Cloud kitchens have revolutionized the food delivery industry in India. With lower overhead costs than traditional restaurants, they offer excellent profit potential. However, pricing for delivery requires a different strategy than dine-in. This guide covers proven menu pricing strategies for Indian cloud kitchen operators.
Understanding Delivery Economics
Delivery platforms charge 15-30% commission. Your pricing must account for this while remaining competitive. A dish priced at ₹200 may only net you ₹140-170 after platform fees.
Platform Fee Structures
Swiggy and Zomato typically charge 18-25% commission. Factor this into your base pricing. If your target margin is 20% and platform takes 20%, price accordingly.
Packaging Costs
Quality packaging costs ₹15-50 per order. Include this in your pricing or show as separate charges. Premium packaging can justify higher prices.
Competitive Pricing Analysis
Study competitor pricing in your delivery radius. Position yourself strategically - don't always be the cheapest. Quality perception matters for repeat customers.
Want to calculate your food costs automatically? Try the CATEROPS Food Cost Calculator
Menu Engineering for Profitability
Highlight high-margin items prominently. Use combo deals to increase average order value. Strategic pricing (₹199 vs ₹200) influences purchase decisions.
Key Takeaways
- 1Account for 15-30% platform commissions in your pricing
- 2Include packaging costs in menu prices
- 3Study competitors but don't race to the bottom
- 4Use menu engineering to promote high-margin items
