It seems everywhere you look another restaurant, bar or café is closing its doors. If you were to believe everything you read, then the reasoning has something to do with UberEats. Specifically, the fact that they charge crazy amounts of commission for your blood sweat and tears.
At Ten X we believe that using delivery platforms such as UberEats, Deliveroo or Menulog wisely can have a positive impact on your bottom line.
What does wisely mean I hear you say? Here is how you can boost your profits through the intelligent use of these systems:
- Know your business. You must understand your costs and understand what level of revenue your business needs to achieve to break even each week.
- Focus on your core business concept and ensuring you are building a strong business that is breaking even before considering the use of the platforms.
- Know you margins. Only consider products that have a margin high enough to be sold at a discounted price.
- Forget the commission %. Revenue from delivery platforms must be thought of as incremental. This means if it didn’t exist you would have received $0. Think of it as making sales you wouldn’t normally have made at a discount. Its just like a promotion where you discounted your product? Happy Hour? 2 for the price of 1?
- Focus on the benefits.
Ten X works with clients to understand and develop targets to ensure they are building profitable and sustainable business. Our range of tailored reporting solutions ensure you have the information you need to measure your business performance and make crucial decisions.