Ever wonder why your delivery orders feel less profitable than dine-in customers? Delivery platforms charge 15-35% commission, yet many restaurants keep identical prices across all channels. You're essentially working harder while keeping significantly less.
Why delivery prices are often too low
Most restaurants mirror their in-house menu prices on Deliveroo or Uber Eats. Sounds reasonable, right? But this approach completely ignores the hefty commission these platforms demand.
💡 Example:
Pasta carbonara in your restaurant: €18.50
- Ingredient costs: €5.50
- Food cost: 32% (€5.50 / €16.97 excl. VAT)
- Net revenue: €11.47
Same pasta via Deliveroo (25% commission):
- Platform price: €18.50
- Minus commission: €4.25
- Net revenue: €8.72
Difference: €2.75 less per dish
The hidden costs of platforms
Commission isn't the only expense eating your margins. There's a whole stack of additional costs lurking beneath:
- Commission: 15-35% of your order value
- Payment fees: 2-4% extra for online payment
- Marketing fees: For visibility in the app
- Packaging costs: €0.50-€2.00 per order
⚠️ Note:
Many platforms calculate commission on the total price including VAT, but you receive the price excluding VAT. This makes the actual commission higher than advertised.
Impact on your food cost
Platform commission transforms your food cost percentages dramatically. Dishes that generate healthy profits in-house suddenly become money losers online. We see this pattern repeatedly in restaurant financials - operators scratch their heads wondering why delivery volume doesn't translate to bottom-line growth.
💡 Calculation:
Steak €32.00 in restaurant:
- Ingredients: €9.50
- Food cost: 33% (€9.50 / €29.36 excl. VAT)
Same steak via platform (30% commission):
- Net receipt: €22.40 (€32 - €9.60 commission)
- Excl. VAT: €20.55
- Food cost: 46% (€9.50 / €20.55)
From profitable to unprofitable
Why restaurants don't adjust this
Several factors prevent operators from implementing separate delivery pricing:
- Lack of awareness: Many entrepreneurs never calculate commission impact
- Competition: Fear of pricing above competitors
- Convenience: Managing one menu across all channels feels simpler
- Platform rules: Some contracts require price parity
⚠️ Note:
Review your platform agreements carefully. Some demand price matching with your restaurant menu, while others permit price differences.
The solution: separate delivery prices
Calculate the minimum price needed for each dish to preserve your original margin:
💡 Formula:
Delivery price = Restaurant price / (1 - Commission %)
Example at 25% commission:
- Restaurant price: €20.00
- Delivery price: €20.00 / 0.75 = €26.67
- After commission you receive: €20.00
Tools like KitchenNmbrs let you manage different prices per platform and instantly see your actual food cost after commission deductions.
How do you calculate the right delivery prices?
Check your commission percentage
Look in your platform contract what the exact commission percentage is. Add up all costs: base commission, payment fees and any marketing fees.
Calculate your minimum delivery price
Divide your current restaurant price by (1 - commission%). At 25% commission: price / 0.75. Round to a logical amount.
Test and monitor your results
Adjust prices for your best-selling dishes. Monitor your orders and food cost in the first month to see if the adjustment works.
✨ Pro tip
Review your platform commission rates every 90 days - many operators miss rate increases that platforms implement with minimal notice. Even a 2% commission bump significantly impacts your margins.
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
Can I charge different prices on delivery platforms?
That depends on your contract terms. Many platforms allow price differences, but some require price parity with your restaurant menu. Review your agreement or contact your account manager to clarify.
How much higher can my delivery prices be?
There's no legal limit on pricing. Many restaurants charge 15-30% higher prices to offset commission costs. Test different price points to find what works for your market and competition.
Won't I lose customers with higher prices?
You might lose some volume, but you'll keep more profit per order. It's better to have fewer profitable orders than many loss-making ones.
Do I need to make all dishes more expensive?
Start with your top-selling items and low-margin dishes first. Side dishes and beverages often have better margins and can sometimes maintain the same price across channels.
📚 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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