Franchise News

Warning Restaurant Owners: Third-Party Delivery Services Are Taking Over
Let’s face it, foodies crave convenience.

Franchise News

Let’s face it, foodies crave convenience.

Who needs tables, chairs and a waiter when you can order food off your phone in just the tap of a finger? Thanks to the rise of delivery-app use, restaurants are ditching the idea of opening up a brick-and-mortar restaurant, according to Business Insider.
Due to the high commission fees that third-party delivery services charge, restaurants believe that “reducing headcount could save [the] business money.” In other words, there might be an increase in virtual restaurants.
“We saw a direct correlation between the delivery services and the reduction of our home income,” a restaurant owner who closed two location due to the delivery service takeover said to the New York Times. “It was like death by a thousand cuts.”
Today, the majority of food delivery still happens directly through the restaurant, but due to apps such as UberEats and Postmates, they’re making restaurants take a run for their money... literally.
To view the full article, click here.
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About the Author
Nick Powills, CFE, founded No Limit Agency in 2008 and serves as Chief Brand Strategist for the Chicago-based firm. No Limit is a full-service communications agency that establishes and elevates brands by bridging Public Relations, Social Media, Marketing, Advertising, Digital, and a lot of creativity, to best strategize well-rounded and successful campaigns for 50+ global franchise brands. By presenting visionary ideas and building real relationships, No Limit is able to create effective media branding strategies to help companies grow. Nick currently leads a staff of writers, media strategists, designers, social media experts and digital producers in an office think-tank where brands are humanized for strong, compelling media stories. Prior to starting No Limit at the age of 27, Nick spent four years working at a franchise PR agency where he mastered the art of building rapport with media outlets and creating newsworthy pitches for earned media placements. He holds a Bachelor of Journalism from Drake University in Iowa.