Online Ordering Companies v Ordering Takeaway Directly

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rdhopkins2

Carpe Diem
Oct 1, 2002
18,025
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Interesting last night to look at a major online food delivery company versus the cost of ordering directly from the small business.

Most food items were about $4 dearer on the app.

$2 app delivery fee
$4 service fee

Saved about $20 ordering direct and picking it up. If it were a larger order, plenty more.

The small business is probably making a greater margin too.

Does anyone else compare?
 

the_interloper

Brownlow Medallist
Aug 1, 2006
18,728
18,185
Melbourne
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Richmond
Interesting last night to look at a major online food delivery company versus the cost of ordering directly from the small business.

Most food items were about $4 dearer on the app.

$2 app delivery fee
$4 service fee

Saved about $20 ordering direct and picking it up. If it were a larger order, plenty more.

The small business is probably making a greater margin too.

Does anyone else compare?
Yeah I've noticed the higher prices too. I can't believe so many use Uber Eats etc, geez it's dear.
 

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Shell

Premium Platinum
Jul 2, 2005
166,143
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I'm fed up with menulog- always get phone calls asking where my apartment is, even though I write directions in the notes.

Havent used them in months, I call the place direct now and pick it up.
 

MatthewB

fair call mate but we are still alive in the quady
Sep 17, 2015
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we are lucky we have fu** all food that we can order through uber eats and what not, our local pizza and Chinese store isn't online at all for ordering so have to go in and the local chicken shop has a limited menu for uber
 

Gough

Moderator
Sep 29, 2006
58,075
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Yeah I always pick up. Cheaper and imposes a bit of forced discipline around eating too much crap - if I have to spend 20mins picking something up I may as well cook.
Chefs of Tandoori on Unley Road are my prefered curry house if I can't be arsed going into the city to see Amrik, they have an excellent online ordering system and then you can nick down and pick it up yourself.
 

Power Raid

TheBrownDog
Oct 15, 2004
73,242
63,865
West Perth
AFL Club
Port Adelaide
Interesting last night to look at a major online food delivery company versus the cost of ordering directly from the small business.

Most food items were about $4 dearer on the app.

$2 app delivery fee
$4 service fee

Saved about $20 ordering direct and picking it up. If it were a larger order, plenty more.

The small business is probably making a greater margin too.

Does anyone else compare?
one of the major landlords of HJs in Perth, is looking to kick them out, as they can't pay the rent

essentially HJs margins have been destroyed by delivery services


if it is hard for these guys, how hard must it be for ordinary family businesses?
 

Gough

Moderator
Sep 29, 2006
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I feel for the modern delivery driver in the era of roadside drug testing and GPS trackers. Our biggest problem back in the day was trying to prevent our drivers looking like half of our customers.
 

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rdhopkins2

Carpe Diem
Oct 1, 2002
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I think many of the providers on these apps are now marking up their products ordered through the apps to make up for the lost margins. So unless you don’t have a car or you‘ve been drinking, better to pick it up yourself.

I might have a look at some other apps tonight and do a similar comparison.
 

Crusey

Senior List
May 1, 2015
275
159
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Hawthorn
Some of the restaurants used to run two menus, one for the delivery apps and one for local pickup

Noticing moreso these days they only run one and are passing on the higher costs to local pickups to cover the delivery app costs

Few months ago I priced a $100 chinese order and saved $28 by picking it up vs Menulog delivery
 

MatthewB

fair call mate but we are still alive in the quady
Sep 17, 2015
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Some of the restaurants used to run two menus, one for the delivery apps and one for local pickup

Noticing moreso these days they only run one and are passing on the higher costs to local pickups to cover the delivery app costs

Few months ago I priced a $100 chinese order and saved $28 by picking it up vs Menulog delivery
i noticed that with one near us, it was about $30 more to order with uber eats than with the restaurant
 

Poetic Justice

he ate my f*%king chicken
Jun 21, 2008
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Might need to find one
one of the major landlords of HJs in Perth, is looking to kick them out, as they can't pay the rent

essentially HJs margins have been destroyed by delivery services


if it is hard for these guys, how hard must it be for ordinary family businesses?
Probably easier.. HJs and the other big time fast food joints run on such a small ROS as it is

I've found a lot of businesses have finally clicked on to the ghost kitchen concept - a local pizza joint has set up a fried chicken restaurant for the purpose of ordering apps. It gives them different branding and when compared to normal eat in/take away restaurants they increase their pricing by 20-30% to account for the app fee. It's smart thinking and if I still owned my cafe I would have definitely done this (was thinking about doing it long before COVID as it was anyway)

I felt bad a few weeks ago, I used menulog to order from our local pizza joint. THey use their own driver however and when he turned up he asked if we could please order through the store in the future. Kudos and I have done so since. Sometimes as mentioned its easier to be lazy despite the costs.
 

craigos

Brownlow Medallist
Sep 2, 2014
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Some real fat awkward slobs out there. Picking up the phone to order your food is now seen as a barrier to business.

Get your life together losers.
 

Stratton_Gun

Brownlow Medallist
Sep 4, 2010
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Delivery apps just aren't worth it.
For example a foot long sub would be $20+ delivered
Used to be able to get a meatball foot long for $7. These days it's about 12 + about $6 delivery and another $4 service charge whatever that is
 

Poetic Justice

he ate my f*%king chicken
Jun 21, 2008
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Might need to find one
Well.. I mean my fat slob excuse is that in this world of lockdown I’m usually too inebriated to drive & pick food up
 

Scotland

TheBrownDog
May 5, 2006
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Uber Eats is a scourge. 30% cut goes to Uber and then they take a cut of the driver's delivery fee too.

Local cafe restaurant near me is depressing half the time now. Walk past and there are empty tables while a handful of Indian dudes stand around outside staring at their phones waiting for brown paper bags of food.
 

ioppolo

This only ends one way.
Oct 3, 2010
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Uber Eats is a scourge. 30% cut goes to Uber and then they take a cut of the driver's delivery fee too.

Local cafe restaurant near me is depressing half the time now. Walk past and there are empty tables while a handful of Indian dudes stand around outside staring at their phones waiting for brown paper bags of food.
Most semi popular eateries are like that now. Shits me to no end
 

peternorth

Moderator
May 6, 2005
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Uber Eats is a scourge. 30% cut goes to Uber and then they take a cut of the driver's delivery fee too.

Local cafe restaurant near me is depressing half the time now. Walk past and there are empty tables while a handful of Indian dudes stand around outside staring at their phones waiting for brown paper bags of food.
I dont use uber eats for reasons outlined here. I dont care if it means the driver misses out on some $. fu** them too.
 

Power Raid

TheBrownDog
Oct 15, 2004
73,242
63,865
West Perth
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Port Adelaide
Uber Eats is a scourge. 30% cut goes to Uber and then they take a cut of the driver's delivery fee too.

Local cafe restaurant near me is depressing half the time now. Walk past and there are empty tables while a handful of Indian dudes stand around outside staring at their phones waiting for brown paper bags of food.
A lesson in business is control the market

Be it uber, recording studios (pre digital), unions, stock brokers (pre digital), Microsoft (decades) …….if you control the market, you get an unfair share
 

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