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* If the delivery fee doesn't cover delivery, then charge a higher delivery fee.* Why doesn't that reasoning apply to restaurants? If the fees cut into their p
by orangecat 6y ago
* If the delivery fee doesn't cover delivery, then charge a higher delivery fee.*
Why doesn't that reasoning apply to restaurants? If the fees cut into their profits too much, then they need to raise prices.
There is no free lunch here (ha!). The customer is always going to be paying for both the food and the delivery. There's no benefit in micromanaging the internal transactions.
- 8ytecoder 6y agoI’d wager they have clauses that prevent them from charging a lower price for direct customers. In which case the restaurant has to charge everyone a higher price. In what world does that benefit anyone but the intermediaries? It’s the exact same as credit card processing fees. Except that’s 3% and this is 30%
- rootusrootus 6y ago> Why doesn't that reasoning apply to restaurants? More opaque. The honest approach would be for the menu prices to be the menu prices, and the cost of the delivery should be obvious.
- strictnein 6y agoBecause the restaurants aren't allowed to charge higher prices to their higher cost delivery customers. Which doesn't stop the food delivery places from charging higher prices, of course. And taking a cut, and collecting a delivery fee, etc etc.
- sokoloff 6y ago> Because the restaurants aren't allowed to charge higher prices to their higher cost delivery customers. Why can't they? Is this a local or state law?
- rnotaro 6y agoBecause it's a platform rule from most Delivery Apps in most markets.
- sumedh 6y agoRestaurants in Australia do charge higher price on Ubereats and Menulog, I am surprised its not the same in the US.