Tired of Delivery Commission Fees? So Is New York
Restaurants Clash with 3rd Parties
Restaurants have a complicated relationship with third party platforms. They rely on apps like Postmates to get their name out to a wider audience and set up delivery channels, equipped with couriers too. Yet despite the help, restaurants also have to contend with huge commission fees that can total up to 30% of an order. All told, restaurants don’t profit much on those sales.
There’s been pushback. Businesses often use these apps for marketing but try to encourage guests to buy directly from them next time. They do this with unique discount codes or by leaning on the general trend to support small businesses. Similar caps have been enacted on a temporary basis, but New York City has now made theirs permanent.
New York Caps Commission Fees
NYC has been in the public eye lately for pandemic-related measures, like vaccine passports and reinstated mask mandates. Now they’re making headlines again by limiting commission fees to 15%. The aim is to encourage greater restaurant recovery, especially with Delta threatening to set us back. More profit from their own sales will help them through the labor shortage, Delta variant and whatever comes next.
Meanwhile, third party delivery has had a big year too. Most recently, they became vocal about California legislation to register their drivers as independent contractors, not employees. Ultimately Prop 22, as it was known, got struck down in court.
Now Grubhub, DoorDash and Uber Eats are suing over the permanent caps in New York and San Francisco. They claim it limits what they can do for restaurants and drives up the cost of delivery.
No Commission Fees? No Problem
While New York and San Francisco are making a statement, it may be awhile before others follow. For restaurants who want to offer delivery but can’t set it up themselves, or pay for third parties, consider orderOS.
Powered by eatOS technology, orderOS sets up a branded mobile app and website. This will get your brand name out to the masses. Unlike most third parties, we don’t take commission fees so every cent of profit goes to the restaurant. We also provide wireless menu syncing so you can manage items in real-time and get accurate, automated reports. QR codes on your marketing materials will load accurate menus and prices. Better communication between all your devices ensures faster and better-quality service, for a more satisfying customer experience.
We also make it easy to track sales data. See when and what your best guests order. Customer profiles list their history track preferences so it can automatically make suggestions based on past orders, encouraging guest loyalty. Viewing long-term sales data helps drive smarter business decisions, too.
eatOS offers an all-in-one cloud-based eco-system exclusively for restaurants. From Point of Sale to Contactless Ordering, Pay & Order at Table, Kitchen Display System, Customer Facing Display, Online Ordering APP / Website and Workforce Management there is everything to help a restaurant succeed no matter the size. Click Here to Schedule a demo to learn more about how your restaurant can make a smooth transition into the world of restaurant technology made simple.
