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Business Tips

Build Your Own Food Delivery App Instead of Paying Commissions

Feb 3, 20269 min readHostao LLC

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Let's talk about the commission math that most restaurants try not to think about too hard. A restaurant processing $100,000 per month in delivery orders through a major delivery app, at a 25% commission, sends $25,000 every month to that platform. Per year, that's $300,000 in commissions on the same revenue that, with your own ordering app, would cost a fraction of the price.

This is why restaurants across the world are investing in their own mobile ordering apps, and why the economics make compelling sense for almost any restaurant doing meaningful delivery volume.

The Commission Problem

Third-party delivery apps charge commissions ranging from 15% to 35% depending on the platform, plan, and negotiated rate. For most restaurants, 25-30% is typical. This commission comes out of order value before it reaches you, which means:

  • A $40 order that costs you $15 in food and $3 in packaging yields $22 in gross profit at normal margins
  • After a 28% delivery app commission ($11.20), you're left with $10.80 — a 27% margin instead of 55%
  • Once you factor in rent, labor, and other fixed costs, many restaurant delivery orders through third-party apps are breaking even or losing money

Restaurants that have moved a portion of their delivery orders to their own app report recapturing 15-20 percentage points of margin on those orders. On a restaurant with $80,000 per month in delivery, moving even 40% of orders to a proprietary app at full margin adds $4,800-$6,400 per month in additional profit.

The Discovery Objection

The argument for staying on third-party apps is discovery — new customers find you through the platform's marketplace. This is real. Delivery apps are how many customers discover new restaurants.

The counterargument: once a customer has ordered from you and liked the food, your goal should be to move them to your own channel. They've already decided they like you. The discovery value of the third-party app has been delivered. Paying 28% commission indefinitely to retain customers you've already won is expensive.

The smart approach: stay on third-party platforms for discovery. Use every order as an opportunity to drive customers to your own app for repeat orders. A card in the bag, a message on the receipt, a push notification to customers who've ordered before — all of these can gradually shift your repeat business to your own channel while new customers continue finding you through the marketplace.

Building Your Own Ordering App

2CreateApps includes full online ordering, in-app payment processing, delivery zone management, and order management tools in their restaurant templates. You don't need to build from scratch.

Key features for a restaurant ordering app:

  • Menu with customization options — Size, extras, special requests
  • Saved addresses and payment methods — Make reordering frictionless
  • Order tracking — Push updates on preparation and delivery status
  • Delivery zone and minimum order settings
  • Scheduled orders — Order in advance for a specific pickup or delivery time
  • Loyalty rewards on every order
  • Push notifications for promotions

Your Own Delivery vs. Using Platforms for Logistics

A common misconception is that building your own app means handling your own delivery. These are separate decisions:

Own the ordering, outsource the delivery: You can use delivery logistics companies (many markets have third-party delivery-as-a-service options) without using their marketplace. You get full ordering control and pay only for delivery logistics, not a percentage of order value.

Own the ordering, offer pickup: If your area has pickup-friendly customers, a well-designed app makes pickup ordering extremely convenient and carries no delivery cost at all. Many customers prefer pickup over delivery if the experience is seamless.

Own everything: Some restaurants with high delivery volume and specific delivery zones build their own driver networks. This is a larger operational investment but maximizes margin and control.

The Customer Acquisition Strategy

Transitioning customers from third-party platforms to your own app requires a deliberate strategy:

  1. Include a physical card in every delivery bag: "Reorder directly from our app and earn loyalty rewards. First app order: free dessert." The card has a QR code that goes directly to your app's download page.
  2. Use the third-party platform's messaging if available: Some platforms allow a post-order message to customers. Use it to announce your app.
  3. Social media campaign: "Order directly from our app — support the restaurant and save on service fees."
  4. Launch promotion: "First order through our app: free drink or free delivery."
  5. Push notifications to existing app users: Once customers have your app, use push notifications to drive them to order through the app rather than third-party platforms for their next order.

The Transition Timeline

Restaurants that actively promote their own apps typically see this trajectory:

  • Month 1-2: 5-10% of delivery orders through own app
  • Month 3-6: 20-30% as loyal customers shift and word spreads
  • Month 12+: 40-60% for restaurants with active loyalty programs and push notification campaigns

At 40-50% of delivery orders through your own channel, the commission savings are transformational for restaurant profitability. This isn't a theoretical improvement — it's recoverable, real margin.

Start your free trial at 2CreateApps. Build your restaurant ordering app this week. The commissions you stop paying next month will fund every other investment you want to make.

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