The Restaurant Delivery Company You Choose Matters

Every year, the restaurant industry in the U.K. evolves at a faster and faster pace; and with it, so does the landscape of restaurant delivery. According to data from Statista, the European food delivery market is expected to surpass $200 billion in revenue by 2028, with the total number of users in the global meal delivery market expecting to reach 2.5 billion by 2030.

Shifts in customer behavior, innovations in tech, rent and wage hikes, and emerging food trends mean restaurants and chains must be vigilant about modernising their delivery strategies. To keep profits high and customers happy, knowing the current challenges and how to conquer them is key.  

Some major issues that restaurants of all sizes face stem from the restaurant delivery company they choose (Uber Eats, Deliveroo, etc.). Food delivery services, also known as marketplaces, aren’t all made equal. Some set higher fees than others, and most do not provide all the features restaurants need to efficiently scale their delivery and takeaway offerings.

To help you maximize profits and improve your delivery and takeaway strategy, we’ll answer these questions:

• What are the top 3 food delivery service challenges for restaurants?
• How do these challenges impact your bottom line?
• How can your business gain a competitive advantage in a fast-paced market?

From small independent locations to enterprise chains, no matter the size of your restaurant, the food delivery service you choose matters. Let’s break down why.

3 challenges restaurants typically experience with their food delivery service:

1. Hefty fees impact customer satisfaction.

Food delivery services can charge commission fees as high as 20-30%. To offset these fees and the other costs that come with using third-party apps, businesses are often forced to drastically increase their sit-in menu prices for their delivery menu. With current high levels of inflation and rising rent prices, most restaurants can’t afford to eat the extra costs. Sadly, these costs get passed down to the customer, impacting customer experience and the likelihood of repeat business. 

At Stuart, we believe in helping you keep costs consistent across your sit-in and delivery menus. That’s why we don’t charge a commission fee like so many other food delivery services—so you can ensure your customers pay the prices that you deem most fair.

2. Lack of control when it comes to branding and identity.

According to Deloitte, 40%  of customers prefer to order directly from a restaurant’s website while only 13% express preference for third-party apps. Statistically speaking, your customers want your service to come from you. You’ve worked hard to build a brand for your business, one that customers want to engage with.

Most food delivery services do not provide you with rich enough branding opportunities within their platforms. You must adhere to their app and website standards, from appearance to voice and tone. You’re often even limited in your ability to set promotions and offers for your menu items. 

Stuart’s delivery platform integrates seamlessly with your website, so you have total control over your branding. Plus, you can easily set your own deals, utilising customer data to track when and what promotions will be most effective.

3. Customer data is not provided back to the restaurant.

Most restaurant delivery companies do not provide the option to view your customer data, which is a huge missed opportunity for your business. When you lack customer data, you can’t target your customer base directly with marketing materials and other important branding initiatives. 

Having your own delivery channel will help you create and implement a customer relations management strategy that drives loyalty and trust. By harnessing your customer data, you’ll be able to set promotions and offers as you see fit, strengthen your brand, and grow your customer base.

How is your bottom line affected?

In summary, these delivery challenges deeply affect your bottom line and your ability to drive repeat business from satisfied customers.

•  Commission fees from marketplaces cost you and your customers more.
•  Using a third-party delivery service is likely deterring customers from ordering, since the numbers show they’d prefer to order directly from you.
•  Customer acquisition and retention are negatively impacted because the data you need is being withheld. 

Though restaurant delivery services come with many hurdles that impact your margins, managing delivery all on your own is a massive undertaking. Stuart to the rescue! 

How can your business gain a competitive advantage?

Now you know the challenges your restaurant could face if you choose a food delivery service that doesn’t meet business needs. When you combine the solutions to these hurdles, you get Stuart’s unique delivery platform—the competitive advantage thousands of businesses harness to set their delivery strategies apart.

By partnering with Stuart, brands like IRO Sushi have achieved a 162% year-over-year increase in delivery volumes while cutting costs and boosting customer satisfaction.

With Stuart, you can:

•   Break free from the commission costs required by most food delivery services.
•  Take control of your data and gain insights to help better reach and serve your customers.
• Reduce your carbon footprint and increase operational efficiency to maximize profits.
• Compete, grow, and thrive in today’s fast-paced food landscape. 

Stuart offers a tried-and-true recipe for success, with all the ingredients provided to you in one easy-to-use solution. Our commission-free, last-mile food delivery platform seamlessly integrates with your systems, helping you scale efficiently while keeping overheads low.

The Future of Restaurant Delivery—a free guide for you.

To help you learn even more about the challenges that come with using food delivery services, we’ve created a guide with stats, trends, and the most up-to-date data. Read “The Future of Restaurant Delivery” for free to see how Stuart is revolutionising delivery for companies like yours.