Split-kitchen operations demand channel-specific margin calculations to reveal true profitability. Platform fees and packaging costs create entirely different cost structures. Your restaurant pasta might yield 55% margin while the same dish delivers only 42% through apps.
Why one calculation doesn't work
Running both restaurant and delivery from the same kitchen creates two distinct cost structures:
- Restaurant: Service staff, dishwashing, no packaging costs
- Delivery: Platform fees (15-30%), packaging costs, no service staff
- Shared: Kitchen, rent, ingredients, chef
You'll need separate margin calculations per channel, then distribute shared costs accordingly.
The basics: margin per channel
Start with this margin formula for each sales channel:
Margin % = ((Selling price - All costs) / Selling price) × 100
💡 Example restaurant vs delivery:
Pasta carbonara - Restaurant:
- Selling price: €18.50 (incl. 9% VAT) = €16.97 excl.
- Ingredients: €5.10
- Service (estimated): €2.50
- Total costs: €7.60
Restaurant margin: ((€16.97 - €7.60) / €16.97) × 100 = 55.2%
💡 Same pasta via delivery:
Pasta carbonara - Delivery:
- Selling price: €19.50 (incl. 9% VAT) = €17.89 excl.
- Ingredients: €5.10
- Packaging: €0.85
- Platform fee (25%): €4.47
- Total costs: €10.42
Delivery margin: ((€17.89 - €10.42) / €17.89) × 100 = 41.8%
Distributing shared costs
Kitchen, rent and chef salaries hit your bottom line regardless of channel. After managing kitchen operations for nearly a decade, I've found revenue ratio works best for allocation:
- Restaurant revenue: 60% of total
- Delivery revenue: 40% of total
- Shared costs (rent, chef, gas): €8,000/month
Restaurant bears: €8,000 × 0.60 = €4,800
Delivery bears: €8,000 × 0.40 = €3,200
⚠️ Note:
Always calculate platform fees on the price including VAT. That's what platforms see and base their percentage on.
Calculating actual margin
Subtract shared costs from your gross margin per channel. Calculate monthly:
💡 Complete example:
Monthly overview:
- Restaurant revenue: €30,000 (gross margin 55% = €16,500)
- Delivery revenue: €20,000 (gross margin 42% = €8,400)
- Total gross margin: €24,900
- Shared costs: €8,000
Net margin: €24,900 - €8,000 = €16,900 (33.8% of total revenue)
Adjusting your pricing strategy
If delivery margins look weak, you've got three moves:
- Raise prices: Compensate for platform fees with higher menu prices
- Cheaper packaging: Every €0.10 per order adds up
- Minimum order value: Spread platform fees across more items
Most restaurants bump delivery prices 15-20% higher to offset extra costs.
How do you calculate margin for both channels?
Calculate costs per channel
Make a list of all costs per sales channel. Restaurant: ingredients + service + dishwashing. Delivery: ingredients + packaging + platform fee. Use exact amounts, no estimates.
Distribute shared costs by revenue
Calculate what percentage of your total revenue comes from restaurant and what comes from delivery. Distribute fixed costs (rent, chef, energy) according to this ratio across both channels.
Calculate net margin per channel
Subtract the share of shared costs from each gross margin. This gives you the actual margin per channel. Use this to decide which channel you want to promote or adjust.
✨ Pro tip
Track your top 5 delivery items weekly and compare their margins to restaurant versions. Items requiring minimal packaging often show 3-5% better delivery margins than complex dishes.
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
Should I use different prices for restaurant and delivery?
Absolutely. Platform fees and packaging costs make delivery more expensive to operate. Most restaurants charge 15-20% more for delivery to maintain similar margins.
How do I correctly account for platform fees?
Calculate platform fees on the selling price including VAT. An order of €20.00 incl. VAT with 25% platform fee costs you €5.00 in commission, not calculated on the amount excluding VAT.
What margin is normal for delivery?
Due to platform fees, net margin for delivery runs 10-15 percentage points lower than restaurant service. Expect 25-35% for delivery versus 40-50% for restaurant.
📚 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
- Warenwetbesluit Bereiding en behandeling van levensmiddelen (2024) — Official source
- WHO — Foodborne diseases estimates (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.
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