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Chow Local Vs. Big Delivery Apps
The video below shows the actual sales a restaurant got on Chow Local in February 2022.
Skip The Commissions
When it comes to ordering takeout or delivery, people prefer ordering through apps like SKIPtheDishes™ and UberEats™ because they offer a user experience that is ultimately more convenient than having to deal with separate restaurant websites or even placing an order over the phone.
Having hundreds of restaurants all in one app that already has your delivery address and credit card on file is as convenient as it gets.
Most users don't realize these apps charge restaurants as much as 30% in commissions. People have no idea that most restaurants don't make money on SKIP and UberEats orders. And who can blame them?
Many restaurants actually tell their customers to order through these apps. If they don't explicitly invite them to do it, they do it indirectly or unknowingly.
The most effective way these big delivery apps get restaurants to send their loyal customers to their platforms is by placing their logo (decal) on the restaurant's front door.
Local restaurants "know their customers". They know how to reach them and are usually good at marketing themselves. So the idea of restaurants driving their loyal customers to these big apps, to forgo up to 30% does not make sense. It should be the other way around. The big app should drive new customers to the restaurant, and get 30% as a reward for their marketing efforts. But this is sadly not the case.
Some restaurants actually go as far as spending their marketing budgets on advertisements such as Facebook and Instagram ads that link directly to these high-commission delivery apps. They do this because they know their customers ultimately prefer using these apps over their restaurant's own website. No matter how easy their sites are to use, they just can't compete with the convenience delivery apps offer.
Although most restaurants don't make a profit when they get orders through the big delivery apps, owners often say they can't afford NOT to be on them. Besides the feeling of FOMO (Fear Of Missing Out) that keeps many restaurants on big apps, some restauranteurs value the logistical solution they offer.
Unless you have ever run a busy restaurant that offers delivery with in-house drivers, you will most likely have no idea how stressful it can get. Having one or two in-house delivery drivers just isn't enough for some busy restaurants than get lots of orders during peak hours. That's where the big delivery apps shine. Whether a restaurant gets one order or twenty orders in an hour, SKIP or UberEats' fleet has them covered.
If only there was a similar delivery app with a large fleet of reliable delivery drivers, that doesn't charge crazy commissions. Now there is. Say hello to Chow Local!
Since we launched in Regina late last year we have saved restaurants thousands of dollars each month, by not charging any commissions. Instead, we charge a one-time account activation fee ($300), and a flat monthly fee ($95-$200).
Our drivers have completed thousands of deliveries for restaurants that get orders through our app, as well as directly through their websites or over the phone.
We even do deliveries for restaurants that have in-house drivers, but occasionally need help during peak times.
Most of the restaurants on our platform are still on SKIP and UberEats, however, when it comes to promoting a delivery app, they now send their customers to Chow Local instead.
We not only believe in treating restaurants ethically, but we also believe our drivers should be treated as fairly as possible. This is why we give 100% of the delivery fee ($5.95) and tip to our drivers. We don't take a cut. Doing this ensures that our drivers are happy and take responsibility for their work.
Since we don't take a cut, our drivers have all agreed to cover the cost of any mistakes they make. Mistakes happen, however, due to the way our platform puts the onus on the driver we rarely have any issues.
If you are still reading and you think our approach is worth a try, please visit https://chowlocal.com/restaurant-onboard to sign up.
If you have any questions and would like to speak to one of the founders, please don't hesitate to call 306-526-3813 or 1-866-806-1562.
Own or operate a restaurant in Grande Prairie? Fill out the form below and we'll get back to you as soon as possible.