November 30, 2022 Blog
Welcome to yet another post from our weekly series, which is usually based on how cloud computing helps different verticals in meeting industry-specific challenges and emerging as the winner of the time. In our previous post, we covered cloud migrations for the Travel and Tourism Industry (LINK: How Does Cloud Migration help your Travel and Tourism business? Migrate to Cloud with LogicEra!), and discussed how Travel and Tourism businesses are leveraging the power of the cloud to personalize the customer experience, enhance user experience, improve efficiency, reduce costs, etc. In this post, we will discuss how cloud migration is helping Food and Beverage businesses in cutting IT costs & complexity, improving speed & agility, enhancing data security, protecting the brand, and much more.
The global food and beverage services market is expected to reach $5,235.52 billion in 2026 from $3,232.94 billion in 2021 at a CAGR of 9.2%. (https://www.globenewswire.com/news-release/2021/12/29/2358697/0/en/Food-And-Beverage-Services-Global-Market-Report-2022.html) This growth, however, is attributed to the rearrangement of operations and recovery from the COVID-19 impact by the F&B companies. Otherwise, the pandemic had given birth to several operational challenges for them by leading to restrictive containment measures that involved remote working, social distancing, and even the closure of commercial activities. It was not easy for them to get over the setback. However, they did and came up with the concept of cloud kitchens that are nothing but delivery-only kitchens. The cloud kitchens ideally helped the F&B industry survive the pandemic. (https://www.cnbctv18.com/views/how-cloud-kitchens-helped-fb-industry-survive-covid-19-11137182.htm) Perhaps, this is the reason why the global cloud kitchen market size is growing at an exponential rate. It is expected to reach $71.4 billion by 2027 from $43.1 billion in 2019 with a CAGR of 12.0% from 2021 to 2027. (https://www.alliedmarketresearch.com/cloud-kitchen-market-A06408).
Well! The pandemic just intensified what was actually prevailing – the need for the cloud. The F & B businesses were anyway under pressure to improve product quality and operational efficiency. The following challenges were anyway acting as the hanging sword over the heads:
And! They anyway needed the cloud to not only increase visibility but also to have access and control over the information required for making rapid decisions and accelerating innovation. Here are a few ways how cloud migration help in the food and beverage business growth.
With the cloud, F&B companies can open new locations faster without having to make big upfront investments. The cloud eliminates the need for expensive IT hardware and resources from F and B computing required for each location. The F&B companies need not bear the expenses and hassles of configuring the servers onsite. In the case of the cloud, they are preconfigured. All you need is to plug in the terminals, switch them on and connect them to the system in the cloud that’s up and running. This is how you not only launch new sites without struggling with the IT issues that might have delayed the project but also save money.
Those F&B companies that do not want to expand the size of their premises but are looking to broaden their customer base and increase revenues can leverage off-premises ordering enabled by the cloud. The cloud allows the orders to go directly into your existing systems for fulfillment irrespective of the devices they were placed such as mobile devices, tablets, or desktop PCs. You do not require separate channels for mobile or web orders. In short, the hassles for your onsite staff or IT team is reduced as systems remain streamlined and simplified. Also, by giving the customers a consistent brand experience, the cloud capitalizes on the profit potential.
Several food and beverage companies need to plan their activities around key IT upgrades that can take even weeks or months to complete. They not only cost you money and effort but a huge amount of time and end up thwarting strategic initiatives. However, with cloud computing, you can capitalize on the new functionalities while saving time, effort, and money as upgrades are delivered consistently and regularly.
This benefit of the cloud is common for every industry like improved scalability, agility, and resilience. With the cloud, you neither need to make big upfront investments in buying expensive hardware nor do you need to burn cash in maintaining that hardware. Moreover, unlike your legacy IT infrastructure, in the cloud, you only pay for the resources you use.
Consistency is the key to any F&B company’s success. Maintaining consistency in promotions, menus, service, and pricing is an ongoing challenge for them. However, through the power of the cloud, you can control every connected mobile device, point-of-sale (POS) terminal, kitchen system, and manager’s workstation in every location from a central office. For instance, with the cloud, you can add a new service to every POS internationally within 24 hours.
These were the top five benefits of moving to the cloud for Food and Beverage companies. There are plenty more such as improved data security & brand protection, quick response time, and so on. The benefits of the cloud once again prove that when you make investments in the right business areas, they are sure to resonate with customers and clients alike. Cloud not only offers convenience and cost savings but also almost permanent uptime in comparison to an on-premises infrastructure. Perhaps these are the advantages of the cloud that have resulted in the massive growth that the cloud migration market is experiencing. A recent report by Markets and Markets depicted that the cloud migration services market is expected to grow from USD 3.2 billion in 2017 to USD 9.5 billion by 2022, at a Compound Annual Growth Rate (CAGR) of 24.5% (https://www.marketsandmarkets.com/Market-Reports/cloud-migration-service-market-266815130.html). And, why not? After all, apart from all other benefits, the cloud gives your data an added layer of protection.
However, the need to suddenly move to the cloud seemed intimidating to many Food and Beverage businesses leaving them with a question –what to do next? To get rid of such situations, they can either build a team of in-house cloud experts or outsource cloud migration and maintenance to a Managed services provider (MSP). Ideally, building a team of cloud experts is not a wise decision for them when adopting cloud computing, as it demands both money and attention. So, you might end up losing your peace. So, it is always better to rely on a reputed MSP for F & B industry cloud experts.
Cloud computing is rapidly gaining ground in the media industry. Of course, migrating to the cloud could be a worthwhile move but don’t forget it is not as easy as it may seem from the top. You must first research well before you jump onto the cloud computing bandwagon. Make sure all your cloud implementations are backed with an effective cloud migration strategy. Just in case you require any supplemental support you can get a cloud consultant on board or hire a Managed Services Provider (MSP).
There are several cloud migration service providers that provide cloud services for Music businesses as well. One of the most reputed cloud migration companies in the UK and UAE is LogicEra. The MSP helps you seamlessly and safely migrate your infrastructure to the cloud within the shortest possible time.