Receive the latest mybusiness news
Copyright © 2020 MOMENTUMMEDIA

Food delivery platforms offer contactless deliveries, face pressure to cut commissions

Maja Garaca Djurdjevic
Maja Garaca Djurdjevic
17 March 2020 1 minute readShare

As businesses grapple with the impacts of the coronavirus, food delivery platforms are adjusting to the new times by launching contactless drop-offs, but restaurants and cafés are calling for the companies to reduce their commission charges to ensure a “viable hospitality industry”.

Recognising that Uber Eats and Deliveroo will be “important distributions channels for food”, especially with the increase of self-isolation, restaurants and cafés are calling on the delivery giants to cut their commission costs, with an online petition garnering over 2,000 signatures overnight.  

While restaurants and cafés are reporting a decrease in diners  as a result of social distancing encouraged by the government, Deliveroo announced on Monday it is rolling out a new feature to enable customers and riders to select contact-free delivery when they order food.  

“Riders will be asked to let the customer know they have arrived, place their thermal bag open on the ground outside their door, step back at least one metre and wait nearby for the customer to collect the food before the order can be completed,” Deliveroo said.

“Riders are also able to make orders contact-less if they wish by letting customers know through the app before they arrive.”

Similarly, pizza company Domino’s announced that it too is offering zero-contact pizza drop-offs, while Uber Eats has always enabled its customers to choose how a delivery is made via their app.

‘Scrap fees’

Recognising that delivery platforms will increase in popularity, food writer Dani Valent has started an online petition, calling on Uber Eats and Deliveroo to cut their fees.

“Uber Eats and Deliveroo are important distribution channels for food. They are likely to play a crucial role in getting meals to isolated households during the COVID-19 pandemic,” Dani wrote.

“However, commission charges of up to 30 per cent are insupportable by restaurants and cafés who are already suffering greatly due to a huge drop in diners.

“At the same time, the delivery operators are seeing a huge spike in business.”

She called on the delivery platforms to “help restaurants and cafés survive”, underlining that we all win when we have a vibrant, viable hospitality industry.

Last week, Deliveroo confirmed it is “sending frequent updates to our restaurant partners to share advice with them on what they can do to ensure food is prepared safely and packaged correctly for delivery”.

“Throughout this time, we’ll be relentlessly focused on doing everything we can to support the restaurants and riders working with us, and to bring you safe deliveries from the best restaurants across the country,” Will Shu, the co-founder and CEO, said.

Both Deliveroo and Uber Eats have also said they are offering financial support for their riders and drivers who contract the COVID-19 virus or those who have been instructed to be in isolation by a medical authority.

Food delivery platforms offer contactless deliveries, face pressure to cut commissions
mybusiness logo
Maja Garaca Djurdjevic
Maja Garaca Djurdjevic

Maja Garaca Djurdjevic is the editor of My Business. 

Maja has a decade-long career in journalism across finance, business and politics. Now a well-versed reporter in the SME and accounting arena, prior to joining Momentum Media, Maja reported for several established news outlets in Southeast Europe, scrutinising key processes in post-conflict societies and enabling citizens to influence decision-making.

You can email Maja on [email protected] 

Leave a Comment

Latest poll

How satisfied are you with the SME measures in the federal budget?