UberEats - Buyer Beware!




Let's face it.  Everyone loves convenience.  A simple mobile app, a few clicks.... and voila!  Instant food delivery from a variety of local restaurants.  For those of you that have used UberEats, or are considering trying it, we thought we would share with you a behind-the-scenes description of how the process works from the restaurant's end.

When we were first approached by Uber, we immediately liked the concept that was proposed to us.  For a percentage of each order, Uber would send a driver to deliver your food and handle all payments and transactions.  Their sheer size and marketing power would be a no-brainer for a small, family restaurant with limited resources.  They would handle all the advertising, hire the drivers and take beautiful photos to help sell your food to the masses.  There would be no monthly fee and you only pay if they get you business.  Sounds too good to be true?  That's because it is.  Now for the 'catch.'

1.  Sales Fees.  When we first started with UberEats 2 years ago, a $200 refundable deposit was required for an ipad which would be sent to you to receive orders.  There were no set up fees and no contract.  Recently, however, the fees changed to a $500 NON-REFUNDABLE deposit to set up an account.

2.  UberFees.  When we started, Uber took 30% of the restaurant sale and deposited the funds to the restaurant's account on a weekly basis.  New restaurants that start with Uber are required to pay 35% of their sales gained through Uber.  These rates are not negotiable.  Uber makes 30 to 35% off each order plus the $5 delivery fee they charge to clients when ordering.  The drivers are paid a mileage fee of approximately $1.25 per km.  In exchange for collecting the client's money and running the program, Uber then claws back 25 percent as a service charge from the drivers.  The drivers also get a pick up fee of $1.25.  Overall, it appears that the only person making money is Uber as they take money from the drivers, the restaurant and the clients.

3. Delivery Process.  When an order is picked up by the restaurant, we have ten minutes to accept the order on the ipad or it would result as being cancelled and the client would not be charged.  Automatically, a 20 minute clock is set for the restaurant to start making the food.  Once the clock runs out, a 'call' is put out for any drivers in the area to pick up the order.  Your order may or may not get picked up as it depends on driver availability.  If, after 20 minutes, your order does not get picked up by the driver, it is automatically CANCELLED.  The client is notified and NOT charged for the food and we, the restaurant, get paid the 65% portion for our food but the food is wasted as we don't have the clients address on file.  It is a FAR from perfect system as often times, orders go unfulfilled and food is thrown out.

4.  Drivers.  Drivers who drive people around are also allowed to pick up food for delivery.  This increases the chance of having drivers available for restaurants.  However, it is NOT mandatory for them to carry heat bags with them. Normally, during the summer, this wouldn't be an issue but we live in Canada and temperatures of minus 20 are not uncommon.  This has been our biggest issue with UBER (besides the fees).  How can you deliver HOT food, without a bag and not make it a requirement?  Too often, we're forced to have food sit on our ovens as driver after driver show up without heat bags. We have instructions on our profile which state:  No food will be given WITHOUT a proper, insulated bag.  However, everyone seems to play the "Sorry, I don't speak English" game when it comes to calling them out.  As a result, people often get cold food only to call us to complain.  Our response is that we provided the driver with fresh, hot food and that we're not responsible when it leaves our premises. When told to call Uber to complain, they either get fed up of waiting online or get the same rehearsed apologetic script and $5 OFF their next order credit from their robotic Philippines-based called center.

Overall, our experience with UberEats has been less-than-stellar. Poor customer service. Ignorant drivers with no-bags and exorbitant service fees all compelled us to hire more delivery drivers and to grow our in-house delivery team.  While our initial costs may be higher, our customer-service has improved and client retention has gone up.  Our employees truly care about our guests, unlike Uber Drivers who just happened to be driving by and might never be in the same area again.

For this reason, we highly recommend that you call the restaurant directly or place your order online at www.ThatsItalian.ca.  Small, family businesses are the backbone of a community.  They're the ones that need your support.  They hire locals and sustain surrounding businesses unlike these large multinational corporations that operate from low-tax jurisdictions and add little-to-no value to the community. By feeding the 'BEAST' that created these on-demand services, we create a perpetual cycle of unprotected workers.  Thank you for listening to our rant and thank you for your continued support.

Comments

Popular posts from this blog

PastaLicious is Back..... May 23rd at That's Italian

eGift Cards Are Here!

That's Italian Catering At The Heintzman House