SINGAPORE, June 22, 2020 /PRNewswire/ -- TiffinLabs, a leading foodtech company, has acquired access to over 1,000 kitchens across US, Europe and Asia to create a global network of smart kitchens that will deliver the best home-dining experience to customers around the world. This is the result of negotiations over the last 12 months, with roll out of the kitchens expected to start progressively in Q4, 2020.
Over the past three years the online food delivery market has been going through rapid transformation and growth globally, and it is expected to more than double to US$200 billion by 2024.1 In the US alone, the industry is projected to grow to a value of US$32 billion by 2024 with over 60 million users, and key growth coming from two distinct segments - millennials and high-income households.2 Meal delivery services in key metro cities have more than doubled year-on-year.
Recent industry research notes that there is a growing shift, driven by customers demanding high quality food for delivery.3 However, for the traditional restaurant industry, whose business model and location selection criteria was always structured for dine in, it hassled to a mismatch between customer demand and the supply of cuisines due to current production capability. This chasm has been exacerbated by the industry's inability to manage high overheads with added delivery costs and has prompted innovation in the food delivery and restaurant industry to reshape the business model, meet customer needs and tap new growth opportunities.
TiffinLabs, which was founded in early 2019 and focuses on creating cuisines linked to consumer needs, has seen demand for its online food deliveries grow rapidly. It currently operates nine digital-first restaurant brands out of its kitchens in Singapore, including Publico Pastabar and Hureideu - Korean Fried Chicken, as well as soon to be launched Singapore Makan which will showcase the best of Singapore cuisine to the world.
In the last 12 months, TiffinLabs has also invested in research and development for the US food delivery market to build its consumer demand database, supply chain modeling, partnerships and location selection. The first smart kitchens will be operational in San Francisco, Chicago, Los Angeles, Houston and Austin, offering five of its core, digital-first restaurant brands.
"We have developed a sophisticated understanding of cuisine gaps, demand opportunities and innovation partnerships that will bring the American consumer a new experience in food delivery, said Kishin RK, founder & chairman of Tiffin Labs "We will continue investing in capex, staffing and R&D to ensure we deliver on our vision for this important market."
TiffinLabs will leverage its AI-driven kitchen operating and management system across its kitchen network to deliver its international menu of high quality cuisines from its digital-first restaurant brands, with a potential reach of over 15 million households. The team will also harness the power of data analytics to identify food trends and consumer preferences while optimizing its supply chains with its local smart kitchens to fill gaps in delivery zones.
Kishin RK continued, "What customers get when they order food for delivery is dramatically different from a dine-in experience. By enabling over 1,000 kitchens for delivery-focused operations globally, we are making food ordering relevant for the future, at scale. In the next three years we see two very different winners in this space - the local niche specialty cuisine player that can create value through distinction for a specific segment of the market, and global delivery businesses which will scale brands and menus with suppliers and delivery platforms and invest in innovation specifically to create food for delivery, reinventing customers' experience of in-home dining."
"The value of real estate and the monetization capability of its adjacent business models will be determined by how well it integrates into the digital economy, says Kishin RK. "Our business aims to help all players in the food industry tap into the growth of this sector."
For more information about the TiffinLabs, please visit https://www.tiffinlabs.com/
TiffinLabs is a foodtech company that is re-engineering the food ecosystem end to end. The company will craft and serve cuisines aligned to the needs of the US$200 Billion global food delivery market, from sourcing the best ingredients to harnessing the power of customer-led R&D.
TiffinLabs plans to operate 1,000 kitchens in major cities around the world, using its AI-driven kitchen operating and management system to deliver its menu of high-quality cuisines consistently, from its digital-first restaurant brands worldwide.
About the founders
The company was founded by Kishin RK, one of Asia's leading F&B and lifestyle real estate developers; Shaun Smithson, a restaurant industry specialist who was previously head of Shared Kitchens for foodpanda in the Asia Pacific region, and CEO of Fig and Olive; Sam Ahmed, global leader in Digital, Product and Marketing, previously with Facebook, Starbucks and MasterCard; and Phuminant Tantiprasongchai, who is a technology-focused mergers and acquisitions strategy expert, previously with Grab and Boston Consulting Group.
1 Frost & Sullivan: Four Trends Transforming Online Food Delivery: What You Need to Know Now
2 Statista: Online Food Delivery
3 L.E.K Executive Insights: Meals on Wheels: The Digital Ordering and Delivery Restaurant Revolution; Global Web Index: 5 key takeaways for the food delivery industry