Delivery Fee vs. In-House Margin Analyzer
Third-party delivery apps are a great way to reach more customers, but their commission fees can heavily impact your profitability. Use this tool to compare the margins on a delivery order versus a standard in-house sale.
Understand the true cost of commission fees and adjust your delivery pricing to stay profitable.
Make data-driven decisions about which delivery platforms offer the best return for your business.
Quantify the benefit of converting app users to your own, more profitable ordering system.
Results
Enter values and click Calculate to see results
Understanding Delivery Margins
The key challenge with third-party delivery is that the commission is calculated on the total menu price, not your profit. This can have a disproportionate effect on your margins.
Formula for Delivery Profit: Delivery Price - Item Cost - (Delivery Price × Commission %)
Many restaurants increase their prices on delivery apps (a 'markup') to help offset the commission fee. This tool helps you see if your markup strategy is effective.
Frequently Asked Questions
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