Food delivery apps are more popular than ever. But can they help restaurants survive?
4 years, 3 months ago

Food delivery apps are more popular than ever. But can they help restaurants survive?

LA Times  

How much should delivery companies be able to charge restaurants? At one point, as the pandemic’s devastating toll on restaurants became apparent — in L.A. County alone 80% of restaurant jobs vanished virtually overnight — many delivery services issued statements of support for local businesses. While complaints over high fees on apps were common among owners before the pandemic, they were less urgent when delivery orders were 15% of a restaurant’s sales, not 50%. More than 20 Los Angeles restaurants, including Canter’s, Sichuan Impression and Sweetfin, signed a petition opposing the City Council’s commission cap due to concerns it could lead to increased costs for consumers and ultimately hamper delivery companies’ ability to provide service. It’s unclear what long-term effect, if any, the fee caps will have on third-party delivery services or restaurants that rely on delivery orders.

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History of this topic

Food App Users Split Over Additional Unspecified Expenses
1 year, 7 months ago

Food App Users Split Over Additional Unspecified Expenses

Deccan Chronicle  

Hyderabad: Users of food delivery apps are divided about the legitimacy of additional charges the platforms are charging, including platform fees and mandatory tips, in some instances. A bummer for the customer yet great for business.” Ajitesh C.H., an IT professional said that the major cost for app-based food delivery companies is tech and customer service, but people tend to …

We are too hooked not to pay exorbitantly for food delivery
1 year, 7 months ago

We are too hooked not to pay exorbitantly for food delivery

Live Mint  

You’ve probably noticed that your food delivery receipts are getting much longer. DoorDash beat Wall Street’s expectations for orders placed and value of orders, and Uber chief executive officer Dara Khosrowshahi assured investors that elevated inflation was not impacting consumer spending. A $10 monthly fee gets you unlimited free delivery through DoorDash’s DashPass, Uber’s Eat pass or Grubhub+ through Grubhub. …

Why there is a debate over service charge in restaurants
2 years, 7 months ago

Why there is a debate over service charge in restaurants

India Today  

Working in the hospitality industry is not easy. That the service charge attracts GST further confirms this,” says Anurag Katriar, trustee at NRAI, and founder and managing director, Indigo Hospitality Pvt Ltd. Katriar finds the argument that menu prices be increased instead of levying service charge separately “misplaced”. From my experience, at our restaurants, only one in ten guests debates …

L.A. moves to extend food delivery fee cap, penalize companies that don’t comply
4 years, 4 months ago

L.A. moves to extend food delivery fee cap, penalize companies that don’t comply

LA Times  

Los Angeles officials have moved forward with plans to extend an emergency ordinance limiting fees that third-party delivery services such as Postmates, Grubhub and UberEats are allowed to charge restaurants during the COVID-19 crisis. The ordinance, which was approved by the City Council on May 20 and caps delivery fees at 15% of the order price and all other fees …

Food delivery: why your burgers and fries moved to WhatsApp
4 years, 6 months ago

Food delivery: why your burgers and fries moved to WhatsApp

Live Mint  

Balancing office and housework while staying cooped up at home can fuel food cravings. For instant gratification, we are hardwired to tap online food order and delivery platforms like Swiggy and Zomato. Over the past couple of weeks, even dine-in orders have been digitized with a QR code in cities that have relaxed lockdown rules.​ ​Riyaaz Amlani, managing director and …

Column: Our restaurants are failing. Why should food delivery apps thrive?
4 years, 7 months ago

Column: Our restaurants are failing. Why should food delivery apps thrive?

LA Times  

It was the invoice from hell. “You have to go along with it because everyone else is doing it, and you don’t want to inflate your prices,” said Giamela, who pays Uber Eats a 22% commission. Apps like Uber Eats will offer to let restaurants make up fees by increasing their prices, he said, “but you don’t do it because …

Restaurants are pivoting to takeout and delivery. Will it be enough to survive?
4 years, 9 months ago

Restaurants are pivoting to takeout and delivery. Will it be enough to survive?

LA Times  

As fallout from the coronavirus pandemic began to hit the dining industry, delivery companies offered a rare concession to their restaurant partners. Delivery app Postmates Inc. said Tuesday it would waive commission fees for small businesses in San Francisco that sign up for a relief pilot program. On Friday, competitor Grubhub Inc. announced it would “suspend collecting up to $100 …

The revolt against food delivery apps
5 years, 4 months ago

The revolt against food delivery apps

Live Mint  

New Delhi: For a little under two years now, Rajat Rekhi has been doing brisk business selling West Asian cuisine from inside a tiny kitchen tucked away in south Delhi, which only delivers via online platforms. Over the weekend, a slew of restaurants across India began delisting from dine-in apps that offer membership-driven discounts—such as EazyDiner, Zomato Gold, and nearbuy—in …

Fast food companies are betting big on delivery. It might not pay off
5 years, 4 months ago

Fast food companies are betting big on delivery. It might not pay off

CNN  

New York CNN Business — This is the golden age of food delivery. The shift to delivery is “profound,” said Noah Glass, founder and CEO of Olo, a business-facing food ordering platform that works with restaurant chains and delivery aggregators like Uber Eats.“It’s happening incredibly quickly and the stakes are incredibly high.” Partnering with delivery platforms can give restaurants access …

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