How Yelp/Grubhub screws restaurants
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I used Doordash a lot the last couple years, but since I found how they were screwing their drivers by keeping the tips you post online I pretty much quit. They say they are not doing that anymore, but I figure if they would do that to begin with, what other shady practices do they have?
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@George-K said in How Yelp/Grubhub screws restaurants:
Related: [Delivery can't sustain restaurants.]
Shocking. I am surprised that the vocal minority of people bragging about how much they'd definitely support their local restaurants by ordering delivery and takeout through the pandemic, are not in fact doing enough to support that industry.
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@Horace said in How Yelp/Grubhub screws restaurants:
@George-K said in How Yelp/Grubhub screws restaurants:
Related: [Delivery can't sustain restaurants.]
Shocking. I am surprised that the vocal minority of people bragging about how much they'd definitely support their local restaurants by ordering delivery and takeout through the pandemic, are not in fact doing enough to support that industry.
Shocking for sure that a business can’t compete with overwhelming messaging that it is not safe to go outside nor be near people. People go to restaurants for the experience. Scale matters.
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Before the pandemic, U.S. consumers purchased about a third of their calories and spent over half of their food dollars on food consumed outside of their home – restaurants, fast food, schools, work cafeterias, etc.,” explained Dr. Douglas Jackson-Smith, a professor at the School of Environment and Natural Resources at Ohio State University. “The closure of these outlets and stay-at-home orders have radically changed where most Americans buy and consume their food, and the supply chains have been slow to reorganize and respond.”
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Yelp saw the BBB shakedown model---figured out how to make it even more corrupt and shady, and ran with it.
I don't really know anything about Grubhub, specifically, but as a general rule have major problems with the whole 'gig' economy businesses. Large companies--(uber, doordash, etc) have what in reality are employees.
Under the guise of 'being their own boss', they sucker the drivers into accepting all kinds of liability, for the prospect of making up to $20 an hour... La-de-freaking-dah. In the meantime, by the time the person has paid all the true expenses of running their own business (insurances, car maintenance, etc) many are lucky to be breaking even.
I know some people are able to make it work (I recall Lufin describing something that made sense) but as a whole...not so much.
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@Loki said in How Yelp/Grubhub screws restaurants:
I assume the restaurants are well aware of the costs and are okay with it. If so what am I missing?
The impression I got is that restaurants were not, in fact, aware of the costs when the phone number was switched.
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@George-K said in How Yelp/Grubhub screws restaurants:
@Loki said in How Yelp/Grubhub screws restaurants:
I assume the restaurants are well aware of the costs and are okay with it. If so what am I missing?
The impression I got is that restaurants were not, in fact, aware of the costs when the phone number was switched.
It seems unclear to me based on their words... like you need the marketing agreement to get listed and that’s one fee and then there is a delivery fee. So the question is once you search and get the restaurant through grub hub marketing how do you get subsequent orders for just the delivery fee?
Grubhub offers a “marketing” service to restaurants, which includes being listed on the Grubhub platform, for between 15 percent and 20 percent of each order total. It also offers a physical delivery service, which costs restaurants another 10 percent. Grubhub says it provides phone numbers for restaurants that sign up for marketing but not delivery in order to capture all orders that could be eligible for its fees.
“It is our understanding that Grubhub has marketing agreements with some restaurants that allow Grubhub to utilize referral numbers on third party partner sites like Yelp,” a spokesperson for Yelp said in an email. She deferred further questions to Grubhub.“
