To contain the transmission of Coronavirus many governments are practicing social distancing or quarantine. In any case, restaurants are struggling hard to stay in business, and on the other hand, supermarkets are struggling to keep essential items such as toilet paper, bread, and milk in stock.
To provide customers with an alternative or to curb the cash crunch, restaurants are turning into the grocery business. That’s how the concept of ‘Restaurmart’ born. This hybrid business model is not something new, but how ubiquitous it has become is something outstanding.
Recently Los Angeles County Department of Public Health legalized listing grocery items on restaurant menus only for delivery or takeout and prohibited setting up stores in restaurants for self-selection during the pandemic situation.
Many restaurants in the USA has already bent their businesses into restaurmart such as OpenTable offers online booking for tables and shopping timings, Red State BBQ opened a pop-up grocery store in the restaurant, Beaucoup Eats is about to open a mini grocery store in its restaurant, etc.
Grocerants v/s Restaurmart:
The line between the grocery and restaurant business has blurred many years ago when the concept of ‘Grocerants’ developed. Grocerants are basically freshly prepared/ready-to-eat/ready-to-heat foods available to consumers at non-restaurant retailers such as supermarkets or grocery outlets or convenience stores or drug stores, etc.
Some of them offer massive food courts seating areas with cozy atmospheres, while others offer enclosed full-service spaces. They often offer free Wi-Fi, bars, host stations, etc. as a compliment.
Restaurmart, on the other hand, is a newborn concept. Restaurants or cafes were ordered to restrict their businesses to follow the norms of social distancing. So the idea of selling the same item in the form of groceries and ingredients was born not to gather more debt during this pandemic.
Restaurmarts are available in different models such as in-store shopping, online order with door-step delivery, online order with pick-up at a store option.
Restaurmarts: savior during covid-19 and in future
(The Shaved Duck restaurant selling grocery items in St. Louis)
- There was a time in the middle of lockdown where supermarkets and grocery stores were out of stock and restaurants were possessing enough stock to meet the demand. So it became necessary to give license to restaurants for selling groceries.
- This can help to contain the outbreak by easing the crowd on traditional grocery outlets that somewhere compromise the social distancing norms.
- This hybrid business model gives customers an alternative and maintains healthy competition in the market.
- This kind of business model gives a comforting experience of shopping and meal. Maybe in future waiting time in restaurants will be utilized for grocery shopping.
- This trend is not going to fade away very soon. Even after the spread of the virus contained, the social distancing norm in the restaurants will be continued such as fewer tables will be available to provide more distancing. So this practice will surely be helpful in the future to save the business.
- Restaurants that famous for their special sauces, unique recipes or desserts, packaging them with their own branding just strengthen the position of their brand in the market.
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The operations in foodservice businesses are expanding day by day. But some locations in the world are expecting a more permanent shift. Coruscate will help you with your business model and market research to setting up a business. Our legal advisors guide you through the journey to make sure not a single legal norm violets.
If you have an idea on your mind to set up a similar business then feel free to contact us. Our experts will get back you with a solution and a personalized quote.