Fact or Fiction #72: Food Delivery Helps Local Restaurants

This is a Fact!

Coronavirus has drastically reduced restaurants' ability to make money, pay employees, and continue to operate, but food delivery allows them to continue to serve customers and stay open. There is a lot of news about food delivery companies charging restaurants high commission fees to use their service. In general, food delivery provides restaurants with the opportunity to continue to serve customers while dine-in options remain closed. It’s also possible that the lingering threat of Coronavirus will keep restaurants either shut or reduced to minimal occupancy for a prolonged period of time.

If this is the scenario for the next 1, 2, 3, 6 months or longer, then food delivery will become an even more vital channel for restaurants to make money. Local restaurants have options when it comes to picking a food delivery partner. And picking the right partner is a crucial decision.

You can help local restaurants in your city stay afloat using food delivery. While many of us are cooking more in quarantine, it can also be nice to mix it up every once in a while. Food delivery lets you change up your monotonous routine and order a delicious meal straight to your door from one of your favorite restaurants.

And some food delivery companies are also reducing fees. Last week, DoorDash and Caviar (which is owned by DoorDash) announced they would reduce their commission fees by 50%. Meaning, if DoorDash usually made $6 off any order from a restaurant, they will now only make $3, allowing the restaurant to keep more money. Read more about it here.

In some cities, like San Francisco or Santa Cruz, local governments have also capped the commission fees that food delivery companies make off local restaurants. By capping the commission fees at 10% or 15%, more money will go to the restaurants, who desperately need additional sources of revenue during these difficult times.

Make sure you get the food you want when you want it. Don’t compromise on the food you’re craving. FoodBoss allows you to compare prices and fees from multiple delivery services at thousands of restaurants. All you have to do is Search, Compare, & Save.

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