Feb 27, 2020 | Food Delivery Platform, Restaurant

UberEats – GrubHub increase meal costs up to 91% more

UberEats – GrubHub increase meal costs up to 91% more
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Benjamin

Founder of ActorGear, StoreGear, BigFunny, Ben is a technologist living in California focused on helping small businesses and artists.
A recent New York times study finds that delivery food apps like grubhub, uber eats can make food costs increase to the consumer up 91% higher.

Delivery is not free. The restaurant apps want to get paid for all their hard work spending money on Google ads and account reps so that you can find them quickly. They spend a lot of money on advertising and in order to survive they need to pass those costs on to you and the restaurant

There are various ways the delivery apps add that cost to your order:

  1. Service Fees
  2. Deliver Fees
  3. Handling Fees
  4. Charge the restaurant money
  5. Charge a higher amount for each item

The end result can sometimes cost the consumer up to 91% more than simply going to the restaurant to pick up food.

Real World Food Ordering Costs Consumers Much More on UberEats, Grubhub, Doordash, and Postmates

NY Times Columnist Brian Chen recently wrote an article breaking down his experiences ordering online with all the major apps and comparing the cost to simply going to restaurant to pick up the food when pre-ordering on the phone.

Breatdown of extra costs when going to Panda Express vs ordering on the food ordering apps. UberEats will make your final bill 49% more.
Breakdown of ordering food directly via the food ordering app vs going to the restaurant Panda Express. Photo Data Credit Brian Chen, NY Times

In another real world example Chen compared the cost of going to subway vs having the subway sandwich delivered.

Exaple of going to Subway vs ordering on food apps for 2 turkey sandwiches. Uber Eats will cost you 91% versus going to subway.
Breakdown of ordering food directly via the food ordering app vs going to the restaurant Subway. Photo Data Credit Brian Chen, NY Times

To read the full article visit: https://www.nytimes.com/2020/02/26/technology/personaltech/ubereats-doordash-postmates-grubhub-review.html

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