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Portland approves 10% cap on fees that food delivery apps can charge restaurants

oregonlive.com

431–440 of 580 posts

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#431

Earlier quoted context omitted.

Why would you tip the restaurant staff?

Because tipping restaurant staff is what normal people do when they go out to restaurants in the U.S. Those same people still prepare and package the food, even when someone else delivers it.

I do not tip at fast food or counter-service places or when I pick up takeout. Presumably GP was comparing the delivery experience to the picking up takeout experience where someone else just happens to be picking up the takeout.

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#432
I wonder if there would be a market for something that presented the user with a food-deliver-app type interface, but in actual fact is just interfacing with an API on the restaurant's behalf (in lieu of the restaurant having a custom delivery order page).

Basically a middle man to replace restaurant's own custom ordering systems (which are often janky, and all act differently). The delivery would still be done by the restaurant's employees, but the service would handle billing the customer, building the UI, and so on.

Such a service could charge a far lower fee to the restaurants, since they would not need to employ, ensure, etc. drivers. I doubt the customer would care either way, as long as the UI is just as convenient as the existing food delivery services.

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#433

Earlier quoted context omitted.

Because the restaurants aren't allowed to charge higher prices to their higher cost delivery customers. Which doesn't stop the food delivery places from charging higher prices, of course. And taking a cut, and collecting a delivery fee, etc etc.

> Because the restaurants aren't allowed to charge higher prices to their higher cost delivery customers. Why can't they? Is this a local or state law?

Because it's a platform rule from most Delivery Apps in most markets.

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#434

Earlier quoted context omitted.

Why would you tip the restaurant staff?

Because tipping restaurant staff is what normal people do when they go out to restaurants in the U.S. Those same people still prepare and package the food, even when someone else delivers it.

People tip the waiters when dining in. Depends on the location if those waiters share with the rest of the staff.

Picking up food usually has no tips. Delivery involves tipping the driver, which delivery apps already support and they don't take any fees from it.

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#435
post #277

Earlier quoted context omitted.

Then they should cease being in business.

Couldn't the same argument be made for restaurants? If they can't afford delivery fees, or can't afford to make money without delivery they shouldn't be in business either.

Could easily be said, however you're overlooking the huge elephant in the room of restaurants being essentially forced into turning into delivery-only or delivery-first businesses due to Covid restrictions. Where I live we've only recently (like within the past few weeks) allowed restaurants to serve food to guests, and only outdoors.

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#437

Earlier quoted context omitted.

That makes no sense to me. Why can't they charge people ordering from Treasure island higher?

Because the city made it illegal, obviously. Just like Portland. They're not going to operate at a loss. All you're doing is criminalizing deliveries that cost more than 10%.

> Because the city made it illegal

That just seems as PR from food delivery apps. AFAIK the city put a limit on how much the restaurants can be charged, there is no limit on how much a person ordering the food can be charged.

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#438
post #210

Earlier quoted context omitted.

Yes, this is a completely unnecessary law. Restaurant phone numbers are seconds away using the same device used to order from these apps, and a phone call is free. Absolutely no reason a restaurant can’t recoup extra costs by charging the app users more or simply refusing to do business with the app.

Non competes, price parity rules, and simply market exposure. You cant start a book selling website without selling on amazon. The market share is too large to function without participating in the monopolistic market platforms.

What is https://www.barnesandnoble.com/ https://www.indiebound.org/ and https://bookshop.org/ (probably among a hundred others)?

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#439

I wonder if there would be a market for something that presented the user with a food-deliver-app type interface, but in actual fact is just interfacing with an API on the restaurant's behalf (in lieu of the restaurant having a custom delivery order page). Basically a middle man to replace restaurant's own custom ordering systems (which are often janky, and all act differently). The delivery would still be done by th…

The problem is that you're basically creating a brand arbitrage opportunity. Big corporates are going to do their own things, premium brands are going to get courted by Uber Eats & Door Dash with special deals and cuts, so you end up with small independents who don't draw in big business - there's all sorts of screw ups both good faith and bad that are going to impact your brand, not theirs.

Re: Portland approves 10% cap on fees that food delivery apps can charge restaurants

#440
post #354

Earlier quoted context omitted.

I dont agree on the "faster" part. Uber or Doordash manage their own delivery people and they're vastly more efficient than the restaurants' own. If you look at Yelp or Seamlesss negative reviews, you'll notice that most of them complaint about delivery service. If there's one thing that the restaurants can benefit from when using Uber or Doordash is having their reviews on those platforms based solely on the quality…

When I order delivery from a restaurant, an employee (maybe the owner’s kid) comes and delivers the food directly to my house when it’s done. It‘s generally faster than the app model where you need to wait for the driver to go to the restaurant to pick up the food, then come to your house while possibly stopping at other restaurants and/or houses on the way. I could see how the restaurant delivery would be worse if t…

Restaurant deliver can be worse when the driver is overloaded and your food sits at the restaurant waiting for them to pick it up, or when the driver picks up multiple orders at once (likely) and yours is delayed or is last to be dropped off.
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