Question 1

What is a good packaging cost percentage for a ghost kitchen?

Accepted Answer

A good target for packaging costs is typically between 4% and 8% of the item's menu price. If your costs are significantly higher, it can seriously erode your profit margins, especially after delivery commissions.

Question 2

How can I reduce my packaging costs?

Accepted Answer

Look for opportunities to buy in bulk, as this often leads to lower per-unit costs. Regularly compare prices from different suppliers. Also, consider if you can use more cost-effective materials without sacrificing the quality and integrity of your food during transit.

Question 3

Should I use branded custom packaging?

Accepted Answer

Custom packaging can be a great marketing tool, but it's almost always more expensive. You need to weigh the branding benefit against the increased cost. A good compromise can be using standard packaging with a branded sticker, which is often much cheaper.

Question 4

Does packaging quality matter?

Accepted Answer

Absolutely. For delivery, the packaging is a key part of the customer experience. Flimsy or inappropriate packaging can lead to cold food, spills, and unhappy customers, which can result in negative reviews and lost business that far outweigh any savings on cheaper materials.

Question 5

How do I account for packaging costs in my menu prices?

Accepted Answer

You should treat packaging costs just like food costs (COGS). Once you know your total packaging cost per order, you should factor that into your overall recipe costing to ensure your menu prices provide a healthy profit margin after all costs are accounted for.

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Understanding Packaging Cost

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