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H4R81N63R t1_j6kw2y0 wrote

(Not really a typical eli5 question, I'd say)

  1. Because Uber/doordash show the tips to the drivers so they can decide if the trip is worth the delivery and drive for them

  2. They won't because the pay they give out to drivers per delivery is barely enough and they expect customers to supplement it with a tip

IIRC, Uber Eats allows you to add a tip later on while doordash doesn't. So mostly customers are forced to tip beforehand instead of based on delivery drivers' quality and/or speed of delivery

However allowing the customer to change tips after delivery is opening another can of worms regarding "bait and switch" tipping

The solution is for Uber and doordash to properly pay their drivers and not expect customers to supplement their pay. But then deliveries will be more expensive and customers will likely pick up their orders themselves (at least for those who can), so lost revenue. This is not even mentioning how Uber and doordash don't technically employ their delivery drivers in most areas where they are operating, thereby getting away with measley "pay" with no benefits

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shaneknysh t1_j6ky1p0 wrote

The delivery service takes 18% or more from the restaurant so the restaurant is very close to making nothing on the low price orders.

For SkiptheDishes the minimum for an order is $6 for an order if you accept 90% of your orders. If the customer tips the tip is not added to the $6, so a $3.00 order with a $3 too is $6 not $9. Plus for years there was no minimum.

There was a community based not for profit solution to compete against the delivery services. The local restaurants could set up the service and hire delivery drivers as employees. The operating costs were split by percentage of orders. If the pizza place got 50% of the orders then they pay 50% of the costs.

Last I heard Skip bought the software behind the service and killed it.

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dmazzoni t1_j6l2okb wrote

> The delivery service takes 18% or more from the restaurant so the restaurant is very close to making nothing on the low price orders.

This just isn't true, for several reasons.

The restaurant saves money not needing to pay someone to take the order and collect the money. They save money on their credit card merchant fees and chargebacks (DoorDash/UberEats assume all the risk).

And if it's still not worth it to them, the restaurant can charge different prices than in-store. Some restaurants near me charge 20% more if you order on DoorDash than if you call in.

It's just economics. If the restaurant isn't making enough money they can charge more. If they charge too much and people don't want to pay, then people can either pick up themselves or go elsewhere.

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shaneknysh t1_j6l5l5t wrote

I'm sure your restaurant is thriving. While working as a delivery driver, the restaurant owners and managers I talked to none liked the delivery apps. Some used it because they didn't have delivery otherwise but it dropped their margins to 2% or worse. Others used the delivery services because they saw a drop in orders to Skip and Uber Eats. They couldn't drop in house delivery or they would lose call in and direct orders that earned more. Now they had 3 competing delivery services and Skip and Uber out bid them for online advertising for their own restaurants.

But the next time I talk to them I'll pass on your advice. I'm certain raising prices or charging for delivery has never occurred to them.

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wondernerd14 t1_j6l9wxh wrote

I don’t want to be an employee of door dash. If I wanted to be an employee I’d deliver for a pizza place. I just want the money and no schedule, boss, or hassle.

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nyc-will t1_j6l1nva wrote

If you don't want to tip, go get your food. That being said, I simply refuse to use any delivery app because I don't believe in paying into that system. Also, the cost of delivery isn't worth the convenience to me. If I'm hungry enough to eat, I'm hungry enough to go get my food.

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