[Post 357] How Ghost Kitchens Went From $1 Trillion Hype To A Struggling Business Model

Summary

Food delivery is a booming business in 2024. There's one food delivery trend, however, that hasn't gone along for the ride: ghost kitchens.

Once a pandemic darling that raised more than $3 billion in venture funding, the ghost kitchen industry is falling short of lofty expectations. Euromonitor International estimated that the ghost kitchen industry could reach a market size of $1 trillion by 2030.

Big brands wanted a piece of the pie. Companies such as Wendy's, Ruby Tuesday, TGI Fridays and Wingstop all joined the wave of ghost kitchens."It is clear that the impact of ghost kitchens was overestimated," said Evert Gruyaert, restaurant food and service leader at Deloitte. "And we see that today with the decline in ghost kitchens."

Consumers complained about the clandestine nature of ghost kitchens, and food delivery apps shuttered thousands of the virtual kitchens. Then consumers shifted back to brick-and-mortar restaurants in droves, forcing investor pullback and mass closures of ghost kitchens.

Now the smaller businesses left in the industry are pivoting to a new business model to survive. Some hope to diversify the food business to expand to events and catering, not just delivery. One such business is New York City-based Nimbus Kitchen, a co-cooking space hoping to shed the negative connotation of ghost kitchens.

"Shared kitchens and co-cooking infrastructure like Nimbus is here to stay," said Camilla Opperman, Nimbus Kitchen co-founder. "We believe that the future of the industry is catering towards not only the delivery concepts, but to all of these different kinds of food businesses that ultimately need the kitchen space to legally sell to the end consumer."

Watch the video above to find out more about the rise, fall and future of ghost kitchens and if the business can pivot to return to its pandemic highs.

[Post 356] Chomps: How We Turned $6,500 Into A Business Bringing In $244 Million A Year

Summary

Looking to make a healthier-for-you meat snack, friends Pete Maldonado and Rashid Ali together put forth $6,500 to launch their "side hustle" back in 2012. After four years, Trader Joe's began selling their products and sales significantly grew. In 2023, Pete and Rashid's once side-hustle has brought in nearly $250 million in retail sales.

[Post 355] I Make $220K A Year - And I Live With My Parents

Summary

Sal Khan, 31, moved from California to Texas to live with his parents during the 2020 pandemic. They insisted on not charging him rent. He saw this as an opportunity to build a stronger relationship with his parents, save money, and potentially purchase some properties for his future. Now, almost four years later, he has been able to save over $200,000 and has a real estate portfolio consisting of four properties across the U.S.

This is an installment of CNBC Make It's Millennial Money series, which profiles people across the globe and details how they earn, spend and save their money.

[Post 354] Americans Bought Abandoned $1 Homes In Italy — Was It Worth It?

Summary

In the late 2010s, towns around Italy started going viral for selling off crumbling properties for 1 euro, or roughly $1.05. How much does it really cost to buy and renovate a 1-euro home in Italy? And is it worth it? CNBC Make It spoke to several Americans who have bought a 1-euro home in Sicily, Italy.

[Post 353] My Side Hustle Brings In $400K A Year—Here’s How I Spend My Money

Summary

Chisom Okwulehie was gifted at drawing from a young age. She decided to turn her artistic instincts toward a more profitable line of work, studying architecture and public planning in college. Today, the 35-year-old mother of two earns about $163,000 a year working as an architectural designer for the Port of Authority for New York and New Jersey and running her own interior design side business for private clients, Juntero.

This is an installment of CNBC Make It's Millennial Money series, which profiles people across the globe and details how they earn, spend and save their money.

[Post 352] This Tiny Island Is the Most Densely Defended Country in the World | WSJ

Summary

Singapore, a city state around the same size as New York City, has built one of Southeast Asia’s most advanced militaries. Despite being at peace with its neighbors, Singapore’s defense budget was over $11 billion in 2022, ranking it per capita among the highest in the world. 

Singapore has ordered 20 F-35 jets and its navy is increasing its number of submarines to eight, more submarines than both its larger neighbors Malaysia and Indonesia combined. 

WSJ takes a closer look at why this small nation is pouring billions into its armed forces.

[Post 351] More banks in Singapore to offer money lock feature, but take-up rate low among young adults

Summary

At least three more major banks in Singapore including HSBC, Maybank and Standard Chartered are set to offer a money lock feature as early as June this year. Banks that already started offering the function last November say that while the number of people choosing to protect their savings is growing, most of them are older customers. Young adults make up as little as 15 per cent of the safety feature users. CNA’s Nasyrah Abdul Rohim reports.