A marketing budget for delivery is crucial for profitable growth. Many restaurant owners throw money at platforms without knowing if it's profitable. Learn how to set a realistic marketing budget that fits your delivery margin.
First, calculate your actual delivery margin
Before you can set a marketing budget, you need to know how much you actually keep from delivery orders. This isn't just your food cost, but all the costs that come with delivery.
💡 Example delivery margin calculation:
Average order value: €25.00 incl. VAT (€22.94 excl.)
- Platform fee (25%): €5.74
- Food cost (30%): €6.88
- Packaging costs: €1.20
- Labor allocation: €3.50
Net margin: €5.62 (24.5%)
The 10-15% rule for marketing budget
A common rule is that your marketing budget can be 10-15% of your delivery revenue, but only if your net margin is at least 20%. With lower margins, marketing quickly becomes unprofitable.
⚠️ Watch out:
Platform promotions cost you double: you pay for discounts and often extra commission. Always factor this into your marketing budget.
Different marketing channels for delivery
You spread your marketing budget across different channels. Each channel has different costs and results:
- Platform promotions: Sponsored listings, discount campaigns
- Social media ads: Facebook, Instagram targeted to your delivery area
- Google Ads: Search terms like "order pizza [city]"
- Influencer marketing: Local food bloggers and influencers
- Email marketing: Win back existing customers
Calculate your maximum marketing spend per order
For each channel, you can calculate how much you can spend at most to acquire a new customer. This is called Customer Acquisition Cost (CAC). And this is one of the most common blind spots in kitchen management - restaurant owners forget that acquiring customers costs money too.
💡 CAC calculation:
Net margin per order: €5.62
On average, a customer orders 3 times per year
- Lifetime value: €5.62 × 3 = €16.86
- Maximum 50% of this for acquisition
Max CAC: €8.43 per new customer
Budget allocation per channel
Distribute your marketing budget smartly across channels based on their effectiveness. Start conservatively and scale what works.
- Platform promotions (40%): Direct visibility, high conversion
- Social media ads (30%): Targeting by delivery area possible
- Google Ads (20%): High intent, but competitive
- Other (10%): Email, influencers, experiments
Measurable goals and ROI tracking
Set measurable goals for each channel. Without tracking, you won't know if you're spending your budget effectively.
💡 Example monthly goals:
- Platform promotions: 15% more visibility, max €300
- Social media: 50 new followers, 10 new customers, max €200
- Google Ads: 100 clicks, 8 conversions, max €150
Total budget: €650 at €5,000 delivery revenue (13%)
Adjust your budget based on results
Your marketing budget isn't static. Adjust it based on results and seasons.
- Increase budget: If ROI is above 3:1 and you can deliver
- Decrease budget: If CAC becomes higher than your maximum
- Reallocate budget: From poor-performing to well-performing channels
- Seasonal adjustments: More budget in winter (more delivery)
⚠️ Watch out:
Stop marketing that doesn't pay off. Better no marketing than unprofitable marketing. Your margin is already tight with delivery.
How do you set a marketing budget? (step by step)
Calculate your actual delivery margin
Add up all costs: platform fee, food cost, packaging, and labor. Subtract this from your order value excl. VAT. This is your net margin per order.
Determine your maximum marketing percentage
With a margin of 20%+, you can spend 10-15% of revenue on marketing. With lower margins, keep it under 10%. Never exceed your margin.
Calculate Customer Acquisition Cost limit
Multiply your margin per order by the average number of orders per customer per year. Spend a maximum of 50% of this on acquiring that customer.
Allocate budget across channels
Start with 40% platform promotions, 30% social media, 20% Google Ads, and 10% experiments. Adjust based on results after 3 months.
Measure and optimize monthly
Track CAC per channel, ROI, and conversion rates. Shift budget to channels that stay under your CAC limit and deliver good ROI.
✨ Pro tip
Test your marketing channels with just €200 per channel for the first 30 days before committing to larger budgets. Track every euro spent and customer acquired during this trial period.
Calculate this yourself?
In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.
Was this article helpful?
Frequently asked questions
What percentage of my delivery revenue can I spend on marketing?
With a net margin of 20% or higher, you can spend 10-15% on marketing. With lower margins, keep it under 10%. Never exceed your actual margin.
Which marketing channel works best for delivery restaurants?
Platform promotions (sponsored listings) often have the highest conversion because people already want to order. Social media ads work well for brand awareness in your delivery area.
How do I calculate if my marketing spending is profitable?
Divide your total marketing costs by the number of new customers. This is your Customer Acquisition Cost (CAC). This should be lower than 50% of a customer's lifetime value.
What if my delivery margin is too low for marketing?
Focus first on increasing your margin: higher prices, negotiate lower platform fees, or more efficient packaging. Marketing with low margins is wasted money.
📚 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.
Food cost control for delivery and dark kitchens
With delivery, margins are thinner than ever. KitchenNmbrs calculates your actual food cost including packaging so you know if every order is profitable. Test it free for 14 days.
Start free trial →