Oh, you want your food delivered? Just order from our competitor
Why UK restaurants are sending their customers to third-party platforms and paying for that?
Hi, we’re DelivApp, an Israeli company specializing in software for on-demand delivery management. We help restaurants and delivery fleets manage deliveries, drivers and customers. Our system helps to accept orders from different channels, bundle them, and dispatch onto an owned or a third-party fleet.
Actually, in the modern world, restaurants don’t really have to bother with any of that. They can easily outsource all their delivery orders to third-party platforms. The ubers and deliveroos of the world solve all the logistics headaches. However there is a cost to it. Restaurants that outsource food delivery from screen to mouth
do not own their customers
do not control their experience
and pay high service fee amounting up to 30% of an order price.
And in the end of the day, 8 out of 10 consumers blame a restaurant for a poor delivery experience, not the delivery service provider.
So while most of the restaurants would prefer to never bother with delivery, we see more and more of those who do. Those who come to us usually want the process ownership, they want control, and more reasonable delivery budget.
In the past years we have seen a great success in our home market and this year we decided to take it further into international markets. We started to explore other territories where we could solve problems for restaurants.
The UK was obviously one of the markets we were looking at. To our surprise we saw that many UK restaurants are not really looking neither to own their delivery customers nor to control their experience.
What we saw was a rather shocking picture: restaurant brands send their website visitors away from their own websites to the third-party platforms. They literally put links to platforms websites on their own sites and send people away. So a restaurant that a moment ago had a visitor who wanted to order from them. This is quite astonishing for us. According to a recent PYMNTS.com research 6 out of 10 platform customers know where they want to order from when they open a platform. What the research does not measure (and I don’t know if anyone at all measures that) is how many of those 6 change their mind after seeing an offer from a competing brand.
We understand that there are reasons why the UK restaurants chose to act like that: no one has their own drivers and working with third-party fleets it complicated and still quite costly.
But is it really a good reason to lose customers? Once you send them away, they are unlikely to get back and they are very likely to skip your site next time and go directly to a platform. Does not look like a good idea in a long term.
But maybe there's something we are missing. Do you know what? We'd love to talk! Please stop by our booth R23 at the show and let's discuss the situation.
Let’s connect! www.delivapp.com