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I don’t understand the reasoning behind restaurants charging a tax on deliveries. Don’t deliveries increase sales by a multiple of what they likely make on tabl
by figassis 3y ago
I don’t understand the reasoning behind restaurants charging a tax on deliveries. Don’t deliveries increase sales by a multiple of what they likely make on tables? Why disincentivize that?
- jackson1442 3y agoDoordash makes money from fees on the customer side and a 15-30% commission on the restaurant side. https://get.doordash.com/en-us/products/marketplace https://get.doordash.com/en-us/products/marketplace
- figassis 3y agoInteresting. I know they charge fees to restaurants, but I assumed even with those, the additional volume would still increase profits as the unit economics would improve. Cooks don't need to scale linearly to deliveries. But it seems the fees are too high and they risk becoming irrelevant if they don't pay, because everyone if now ordering from delivery services, especially since covid. I support capitalism, but I feel like these are exactly the things where govt should regulate to create fairness. Let's just squeeze each other because markets.