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Why Restaurants Are Fed Up With Apps - Coggle Diagram
UberEats, Just Eats, GrubHub, Deliveroo, are all takeaway apps
They work by offering restaurants a delivery service in exchange for a fee on the meal. Commonly, 40% of the price of the meal
That seems to be an important part of the restaurant's revenue, but they offer more visibility on their application.
But once the lockdown began, the apps became the only sources of business
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This is a controversal issue, Delivery service are allowing restaurant to open. Apps are said they are saving them.
In the opposite, their fees have become an increasing source of difficulty.
First Question François, according to you, should the applications minimize these fees?
Contrary to general belief, these services are not suitable for anyone.
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App compagnies mostly lose money
Uber eats have invested 1 billion in 2019, while they have creates 700 million dollars
And finaly, diners don't like bad delivery experiences
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That's why some Restaurant start to boycott these compagnies
And try to make orders or deliveries by their own
Like The old-fashioned way
By improving their website or by investing in two wheels
The fact is that the market is growing fast, and compagnies do not invest for nothing
Uber eats is not investing without making sure it get a return
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In your opinion, is a restaurant capable of living without a delivery service ?
Or more specificaly, an external delivery service.
I find that the work of delivery people is not recognized enough. They are exploited and get almost nothing.
To get through a single evening, some have to work all night long. I prefer not to use their services and maybe help them find a more secure job.
In the case of a restaurateur, it is true that there are not many alternatives and even if customer input is not probable today, in a few years time the boom will be even more impactful. So it's better for them to make an agreement with these companies right now.