Self-delivery for restaurants
As the demand for food delivery rapidly grew in 2020, many restaurants were forced to outsource their delivery operations to meet demand. But with deliveries now accounting for a majority of orders – and looking to stay that way – it’s worth taking a look at bringing delivery inhouse (known as ‘self-delivery’).
Restaurants can choose to bring delivery operations completely inhouse by utilizing only their own employees as drivers or may choose to supplement their drivers with a network of external drivers. Regardless of which option you choose, here are four things to keep in mind when shifting to self-delivery.
1. Scheduling
Scheduling the right number of delivery drivers at the right time is critical. Schedule too many and you may find yourself paying drivers to sit around doing nothing; schedule too few and you may not have enough to keep up with demand.
To counter this, you may wish to supplement your internal drivers with an on demand third party delivery fleet for busy periods. Another option is to hire employees who can perform multiple roles: for example, a busboy who can drive when the dining room is quiet.
2. Costs
Self-delivery is generally more profitable for a restaurant than using an external delivery company. This is because third parties typically charge as a percentage of the overall order, dramatically eating into your restaurant's profits.
When considering self-delivery, thing about how you will account for driver wages. Will the cost of delivery be absorbed into your existing prices, or will you add on a separate delivery charge? Will tips be paid online as part of the order, or will tips be provided directly to the driver by the customer. And will drivers be paid per order or an hourly wage?
3. The customer (and the restaurant!) wins
When a driver is an employee of the restaurant they are delivering food for, they are more likely to take care when delivering an order - going the extra mile to ensure the order is hot, delivered on time, and with a smile. By receiving exemplary customer service, the customer is more likely to become a repeat customer (thereby keeping the employee employed – winners all around!)
Brand awareness can also be increased by having the driver wear a uniform with the restaurant’s logo or driving a branded vehicle
And by having customers order directly, customer data is kept completely within the restaurant’s grasp - meaning restaurants are able to gain valuable insights into their customer base and orders for more targeted marketing.
4. License and registration please
Directly employing delivery drivers comes with additional compliance requirements, which may differ from state to state. Ensure all drivers are licensed and that their vehicle is fully registered with the appropriate insurance, if a company vehicle is not being supplied. Additional insurance may also be required by the business itself to cover driver injury in the case of a crash whilst delivering.
The type of vehicles being utilized are important too – pizzas might be deliverable on a scooter but a wedding cake is not!