If menu prices should be higher

Quick answer

Should your delivery platform prices match your restaurant prices? Absolutely not - the math doesn't work. Platforms charge 15-30% commission plus packaging costs eat into every order.

Should your delivery platform prices match your restaurant prices? Absolutely not - the math doesn't work. Platforms charge 15-30% commission plus packaging costs eat into every order.

Why platform prices always need to be higher

Setting identical prices across your restaurant and delivery platforms? You're bleeding money. Your additional costs include:

Platform commission: 15-30% of your order value
Packaging costs: €0.50-€2.00 per order
No tips: staff earns less
Payment fees: extra transaction costs

⚠️ Note:

Same pricing means 20-35% less profit per dish. With a 30% margin, you're left with scraps.

Calculate your break-even platform price

Break-even pricing ensures you earn identical amounts whether customers dine in or order delivery. Here's the formula:

Platform price = (Restaurant price + Packaging costs) / (1 - Platform commission%)

? Example:

Pasta carbonara in your restaurant: €16.50

Platform commission: 25%
Packaging costs: €0.80

Break-even platform price: (€16.50 + €0.80) / (1 - 0.25) = €23.07

You need €23.07 minimum to maintain profitability.

Different commissions per platform

Commission rates vary significantly between platforms. Typical ranges:

Deliveroo: 13-35% (contract dependent)
Uber Eats: 15-30%
Just Eat: 20-35%
Own delivery via platform: 10-15%

Lower commissions mean smaller markups needed. But packaging costs remain constant across all platforms.

? Example commission difference:

Margherita pizza restaurant price: €12.00

At 15% commission: €14.82 platform price
At 30% commission: €18.29 platform price

Difference: €3.47 per pizza

Don't forget packaging costs

Packaging expenses accumulate rapidly. Typical costs per order:

Meal containers: €0.15-€0.40 per unit
Sauce containers: €0.05-€0.10 per unit
Cutlery and napkins: €0.10-€0.20
Bags and stickers: €0.05-€0.15

Average orders cost €0.50-€2.00 in packaging alone. These costs must be recovered through pricing - a pattern we see repeatedly in restaurant financials shows underestimating packaging destroys margins.

⚠️ Note:

Packaging expenses exceed most estimates. Track monthly spending and divide by order volume for accurate costing.

Psychology of higher platform prices

Customers expect platform premiums. They understand delivery involves additional costs. Market research reveals:

85% expect higher prices on delivery platforms
15-25% markups are considered reasonable
Suspiciously low prices can damage perceived quality

Price adjustments aren't just acceptable - they're anticipated and logical.

? Example price perception:

Burger in restaurant: €14.50

Platform price: €18.50
Customer thinks: "Makes sense, delivery costs extra"

A 27% markup feels completely normal.

Different strategies for different dishes

Strategic pricing varies by menu item. Consider these approaches:

Popular dishes: Moderate markup (volume offsets lower margin)
Premium dishes: Higher markup (customers expect premium pricing)
Sides and drinks: Maximum markup (easy profit centers)

This optimizes both average order value and overall profitability simultaneously.

How do you calculate the right platform prices?

Gather your costs

Note your restaurant price per dish, the platform commission (check your contract), and add up your packaging costs from an average order. Divide packaging costs by number of dishes per order.

Calculate break-even price

Use the formula: (Restaurant price + Packaging costs per dish) / (1 - Platform commission%). This is your minimum to earn as much as in the restaurant.

Test and optimize

Start with break-even prices and monitor your orders. Gradually increase popular dishes by €0.50-€1.00 to improve your margin. Watch order frequency.

✨ Pro tip

Track your actual platform profitability over 30 days by calculating true costs including commissions and packaging per order. Most restaurants discover they're losing money on 40% of their platform sales.

Calculate this yourself?

In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.

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Frequently asked questions

How much markup is normal for delivery platforms?

15-30% markups are standard and accepted by customers. This range covers platform commissions and packaging while remaining competitive.

Should I use different prices per platform?

Yes, tailoring prices to each platform's commission structure makes financial sense. Just monitor competitor pricing across platforms for context.

What if my competitor charges less on platforms?

Verify they're actually profitable at those prices. Many restaurants operate at losses due to inadequate platform pricing strategies.

Can I charge packaging costs separately?

While possible, customers prefer transparent all-inclusive pricing. Build packaging costs into dish prices for better customer experience.

How often should I adjust my platform prices?

Review monthly and adjust immediately when commissions or packaging costs change. Your margins are too critical to ignore.

Do premium dishes need higher markups than regular items?

Absolutely - customers expect premium pricing on high-end dishes, making them ideal for larger markups. Use this psychology to your advantage.

Should I round platform prices to neat numbers?

Yes, round to psychologically appealing prices like €18.50 instead of €18.73. Customers prefer clean pricing even with markups.

ℹ️ This article was prepared based on official sources and professional expertise. While we strive for current and accurate information, the content may differ from the most recent regulations. Always consult the official authorities for binding standards.

Sources consulted

EU Verordening 852/2004 — Levensmiddelenhygiëne (2004) — Official source
EU Verordening 853/2004 — Hygiënevoorschriften voor levensmiddelen van dierlijke oorsprong (2004) — Official source
EU Verordening 1169/2011 — Voedselinformatie aan consumenten (2011) — Official source
NVWA — Hygiënecode voor de horeca (2024) — Official source
NVWA — Allergenen in voedsel (2024) — Official source
Codex Alimentarius — International Food Standards (2024) — Official source
FSA — Safer food, better business (HACCP) (2024) — Official source
BVL — Lebensmittelhygiene (HACCP) (2024) — Official source

Food Standards Agency (FSA) — https://www.food.gov.uk

The HACCP standards shown in this application are for informational purposes only. KitchenNmbrs does not guarantee that displayed values are current or complete. Always consult the FSA or your local authority for the latest regulations.

Written by

Jeffrey Smit

Founder & CEO of KitchenNmbrs

Jeffrey Smit built KitchenNmbrs from 8 years of hands-on experience as kitchen manager at 1NUL8 Group in Rotterdam. His mission: give every restaurant owner control over food cost.

8 years kitchen manager at 1NUL8 Group Rotterdam

Expertise: food cost management HACCP kitchen management restaurant operations food safety compliance

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