Should I Add Delivery to My Restaurant? Key Considerations for a Critical Decision

Should I Add Delivery to My Restaurant? Key Considerations for a Critical Decision

The restaurant industry has evolved dramatically in recent years, and delivery has become a significant part of many business models. But is it right for your restaurant? Adding delivery can open new revenue streams and help you reach a broader customer base, but it also presents operational challenges. To help you decide if delivery is the right move for your restaurant, let’s explore the key factors involved in making this important decision.

1. The Rising Demand for Delivery

Delivery is no longer just a convenience—it’s an expectation for many diners. With platforms like DoorDash, Uber Eats, and Grubhub thriving, consumers are increasingly opting for restaurant-quality meals at home. In fact, the delivery market is growing exponentially, and by offering delivery, you can tap into this trend and expand your reach.

However, capturing this demand means carefully weighing the logistics, cost, and impact on your restaurant’s operations.

Ask yourself: Are my customers asking for delivery? Would adding it expand my reach and help me meet customer expectations?

2. Benefits of Adding Delivery

Here are the key benefits of adding delivery to your restaurant:

• Increased Revenue: Delivery allows you to generate income beyond your dine-in capacity. Even during slow shifts, delivery orders can help boost sales and make your business more resilient.
• Broader Customer Base: You can reach customers who may never set foot in your restaurant due to distance, time, or convenience. Delivery gives them a way to enjoy your menu without needing to visit in person.
• Convenience-Driven Loyalty: Modern diners prioritize convenience, and offering delivery meets this need head-on. By making it easy for your customers to enjoy your food at home, you can strengthen loyalty and attract a larger audience.

3. Challenges of Offering Delivery

Before jumping into delivery, it's essential to consider the challenges:

• Food Quality Concerns: Some dishes don’t travel well. You may need to revise your menu to ensure your food maintains its quality after being packaged and delivered. Packaging also plays a crucial role in preserving freshness and presentation.
• Operational Complexity: Managing delivery orders requires additional coordination. Your kitchen needs to handle both in-house dining and delivery without compromising on speed or quality.
• Profit Margin Pressure: Partnering with third-party delivery services like Uber Eats and DoorDash often means dealing with high commission fees, which can cut into your profits. Carefully consider whether delivery fees are worth the extra revenue generated.

Ask yourself: Can my restaurant balance delivery without disrupting in-house service? Will the added costs be offset by increased sales?

4. Third-Party Platforms vs. In-House Delivery

The choice between using third-party platforms and running in-house delivery is one of the most important decisions you’ll make.

• Third-Party Platforms: Apps like Uber Eats, DoorDash, and Grubhub provide exposure and handle logistics. However, their commission fees—often 15-30%—can take a significant bite out of your profits. Plus, you lose control over certain aspects of the customer experience.
• In-House Delivery: Managing delivery yourself gives you full control, but it requires investing in your own drivers, systems, and logistics. The upside? You can create custom delivery zones and rules to maximize efficiency, avoid long-distance orders that aren’t cost-effective, and maintain a direct relationship with your customers.
• If you are considering in-house, GoTab integrates with ShipDay, your all-in-one delivery software.

Pro Tip: Use GoTab’s Online Ordering Aggregation: With GoTab, you can integrate multiple third-party delivery platforms into your restaurant’s delivery system. This way, all orders—whether they’re from Uber Eats, DoorDash, or Grubhub—are processed through your own system, simplifying operations and keeping everything under one roof. Plus, if you’re running in-house delivery, GoTab allows you to create unique delivery zones and rules for maximum control and efficiency, ensuring that delivery fits your business perfectly.

5. Operational Readiness

To successfully add delivery, your restaurant needs to be operationally ready:

• Staffing: Do you have enough staff to handle delivery orders alongside dine-in guests? You may need to train employees to manage the added complexity or hire additional staff for delivery prep.
• Technology: Managing delivery requires the right technology. A robust POS system that integrates both in-house and third-party delivery orders is key to ensuring smooth operations. GoTab’s online ordering platform seamlessly integrates all delivery channels, helping you manage orders efficiently, no matter where they come from. And with kitchen display systems (KDS), delivery orders are instantly and accurately routed to the kitchen, ensuring they’re prepared promptly and with priority.
• Packaging: High-quality, eco-friendly packaging is essential for delivery success. You’ll need to invest in packaging that maintains your food’s temperature and presentation while keeping sustainability in mind.

Ask yourself: Is my restaurant operationally ready to handle delivery without compromising customer satisfaction?

6. Delivery as a Branding Opportunity

Offering delivery can also be a great opportunity to extend your brand. With custom-branded packaging and a seamless ordering experience, you can leave a lasting impression on customers even when they’re not dining in.

Delivery presents a unique chance to reinforce your restaurant’s identity and create an experience that’s as memorable at home as it is in-house. Whether it’s through personalized packaging, creative promotional deals for delivery orders, or engaging customer feedback loops, delivery can deepen your relationship with your patrons.

Ask yourself: How can I turn delivery into a branding opportunity that strengthens my connection with customers?

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Deciding whether to add delivery to your restaurant is a big step, but it’s one that could significantly expand your business. Delivery opens up new revenue streams and helps meet the growing demand for convenience. However, it comes with challenges such as maintaining food quality, operational complexity, and navigating third-party platform fees.

With GoTab, you can streamline this process by integrating third-party delivery services directly into your system or taking full control with in-house delivery, where you can create custom zones and rules to maximize efficiency.

If you’re ready to embrace delivery, evaluate your operations, tech stack, and customer demand. With the right approach, delivery could be the perfect addition to your restaurant’s growth strategy.

Request a demo today to learn how GoTab can optimize your operations