The problem with showing a $10 delivery fee on top is that it drops conversion rates by a lot. But by increasing the prices of each menu item by 20% (to cover

The problem with showing a $10 delivery fee on top is that it drops conversion rates by a lot. But by increasing the prices of each menu item by 20% (to cover the app's cut) and having a palatable $3.99 delivery fee (so the total cost to the customer is the same), you can increase sales. Amazon and other online retailers figured this out a long time ago. Moving some of the shipping fees into the price of the product can boost sales.