The Daily Rail: Restaurants Begin Cutting Ties With Mobile Order and Deliver

Thursday, August 31, 2017


Today's Specials: 


BUSINESS: The 2017 Complete Guide to Restaurant Inventory [Sponsored by Orderly]

Restaurants who take regular inventory can increase profits by up to 24% a year. With that in mind, Orderly has put together The 2017 Complete Guide to Restaurant Inventory to give you the what, how, and who of inventory.


SPORTS: This Is Just the Beginning! Download Your 2017 Weekly Football Preview

The first weekend of NCAA football is a special experience in most sports bars. Every team is undefeated, all of your guests have a stake in a season filled with promise, and your restaurant is the place they are going to follow that passion. Be prepared and download your weekly football preview here.




Signs of a Bad Restaurant

On Monday, Twitter asked its tweeters for signs of a bad restaurant and the responses were both hilarious and accurate. Buzzfeed strung together a collection of the funniest tweets (both serious and joking) from #SignsOfABadRestaurant that you need to see ASAP.


Self-Driving Delivery Cars

Ford and Domino’s are teaming up for a test trial of self-driving cars for pizzas deliveries. The Ford Fusion Hybrid cars will be equipped with pizza containers created by Domino’s, and will require a unique delivery code to unlock and access their self-driven order.


Free Drunk Tats

An Austin restaurant has taken branding to an entirely new level. For all customers over the age of 18, Banger’s Sausage House & Beer Garden will tattoo its logo anywhere on your body for free. The restaurant partnered with a local tattoo shop and stated they’ve already tattooed a couple thousand Banger logos on people.



Why it matters to you: Your restaurant is a community center and folks will look to you during times of trouble.

Our industry has famously stood up whenever natural disasters have occurred. Whether it’s stories of people being fed at no cost by local restaurants during Katrina or being used as shelters during Sandy, hospitality knows how to make a difference. Understanding the vaunted place our businesses hold in people’s minds comes with an easy opportunity to give back in times of trouble. Our restaurants deliver more than food and beverage; they are social centers and gathering places. We should feel pride in our long history of service.

It’s really a part of having a purpose. Apparently, this long history is not lost on the various operators in Texas that have pledged time, product and money to help those affected by the storm. Whether it’s a chef delivering three squares to first responders and rescue workers, or a bartender raising money for those that need relief, we can count our industry among the folks that get it. And for that, we can all be proud. If you want to do your own part, follow this link and see what you can do to help.



Why it matters to you: Restaurants are cutting ties with delivery apps as they haven’t raised profit margins.

The race for offering food delivery has soared within the past few years but has recently hit a wall. Restaurants have put a lot of effort into planning and executing mobile ordering systems into their existing operations and many aren’t seeing a return on investment. As a result, some restaurants have begun cutting ties with their mobile ordering systems because third party apps like UberEATS and GrubHub bring in more orders, but aren’t raising profit margins. According to Reuters, many San Francisco restaurants are pulling back from mobile order, pay and delivery apps because they are increasing costs and complicate operations.

Restaurant operators have openly stated that food delivery apps have boosted the number of orders, however, the “operational headaches behind the scenes” are not worth the effect on revenue. Some restaurants do see success with delivery based on the demand.

One of the challenges of working with delivery apps is that each app requires its own hardware and software to communicate with the restaurant, causing employees to constantly swap attention from iPads, phones, and in-store lines. Some restaurants have been pushed to hire staff just to handle orders. Restaurant operators are encouraged to handle delivery in strides and to return to existing operations without delivery if sales are struggling. Overall, as long as the demand for delivery remains, mobile ordering will not be going away, causing restaurants to pick and choose their battles.