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Delivery Apps Like Grubhub, Seamless, and UberEats Continue to Hurt Restaurants
- jfengel 7y agoUgh. Restauranting is a difficult business even on the best of days. It barely works, and any shift you make (even one with a net benefit) will throw things off. Adding a delivery service means you can serve more customers without having to add wait staff or tables. But your existing overhead doesn't go down. You still need the same kitchen and the same line cooks (or more). Your insurance doesn't go down, or your heating and cooling costs, or ingredients. Even an uptick in customers doesn't help if it throws off your ordering, and you start running out of one thing and having to trash another because your customer base changes. I don't know if I'd blame that on the apps, exactly, though it does sound like GrubHub is being sued over some shady practices which do sound a lot like the kind of shady practices "disruptors" like to play. A restaurant can't just add delivery without a significant change to its whole practice. The delivery itself costs money (even if the provider isn't demanding dotcom-level profits, which they probably are), and the savings aren't as immediate or massive as you'd hope.
- deleted 7y ago[deleted]