It’s 2023…There’s numerous options to grow your restaurant business.
Today we focus on DoorDash for restaurants and merchants.
In this post, I’ll cover:
- The most current information about DoorDash and how it can benefit your restaurant business and your revenue growth.
- DoorDash cost and fees.
- How to sign up your restaurant with DoorDash
How does DoorDash Work for Restaurants
If you are considering becoming a DoorDash Merchant, you may want to read this article.
Recent changes from DoorDash have made it much easier for small and local restaurants to choose how they want to be involved with DoorDASH and its benefits.
Depending upon your business and your interests, you can choose the most suitable option that suits you.
Storefront
DoorDash Storefront is an option for building a website that allows customers to pick up and deliver products through the Doordash brand.
- There is no commission fee.
- DoorDash allows customers who are already viewing the website to order directly from your restaurant on the storefront.
- Storefront features can be canceled at any time without charging additional fees.
Below is a Chick-fill-A example from DoorDash Miami
DoorDash Drive
In DoorDash Drive, a merchant uses its website and phone to receive orders, but a Dasher handles food delivery.
You will take orders and get them ready, but DoorDash and Dashers will make sure food is delivered.
Marketplace
The DoorDash marketplace is the perfect place where you can easily grow your business as a flourishing takeout destination.
The entire marketing, ordering, and delivery process is controlled by the marketplace.
By working closely with the DoorDash app, restaurants gain exposure, of which they (pay monthly fees to use).
In addition, every order is charged a commission fee, but these are based on your restaurant’s specific requirements.
Get started with DoorDash.
Why choose DoorDash?
Marketing
Word of mouth is generally the most important factor in the promotion of local restaurants.
A good location, visible signs, and effective signage are good ways to let people discover and enjoy your restaurant.
Despite this method working for a long time, in the era of Covid and the realization that we don’t have to go out, there are other options available.
With DoorDash, you can:
- Display your brand, i.e restaurant’s logo and branding in a way that can’t be found anywhere else.
- Get exposure,(your restaurant could be front and center on the first screen a customer opens up the app).
- Promote new deals quickly to a wide net of people and have customers ordering from all over.
- Get access to marketing tools that provide insight into your business through the Merchant Portal.
Delivery Services
Most restaurants don’t have their own delivery service.
A driver hire, health insurance, and the hourly rate of paying someone all add up quickly and make it difficult for small businesses to have delivery.
If you’re a doorDash merchant, you can choose to have door dashers where you don’t have to worry about delivery.
All the picking up and transporting will be handled by Dashers.
It is DoorDash’s responsibility to provide their own delivery drivers, not you, the merchant.
Commission fees are collected from each order.
Therefore, you can focus on making great food and taking care of your staff.
Self-Delivery
You can avoid commission fees through the DoorDash app, but you must fulfill these orders with your own staff.
DoorDash can give you exposure while keeping your staff employed with delivery duties if you have a delivery system in place.
You may benefit from this while integrating new technology into the team.
The process of establishing your own delivery crew can be complex and requires a great deal of learning.
Online Ordering
DoorDash merchant programs allow your restaurant to receive online orders through virtual systems.
As a result,
- There is no need to have someone answer the phone or keep in touch with the customer.
- Customers can order precisely what they want through this ordering system and your staff can review it as they prepare it. This is especially useful when your restaurant is a restaurant that has never done takeout or upkeep.
DoorDash’s online ordering features cost a monthly fee, but it allows you to integrate it into your business model via POS.
Pickup
Online ordering opens up an avenue of pickup for those who prefer to pick up their orders.
No delivery fee is charged, and customers can pick up their orders at the store using the app or through the online system for quick pick-up.
There is a much lower commission fee for pickup through DoorDash than a delivery.
Customer Service
DoorDash is a major, national company, so the support you get from the brand is highly tuned..
In addition to that, they have a lot of information online and transparency that lets you know exactly what you can accomplish with them.
Customer support for DoorDash merchants is 24/7 available, and online portals help you troubleshoot if there are any technical or financial issues.
This eliminates the headache of dealing with a majority of common problems.
What Are the Pros of Becoming a DoorDash Merchant?
Listed below are some of the advantages of integrating DoorDash into your business.
- The app offers numerous marketing and promotion options
- Delivery, pickup, and self-delivery options depending on your personal needs
- Access to customer service is available via the DoorDash Merchant Portal.
- Sales increase is facilitated by promotions.
- Set commission rates and fees
- Weekly payments
Get started with DoorDash.
What Are the Cons of Becoming a DoorDash Merchant?
Some of these concerns can arise when integrating DoorDash into your business.
- There are different state regulations regarding commission caps for restaurants
- Takes some control from the owner in terms of marketing and order
- They can sometimes rely on third-party for delivery
DoorDash Cost for Restaurants
The biggest question when choosing a new system like DoorDash is what the cost-earnings ratio will be.
The good news is that DoorDash has many different options for commission fees and deals that you can choose and choose from.
The commission fees are determined by your restaurant’s needs and pricing through the DoorDash Marketplace.
The calculation is explicitly based on what is most beneficial for both parties.
Merchants do not have a one size fits all commission rate, as each restaurant has its own pricing and sales style.
Fees
DoorDash offers a variety of pricing options, depending on what route you take.
The fees and commissions pay for your exposure, customer service, technology costs, credit card processing, and most importantly, the delivery drivers’ time.
DoorDash App
When a customer uses the app to place an order, a commission will be taken out of the total.
As each restaurant has different pricing, there is no set percentage.
Storefront
Online credit cards have a 2.9% processing fee and a $.30 flat fee per order when using Storefront.
Drive
Dashers receive a flat rate for each order placed through the website of a restaurant.
How Doordash fees Impacts Food Pricing
Since commission prices are flexible based on what your restaurant’s current pricing is, your decision to raise or lower your food prices will remain solely up to the needs and demands of your business.
If you take into account the cost of your business overall, but add in the increased sales that DoorDash may be able to provide you with, you can calculate what your best price should be.
How to Sign up for DoorDash as a Restaurant
It is extremely simple to sign up and find out which course is the best.
You can go right to their website and take a quiz, which will show you what your needs are.
Is DoorDash Worth it for Restaurants?
Having a partnership with DoorDash in any capacity means that your product and brand can reach a larger audience.
We know that online ordering and delivery have become a staple in America and are unlikely to change anytime soon.
If you have your store’s menu, store hours, and ordering system accessible through the DoorDash app, your customer base and orders will likely skyrocket.
As the in-person dining environment returns to its normal state, local businesses have the chance to gain returning customers.
Dashpasses are popular with many people, which offers them even better delivery deals.
To grow your business you must ensure your restaurant or business is connected to DoorDash’s marketing.
The advantages of alternative food delivery systems such as GrubHub, UberEats, Postmates, and Caviar are comparable to that provided by DoorDash. However, they are not as robust as DoorDash’
Frequently Asked Questions
Here are a few questions many DoorDash merchants ask.
