UAE’s got more than its fair share of food delivery apps, it seems.
Which can be awesome – residents are spoilt for choice and just about any sort of food is just a few clicks away
But there has been a bit of a debate recently about the fees these platforms charge restaurants.
Deliveroo, Uber Eats, Zomato and usually take a fee on order – which averages at around what 30% of the restaurant’s charges. And some businesses feel like that lowers the profit margin by quite a bit.
Recently, Freedom Pizza owner, Ian Ohan openly rejected the concept of delivery apps, choosing to employ his own riders.
Tom Arnel who runs holding company Bull & Roo (that includes the famous Tom & Serg as well as Common Grounds, Sum of Us and Encounter coffee roaster) made the valid point that it’s very hard to find the best restaurants on the apps, and that people end up choosing what comes up near the top of the results.
That is not say there are no advantages, of course
The apps offer wider visibility to restaurants and food venues that would otherwise not be possible.
This week’s episode of DUBAI WORKS, a business podcast about the innovators, products, services and trending topics, is all about the nitty gritty of the restaurant world in the UAE