The love-hate relationship between restaurants and third-party delivery providers continues to show some cracks. As of this writing, there had just been a hearing in New York to hash out differences regarding the fees that third-party vendors charge restaurants for their services, which tend to range from 12 to 30 percent of each check total, according to the AP. In the meantime, some restaurants have alleged that the charges from third-party delivery companies aren’t stopping there. A class-action lawsuit filed in Pennsylvania in May claimed that Grubhub was charging for calls to restaurants that were made through the Grubhub app even if the call did not result in an order. (For example, a New York Post report said calls for reservations and customer complaints were being charged.) And there’s yet another wrinkle: A new report in New Food Economy found that Grubhub had purchased more than 23,000 potential restaurant website domain names, which would enable the company to prevent the restaurants from using those domains (without Grubhub’s involvement, anyway) to support their businesses. The sites appear to be for the restaurant in question but phone numbers shown on them direct users to Grubhub and then are forwarded (and charged) to the restaurant. Grubhub then receives a commission between 3 and 15 percent per order placed this way. For its part, Grubhub told New Food Economy that it purchased the sites to give restaurants an additional source of restaurant orders and that any affected restaurants could request to have their domains transferred to them. Regardless of the outcome, at a time when delivery has become compulsory for restaurants, restaurant operators would be wise to screen their contracts carefully — and to consider the future of their web presence. Third-party delivery vendors can help smaller brands compete with larger ones that have the resources to manage their delivery in-house but it’s important to understand where the costs may outweigh the benefits.
Is this tech fThere is a lot of noise in the restaurant technology space. How do you know which new technology is a solid investment — or even when it’s worth upgrading your existing tools and systems? CIO Review identified five E’s that can help you sift through the clutter. Asking yourself these questions can help you narrow down your options. First, is it easy to use? If it’s not, your team won’t use it and it may even motivate their decision to leave. Next, is it effective in tackling intended challenges — enough so that it makes the investment worthwhile? Third, is the technology efficient? It should either automate or reduce the steps you must take to complete a task, not create new ones. Fourth, is it engaging to use? In addition to being intuitive to use, the interface should provide feedback and visual cues to guide someone through a task. Finally, how tolerant of errors is the technology? Can you easily undo a task initiated by accident? It should have controls in place to minimize the impact of user errors and above all, safeguard your data.or you? Remember the five E’s
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