Are you still offering FREE delivery? Afraid to make the change? Are you struggling to make a profit? What if we told you that delivery could bring THOUSANDS on your bottom line profit? That’s right, charging for delivery can make a real difference when it comes to how successful your restaurant is, especially during these crazy COVID-19 times.
Here are the top reasons why you should be charging for delivery!
Customers expect it
As a customer yourself, you can probably imagine a time you ordered from a restaurant and shrugged at the cost of delivery added to your order. Services like Deliveroo and Uber Eats have trained customers to accept the cost of delivery on behalf of the convenience of not leaving your home.
Adding a delivery charge reflects your true costs of delivering
The cost of delivery is not free. When you take into account mileage, fuel, hourly rate of the driver, materials needed to deliver the food, and so on, you are incurring costs. A delivery charge can help you offset those operating costs, and better your chances of profit.
It’s still up to the customer
Some customers may come and collect if they don’t want to pay delivery charges, which therefore saves you the cost of a driver, materials, and everything else we just mentioned. Those who really want the convenience of delivery vs. the option to come collect their food will consider the charge to be worth it when they know they could still get the food for free.
At Andromeda, we recently helped a customer add a delivery charge to their delivery services and they did not experience a loss in orders. Imagine you do 300 deliveries per week, and add an average delivery charge of £2.50 – that gives you an extra £750 in sales. You can invest half of that into improving your marketing, employing more drivers at peak times, therefore helping you grow even more sales. You could STILL have an extra £375 straight to your bottom line EVERY WEEK. That’s £18,000 per year. If you’re ready to improve your bottom line profitability, contact Andromeda and we can help get you started.