Online food delivery is a ruthless business, and it’s hurting the restaurants we love. Here at ChowNow, we believe there's a better way forward—it begins with looking at how we order food.
What food delivery apps don’t want you to know.
They take a really
And that’s on every single order. All that money benefits only the delivery app—no one else. This ruthless business model puts restaurants in a precarious position, with little to no room to grow.William Blair, 2018; Commission Rates
Reported by Restaurants to ChowNow, 2019
They make profits disappear.
The restaurant business is tough. On a $20 meal, a restaurant will typically make about $1.20. Factor in a commission fee of 40% and you can kiss that razor-thin profit margin good-bye.Sageworks, 2018
They mess up pricing
Delivery apps come in all shapes and sizes, but they have something in common: ruthless commissions and fees. Platform to platform, restaurants are losing profits to these bogus commission rates.William Blair, 2018; Commission
Rates Reported by Restaurants to ChowNow, 2019
They accelerate restaurant closures.
When a restaurant shutters, the landscape changes permanently. And despite the surge of online orders, third-party apps harm the restaurants they’re meant to help. With 110,000 independent restaurants having closed in 2020 alone, it just isn’t sustainable.National Restaurant Association Report, 2020
Read up on what’s happening in the industry right now.
Regulators Are Fed Up With Food-Delivery FeesRead More
Food Delivery is Keeping Uber Alive. WIll it Kill Restaurants?Read More
The True Cost of Convenience: The Convenience of Delivery Apps Is Ruining RestaurantsRead More
Food delivery apps are more popular than ever. But can they help restaurants survive?Read More
Up to 91% More Expensive: How Delivery Apps Eat up Your BudgetRead More
Grubhub’s New Strategy Is to Be an Even Worse Partner to RestaurantsRead More
Los Angeles restaurant owner reveals the crippling effect of using delivery services like Postmates and DoorDash after he had to fork out $35,000 for the sites' service fees in 2020 aloneRead More
ChowNow CEO on the future of food deliveryRead More
New California Law Raptures Thousands of Restaurants From Postmates, DoorDash, and GrubhubRead More
Some restaurants hate delivery apps like Grubhub and Uber Eats. So they're seeking out alternativesRead More
New York vs. GrubHubRead More
Food Fight! Online Ordering Services Charge Restaurants Huge FeesRead More
Hear it from the source: Restaurants speak out.
When you go directly to the small business, we get the full revenue versus upwards of 30% to a third party service.
Director of Operations, Cemitas Puebla
Delivery services are a killer to local business because you're basically working your ass off and they're taking 30% from you. And that’s your profit.
Owner, Burgers 2 Beer
Ordering better is a way for you to directly support family-owned, local restaurants. And it's so important in this world because who knows how long this pandemic is going to go on?
Owner, Bel-Aire Diner
Every order has the power to make a difference.
Pricing should be fair & transparent.
Commissions, hidden fees, service charges, and higher menu prices. Sound familiar? It’s how third-party delivery apps make a killing—all at your expense. The cost of convenience shouldn’t be this high.
We should support restaurants, not apps.
Food delivery apps take up to 40% in commissions on every order, which benefits only them. Restaurants should keep 100% of the proceeds, so their business can grow with your direct support.
Community should come first.
Restaurants add color and flavor to your neighborhood, but they also re-circulate 48% of their revenue back into their own community. When you support a local restaurant, you’re supporting your whole community.
Fair takeout starts with you.
Making a difference begins with finding new ways to #OrderBetter. Here are three easy steps you can take to support your local restaurants.
1. Choose local
Whether you’re curious to try something new or in the mood for a favorite meal, use the ChowNow app to find something right in your own neighborhood. Direct action never tasted this delicious.
2. Order direct
Before swiping on your screen, check to see if your favorite restaurant has a website or is listed on the ChowNow app. When you order direct through ChowNow, the restaurant enjoys 100% of the proceeds.
3. Spread the word
Share the truth about how food delivery apps are hurting restaurants, and encourage others to make the conscious choice to #OrderBetter. Because every order counts and together, we can make an even greater impact.
#OrderBetter bites to share
Share your support for local restaurants with these bite-sized graphics. Just remember to tag #OrderBetter when you post.