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Restaurants, delivery apps at odds over prices as demand surges


Girotra said delivery can be profitable in dense neighborhoods, where multiple orders can be delivered quickly and cheaply. But in sprawling suburbs, the cost of shuttling food gets too high.
“The economics don’t work out, so the delivery companies have to squeeze someone,” he said. “They have to squeeze the restaurants, the customers or the people working on these platforms.”
Figuring out how to make delivery profitable could be crucial in the coming years. Delivery was already growing before the pandemic, but it surged worldwide during lockdowns. Online orders for home delivery more than doubled in the U.S., Russia and Canada last year, and jumped around 30% in France, Germany and Spain, according to NPD Group, a market research company. ....

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Restaurants, delivery apps still at odds as demand grows | iNFOnews | Thompson-Okanagan's News Source


Dee-Ann Durbin
Jeffray Gardner, the owner of Marsatta Chocolate poses with a bag of cocoa beans at his company s office in Torrance, Calif., Sunday, March 28, 2021. Restaurants and delivery companies remain uneasy partners, haggling over fees and struggling to make the service profitable for themselves and each other. Gardner says he probably loses money on the one or two delivery orders he gets each day. But he’s still happy to work with delivery companies because they help him reach a wider audience. (AP Photo/Damian Dovarganes)
April 20, 2021 - 4:19 AM
Diners got used to delivery during the pandemic, and the habit may stick long after dining rooms reopen. But restaurants and delivery companies remain uneasy partners, haggling over fees and struggling to make the service profitable for themselves and each other. ....

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