5 ms·
30% may not seem unreasonable to you as a customer and from the perspective of paying the delivery driver, but it can be deadly for the restaurant. Restaurant m
by yibg 6y ago
30% may not seem unreasonable to you as a customer and from the perspective of paying the delivery driver, but it can be deadly for the restaurant. Restaurant margins are low as it is, and an extra 30% cost on every order puts a lot of them in the negative.
You can argue that is a free market and restaurants are free to not participate if the cost is too high. Some do, at least some of the popular local spots around me are NOT on any delivery app. But most restaurants also can’t afford to not have this sales channel, especially during COVID. So now they are left in the shitty position of choosing between losing a lot of their orders and losing money on a lot of orders and hope dine in comes back soon.
- fragmede 6y agoIt's unclear that restaurants are free to opt out. Grubhub "growth hacked" by listing restaurants that didn’t agree to be listed. The issue comes when customers aren't aware, and complain about delivery problems and seek refunds from the restaurant, who didn't agree to do delivery with Grubhub. https://www.theverge.com/2020/1/29/21113876/grubhub-seamless-fake-restaurant-listings-no-permission-postmates-doordash https://www.theverge.com/2020/1/29/21113876/grubhub-seamless...
- yibg 6y agoI wonder how that would even work from an ordering / delivery / fee perspective. If the restaurant has no partnership then there presumably isn't any integration. So if the restaurant does offer pickup, these platforms would what? Call the restaurant to place an order and then send a driver to pick it up? In this case I'd assume there wouldn't be any cut taken from the restaurant. I mean a drive can't really go to the restaurant and demand 30% off because they're picking up for grubhub.