COVID-19: Delivery + Logistics
The ability to offer delivery since the beginning of the COVID-19 pandemic in the U.S. has been a lifeline for restaurants. In many cases, it has been the only source of revenue. We recognize that there are numerous operational, logistical, and financial considerations that that an operator needs to make when offering delivery. From menu and packaging, to safety and compliance, to costing and pricing, to determining whether you should use legacy or white label applications, below we address the factors operators should take into consideration.
Pickup + Delivery - Operations
Ensure menu offerings are up-to-date online. This can include the following options:
Menu Offerings
Offer larger catering options that can feed families over the course of several days.
Offer partially assembled packages (i.e. meal kits) with ingredients to cook at home. This allows your guests the flexibility to cook at home and gives the restaurant the ability to reduce labor while utilizing existing inventory.
Offer CSA boxes (i.e. vegetables, eggs, cheese, etc.) and pantry staples (i.e. flour, grains, bread, jams, etc.).
Protocol
DIG | Delivery Protocol Internal - English
DIG | Delivery Protocol Internal - Spanish
DIG | Delivery Protocol External - English
Pickup + Delivery - Finance
This Delivery Economics Calculator from Figure Eight Logistics is a spreadsheet that calculates profit margin on menu items and delivery orders. Item margins are calculated by uploading food and paper costs, then pairing menu items with their respective packaging.
You can create mock orders that include commission, delivery fees, and order packaging (i.e. delivery bags) to provide a full picture of profitability. [Here]
Pickup + Delivery Apps
Whether your restaurant is using legacy apps like Grubhub or UberEats, or working with evolving technology solutions such as TockToGo or BentoBox, ensure that you are using the solution that best suits your operation and financial considerations.
Many tech companies have pivoted to offer pickup and delivery solutions on their platform. Contact your POS provider to see if they’re able to activate online ordering with pre-approved vendors. This allows you to capture sales without exchanging payment in person.
New + Customized Solutions
There are numerous options, which gives you the ability to find the solution that is best for your specific business.
Bento Ordering by BentoBox — Enables you to customize the online ordering experience with your restaurant’s branding and gives you ownership of customer data as well as access to marketing collateral, order management, and additional features. It is available to both restaurants who do and do not use BentoBox as their website host, and they are offering discounted COVID-19 pricing for Bento Ordering and waiving setup fees. Upon sign up, Bento Ordering can be up and running in less than 4 days. [Here]
TockToGo — With Tock, you can now offer meals for delivery or pickup, just like a prepaid experience. It's easy, fast, and safe for your staff and guests alike. It is available to both restaurants who do and do not use Tock for reservations. Tock is currently only charging a 3% fee to restaurants. [Here]
Bbot + SevenRooms — They have come together to launch Direct Delivery: a direct digital ordering solution for delivery and pick-up orders to help restaurants boost revenue and increase loyalty. They are currently offering 90 days free upon sign up. [Here]
ChowNow —They allows customers to place orders directly from your website, social media profiles, and custom-built food ordering apps — commission-free. [Here]
GoParrot — Similar to ChowNow, they offer a customizable solution for your customers to place orders directly with the restaurant, allowing you to navigate around commission-based apps. [Here]
Legacy Delivery Apps
We view legacy delivery apps such as Caviar, Postmates, and Grubhub as a marketing expense. They will help broaden the reach but also charge high service fees (18% - 30%) directly to the business without cost savings with scale
During COVID-19, some legacy delivery apps have offered waived or deferred payments, but there has been criticism from all sides that these legacy delivery apps have been an enormous burden on the industry for years. This is recapped well in a Food & Wine article by Khushbu Shah. [Here]
White-Label Delivery
This White-Label Delivery Blueprint from Figure Eight Logistics is a great resource for restaurants who are considering taking ownership of everything from online ordering to logistics. [Here]
Disclaimer: The consolidated resources are here for your consideration. The information provide above is not legal advice. We recommend talking to your lawyer to ensure all state + federal compliance is maintained. If you do not have legal representation, we would be happy to connect you with legal counsel. We understand that circumstances are changing quickly and we are updating content as it is available.
