delivery fees

Consumers use low delivery fees, promos as deciding factors

A new report from digital restaurant platform BentoBox and restaurant discover platform The Infatuation suggests many consumers, particularly the younger demographic use low delivery fees and the offer of promotions and discounts as major deciding factors when it comes to choosing a delivery service.

Firstly, the report notes that 74 per cent of U.S. diners cite convenience as their top motivation when it comes to off-premise consumption. Nearly half say they are more likely to order directly from a restaurant if it’s an easy process.

Diving a little deeper, 44 per cent of consumers surveyed said they are more likely to order directly from a restaurant if there is a promotion or discount. The same percentage said they like to order directly because it benefits the restaurant during the pandemic. 

RELATED: The dichotomy of third-party delivery services

A significant 37 per cent said they will choose their delivery channel based on whichever has the lowest fee. Perhaps unsurprisingly, younger consumers are more likely to act on promotions and discounts for delivery orders and are also more deterred by delivery fees.

Overall, nearly 90 per cent of diners were ordering delivery or takeout at least once a week before the pandemic. Now, 84 per cent of consumers currently order delivery or takeout and 57 per cent order delivery or takeout once or twice a week. Individuals between 25 and 34 years old remain the heaviest off-premise consumers.

RELATED: Saskatchewan becomes latest province to cap delivery fees

These findings would seem to highlight the importance of restaurants offering a channel wherein consumers can order from them directly, wherever possible. As well as saving on commission fees, this could help to entice new customers and retain existing patrons in a world now saturated with off-premise options.

That money saved from avoiding third-party apps could even be used to create promotions and discounts or otherwise further enhance in-house direct delivery orders.

Leave a Reply

Your email address will not be published. Required fields are marked *