Following the recent news that many consumers are unaware
that up to a third of their payment is taken as commission*** for
takeaway delivery platforms such as UberEats and JustEat, Foodhub
has called for this model to be overhauled to better support the
takeaways and the consumer.
Philip Mostyn, Foodhub Chief Operating Officer, said: “It
is common for many food delivery services to charge takeaway
restaurants a commission for using their service and also charge
consumers a fee.
“We believe this is wrong and actually inhibits the growth
of the industry by punishing those at its heart – the takeaway
restaurants – with huge charges that are unnecessary and
punitive.
“Here, at Foodhub, we’ve been committed to a
non-commission-based business model from the outset.
“Now, more than ever, it is important that takeaway
businesses are encouraged and helped to thrive. These are
challenging times for everyone – with a potential recession on
the horizon. We’d encourage other food delivery services to
follow our lead and introduce a non-commission-based
model.
“Charging up to 36% - as many commission-based takeaway
delivery services do - in these times is unfair. Our takeaway
orders have increased by 33% since lockdown but over 36% of
takeaways have closed during the same period. It is only right
that these takeaway restaurants also benefit from that extra
money when they’re such an essential part of the
industry.”
Foodhub is an online food website and app launched in 2017.
There are more than 12,000 takeaways currently featured online at
foodhub.co.uk and through the apps available for iOS and
Android.
Foodhub is unique in that it does not take a commission
from the food establishments for each order placed. This enables
them to offer better prices and deals to customers than other
online food platforms.
Philip Mostyn added: “In the first 7 weeks of lockdown we
estimated that we’ve saved consumers, when compared directly to
the prices of our rivals, £1.9 million* on the cost of their
favourite takeaway meals*.
“Moreover, compared to other delivery services who charge
takeaway establishments commission on orders and deliveries for
use of their service, we can save the average takeaway partner
£2,550** a month by not charging them commission - that’s £31,025
extra in their till every year.”
As part of our commitment to support the food industry, we
are now offering Restaurants Foodhub totally free of charge for 3
months - https://signup.foodhub.co.uk/ so
they can offer a take out service too, generating revenue and
saving jobs.
ENDS
*Based on 750,000 takeaway meals ordered through
Foodhub during the 7 weeks of lockdown, and an average takeaway
meal value of £15.
**Based on 1,000 orders per month via Foodhub.
***survey data from Flipdish