Multiple Food Delivery Apps

[PointBreakTacos]

Currently, my restaurant is on UberEats and uses DoorDash through Square. Am curious what other restaurant operators think about using multiple delivery apps. I am loathe to continue giving away such high percentages per order, but is that made up through volume? I know this isn't a Square specific question so thanks in advance.

[Donnie-M]

@PointBreakTacos There are some threads on this but I will give you my 2c.  Take the revenue you have generated from the online delivery services and then take the cost.  The cost is really a marketing cost to generate the net sales.  So if you pay 3000$ to generate 10,000$ in food sales, that is your return on your dollar per investment.  Basically you are spending 1$ to earn 3 or 4$.  Normally that would be a good return on ad spend.  But the number is misleading, it doesn't include the real cost for the dollars.  You need to deduct the cost from the total generated.  So you really spent 3000$ to earn $7000.  Then you deduct the cost of the product say another $3000.  You spent $3000 to earn $4000 dollar.  But wait, then you have to pay the labor if these are not incremental sales.  You very soon get to a 1:1 ratio.  You aren't generating any profit from the sale.

The customer isn't your customer, it is the apps customer.  Your reputation is the one on the line.  I just don't think it is a good thing unless it is driving business during slow times.