targeted at customers who are going to pick up food and walk off. This model will gain popularity among food entrepreneurs in the near future”, says Mrs. Baliga, wife of a software engineer in Bengaluru.
- “Besides mobility, kiosks have the advantage of quick scalability and the time to set one up is 20 days or less. A restaurant can take six months or more to start running operations”, points out Mr. Sohrab Sitaram, Food Entrepreneur in Bengaluru.
- “Any decent place, in one of the restaurant hubs of Bengaluru, costs Rs 40 lakh and more, depending on how lavish you want it to be. Since I don’t come from a food background, I didn’t want to take such a big risk, and setup a kiosk instead”, said Pierre Gregoire, a Frenchman and a former lawyer.
The downside of kiosks: “While the kiosk concept is no doubt good, the downside is small margins”, warns Mr. Sitaram.
Our take: The majority populations of any city in India (or the world for that matter) are the working class people who lead a very fast – paced life and who do not have the luxury of time to spend in restaurants with family, friends or colleagues. They simply want to pack their food and take it to their offices where they have it while simultaneously doing their office work. Kiosks are perfectly suited to serve the needs of such working class people. It provides them the convenience of parceling their food, the mobility of being near their offices or homes and they can be scaled up easily. The government of India should promote kiosks as part of its scheme to promote MSMEs in India and also to make the lives of the citizens of India easier. Read more on Startups
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