Deliveroo/UberEats/DoorDash Delivery Thoughts

Lmurp0274 on 11/09/2021 - 20:01

Hey all!

Loooooong time lurker, first time poster with a somewhat fresh account.

Just wanted to get peoples opinions on the delivery charge of deliveroo/uber/doordash and so on - because I see a lot of people bashing how expensive it is??

In a recent discussion/deal post somebody was bashing Deliveroo for a $5.00 charge for fastfood approx 2km away. And I get it, paying more for your food sucks.

But have we considered that the drivers probs only see 60-70ish % of that dollar value after everyone else has taken their cut out. This leave them with $3.25ish to cover their time, car costs and so on.

I don't know about you, but going into a fast food venue, waiting/pushing to the front of the line, collecting and storing the order, driving to the customers house, getting out and delivering and making sure you can find a safe place to leave it SEEMS like a lot of hassle for $3.25?

This leads to the inevitable conclusion of taking a large numbers of orders at once, which results in cold, soggy fast food as they attempt to make minimum wage.

Does anyone know the exact numbers of what 'cut' deliveroo/uber/doordash take out of the delivery charge? Or does the driver get 100% of that set amount?

Thanks all for the input!

Food & Grocery Food Delivery

Comments

  • Hybroid on 11/09/2021 - 20:13
    +6

    The issue isn't necessarily just a delivery charge but there's a huge markup increase in all item costs AS WELL.

    e.g. El Jannah chicken roll is $8.90 instore but $13.00 on UberEats with $7.99 delivery fee…

    That's $21 for a $9 sandwich…

    Now add that delta markup for every single item you purchase.

    • JimmyF on 12/09/2021 - 00:16
      +1

      Of that $13, uber will take around 30% 'cut'. So while it looks like the store is jacking up prices to 'profit', they are not really. $13 roll after ubers 'cut' is around ~$9. Basically what they would have gotten if you walked in.

      The greedy people are Uber, they take a 30% cut of the food, they take 100% of the delivery fee and service fee.

      They then pay the driver a fee based on distance only (no time, not linked to the food costs etc) oh and they take a cut out of that fee too!

      That's $21 for a $9 sandwich…

      That Uber got $12 of and the store got $9….. Uber paid its driver maybe $7 (but took 30% of that back from them).

      But yet, Uber still hasn't turned a profit EVER!

  • cloudy on 11/09/2021 - 20:16

    I suspect they take all the delivery fee, sometimes even more. The food cost is inflated by 30%, that’s where the money is for the aggregators. Out of that bucket a little extra might even end up with the deliverers

  • Gervais fanboy on 11/09/2021 - 20:16

    Not just the drivers, the restaurant merchants are suffering too…
    These big companies take from 10% to as much as 35% from what the customer pays the restaurant and the driver, when we order food through their apps.
    Only one fix : We need to order directly from the restaurants, especially with takeaway orders.

    • popsiee on 11/09/2021 - 20:19
      -1

      Sure tell my local FishnChip shop that only takes cash . All these delivery platforms of course accept cards from this mob .
      We know the reason why they only take cash . But shouldn't be doing that shit during an pandemic .

    • kyle on 11/09/2021 - 22:53

      The restaurants themselves are not making things easy for customers either. My local cafe, during the earlier lockdowns, they have a site where you could order, pay and pick up. Now they've abandoned it. You can only do Uber Eats or call to order. Prices are not too dissimilar, definitely no 30% markup.

    • eclaw on 12/09/2021 - 10:41

      Not just the drivers, the restaurant merchants are suffering too…
      These big companies take from 10% to as much as 35% from what the customer pays the restaurant and the driver, when we order food through their apps.
      Only one fix : We need to order directly from the restaurants, especially with takeaway orders.

      How I read that was,

      It's not just the consumer, the businesses are suffering too
      Visa and Mastercard take from 0.5 to 2% of what the customer pays the businesses when they pay through their cards
      Only one fix: We need to pay in cash only, especially when they say they accept American Express

  • specks on 11/09/2021 - 23:00

    from my experience.
    Uber is 30%, was 35% (not sure if it was a signup incentive during covid)
    Doordash 30%
    Menulog 28%
    Easi 18% - but delivery costs more for customers
    Deliveroo 30%

    All these commission rates are pretty much set in stone and even if you are a big corporation, you can barely budge on their commission rate.

  • thatonethere on 11/09/2021 - 23:20
    +1

    Only ones making money is the platforms. Restaurants make a loss compared to normal takeaway.

    I do a lot of work from home and I don’t see repeat Uber eats easi or deliveroo drivers.

    • p1 ama on 11/09/2021 - 23:30

      Restaurants make a loss compared to normal takeaway.

      This might be true for a small set of restaurants that were already previously successful. However, knowing some small businesses, UberEats has been a massive sales pipeline. Margins are definitely thinner, but volumes have increased drastically, especially for smaller restaurants located in less central locations.

    • kyle on 13/09/2021 - 02:05

      I get repeat easi and deliveroo drivers but not uber eats.

  • psychopython on 23/01/2022 - 11:34

    Sometimes I order knowing its goin to cost more (way more). In my experience the markup varies from a restaurant to the other.
    Here's a price comparison for Oporto (Going to the store vs ordering through the app)

    Drive Through (PickUp)
    https://files.ozbargain.com.au/upload/275930/93753/oporto.jp…

    UberEats (Delivery)
    https://files.ozbargain.com.au/upload/275930/93752/ubereats.…

    Doordash (Delivery)
    https://files.ozbargain.com.au/upload/275930/93751/doordash.…

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