Coalition of Franchisee Associations

December 5, 2017

Survey Answers Some Key Third-party Delivery Questions

This survey contains some interesting data but also some spin. I direct your attention to:

* Ticket prices are impressive and the managements of the restaurant companies with 
delivery claim that the typical order amount is 2/3/4 times the restaurant's average check. 
Of course it is. What customer is going to spend $5.00 to have a $7.00 order delivered? It's 
either a group order or a person stocking up on that restaurant's food.

* These same managements claim that the bulk of delivery is incremental. They have to say 
that because analysts are expecting same store sales increases. In fact the last quote in this 
article is, "We consistently hear 70 to 80 percent range (incremental sales) from folks that
we partner with".

And yeah, he works for Uber.

Survey sponsored by Franchise Times Magazine


Anonymous said...

I do not understand why my fellow O/Os would sign up for this stupid idea.

Anonymous said...

As a operator of 12 stores UberEats is close to 3% of my monthly sales $100K last month. RFM allows you to price your delivery items differently than in store prices which almost makes up for the 15% uBER fee. Its worth it.

Anonymous said...

Why not sign up? Have your Uber / Delivery prices 15% higher and get the incremental sales obviously some sales are incremental and I think they are close to 70% along with around a 3x's higher average check. Why would you not sign up? If you do not those sales are going to the O/O down the street or another QSR?

Richard Adams said...

It's great that people can post here anonymously. But there is one downside. I have no way to know or confirm that the above two comments are from an actual McDonald's Operator. Could be, maybe not.

But thanks to the poster for participating in the conversation.

Anonymous said...

Sounds like some one from ubereats with a sales pitch.

Anonymous said...

I do NOT find that RFM will allow me to charge higher (different) prices on delivery items.

Anonymous said...

NO WAY is the average check 3X HIGHER. That poster is probably a MCD pajama boy !

Anonymous said...

RFM has 3 areas to price eat in eat out and OTHER. Other is UberEATS pricing.

Anonymous said...

I am one of the posters I was not giving an Uber eats sales pitch, I do not work for UberEats. Do what you want. I could careless if they are our delivery partner a year from now. I do stand corrected just quickly looking at two of my sites I am not the poster with 12 sites, store #1 average check is 181% higher and store #2 is 206% higher after Uber fees so about 2 x’s higher. To the poster who says can’t have higher prices in RFM that is not true, if you do not know how to do it just let RMS do it for you. Give them an amount you want higher on every item or certain items. I am not selling RMS just telling you what I did.

I have been an O/O for over 25 years and in the system for over 35 years; I appreciate this website I think at McDonald’s we do a lot of things right I do not have a huge issue with Uber eats we’ll see where it goes over the next few years, I do not have an issue with mobile order, kiosks or a lot of what we are doing. Our technology is our achilles heel, I go into my restaurants like the rest of you, see my managers on the phone with Atos and the rest of technology vendors, many of our vendors are not held accountable but when something is worth a shot i.e. delivery take it. Like a lot of the other posters I do not agree with everything in BBV 2020 but if something is doing well in my restaurants I will say that.

Anonymous said...

As to kiosks...I wonder when they will become obsolete.

Can’t you just order on your phone? Kiosks don’t take cash and there’s no line in front of your phone.