Business model
Foodmarket business model
The foodmarket monetization model is based on three elements:
- leasing of retail space and bistro projects
- franchising
- profit from transactions within the payment system
Leasing and bistros
- Out of 100% of the leased space:
- 70% — commercial areas with a minimum rate
- 30% — discounted areas with zero rate for agricultural producers to keep the price of products competitive and low (e.g. such products include: meat, milk, bread, eggs).
For the food hall, the market develops bistro concepts for different cuisines and implements them with its own design, menu, and equipment. Third-party entrepreneurs can become partners of the bistro: they bring a team, cook, and engage in operational activities on the market's site. As part of the partnership, the market receives profit from the bistro's activities.
Internal payment system
Every visitor to the market becomes a member of the Hub Club, a buying club that provides a loyalty program, a bonus system, personalization of the customer experience, and a card through which payments are made at the market — both in the stalls and in the bistros.
The mart operates a single check system and full digitalization of payments: not through checkout machines and cash, but with the Hub Club card. The card is topped up via the mobile application or in cash via vending machines on the territory of the market — now it is ready for payment. And this way vendors and bistros automate and regulate cash flow.
GastroHub receives a share from each transaction within the payment system as part of the market and food hall trade.
Franchising
In addition to its own sites, Gastro Hub provides ready-made projects under the franchise program. The concept and brand are transferred to the franchisee free of charge — with processes, loyalty program, business model, and architectural design. In return, GastroHub obtains ownership of the franchisee's land plot.
The franchisee also gets access to the Hub Club IT structure and internal payment system to conduct trading activities at the market.
The incoming profit from each transaction in franchise projects is distributed between the franchisor and the franchisee.
Residents. Stalls and farmers
- Fruit, vegetables, berries
- Meat and seafood
- Baked goods
- Dairy products
- Delicacies
- Nuts, dried fruits, spices
- Preserves, salads, cooked food
Residents. Stalls and farmers
Residents. Corners and bistros
- open-type bistro in fusion cuisine concept
- snack and beverage corners
- food trucks on the adjacent territory
Residents. Corners and bistros
Benefits for sellers
- Visibility: showcasing the products to a diverse and expanding customer base, with constant traffic.
- Reduced operational overhead: sharing space and infrastructure, thus reducing operational costs typically associated with running a stand-alone business.
- Collaborative atmosphere: collaboration between vendors and restaurants for cross-promotion and synergistic partnerships that drive sales.
- Event participation: the opportunity to participate in festivals and seasonal fairs.
- Direct interaction: interaction with customers to get valuable feedback and customer loyalty through a personalized approach.
- Support: space rentals are provided to agricultural producers at a zero rate in order to develop a competitive local market.
Benefits for buyers
- Quality products: consistent access to fresh, local, and organic products.
- Affordability: by offering high-quality products directly, the market keeps prices low, making them accessible to a wide range of consumers.
- Diverse culinary experiences: in one vibrant location, customers can experience a wide range of culinary options, from fusion cuisine to local specialties.
- Unique discoveries: the opportunity to experience specialty products that are not always available in traditional stores.
- Convenience: you can do your grocery shopping and dining in one place, saving time and effort.
- Activities: entertainment, cultural events, gastronomic festivals, and cooking shows to help diversify your leisure time.
- Community engagement: a place to socialize, fostering social interaction and a sense of belonging for locals and visitors alike.