Restaurant delivery apps have been increasing in popularity over the years. Both for their convenience to the user, and their benefit to the restaurant in serving someone that's not there in person. What's more, these apps are creating jobs worldwide for delivery drivers and giving them the working flexibility many of which have never had before. You could say it's a win/win/win scenario all around, or is it? While apps like Mr Delivery, DoorDash, GrubHub, Postmates, and UberEats have established themselves in the restaurant delivery market, there is room for improvement. Grocery Delivery
Enter DeliverMe. The new restaurant delivery service that's about to change the game for restaurants, users, and delivery drivers alike. Read on to find out how.
COVID-19 AND DELIVERY APPS
COVID-19 has dramatically increased the need for and usage of delivery apps, for groceries and restaurants alike. According to GreenBiz, "UberEats claims to have experienced a tenfold increase in new restaurant signups, and some local restaurants say the percentage of orders placed through third-party apps has risen from around 20% to roughly 75%.
Even before the COVID era, food order and delivery apps were growing rapidly, and the sector was on track to more than double in value by 2025 — from $82 billion in 2018 to $200 billion by 2025. Projections showed that by 2023 about one-quarter of smartphone users, or 14 million Americans, will use these apps."
The pandemic has made delivery apps more vital for both consumers and businesses alike. It is a way for restaurants and grocery stores to stay in operation without needing people to come to the restaurant physically. For many, it is the only way to stay afloat. Delivery apps are needed worldwide, and consumers and restaurants are constantly looking for the best options to save themselves money.
THE ELEPHANT IN THE RESTAURANT
One of the biggest issues with current restaurant delivery apps is the massive delivery commission fee they take, which is 30% by apps like UberEats. According to Business of Apps, the major issue for Uber Eats even though it takes a 30% cut from all orders and a delivery fee, it has yet to make a profit. Part of the problem is in many cities; Uber is attempting to gain market-share through exclusive partnerships with established brands like McDonald's, and Starbucks by offering cheap delivery costs. In most cases, restaurants lose money when people order from these apps.
Not only that, but consumers are also losing money, paying 30% higher fees for meals for the convenience of having them delivered. When going out isn't an option during the COVID-19 pandemic, this is a catch-22 that benefits no one but the delivery service providers. The market is currently dominated by the four previously mentioned restaurant delivery apps. When examining data provided by Business of Apps, we can see how they compare.
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