DOORDASH SAYS DELIVERY FEE CAPS ARE HURTING ORDER VOLUMES

DoorDash said Wednesday that limits on the fees it charges restaurants are hurting order volumes because it has forced the company to raise prices for consumers. In a blog post, the delivery provider reported that order volumes in March fell 7% in Philadelphia, 4% in St. Louis and 4% in Westchester County, N.Y., as a result of …

DoorDash pushes back against fee delivery commissions with new charges

OAKLAND, Calif.—For nearly a decade, Grand Lake Kitchen, across from picturesque Lake Merritt, where locals head for leisurely walks, had become a popular breakfast and brunch destination. So many visitors ordered the $14 avocado toast and the $11 vegetarian sandwich called the Kamala Llama — a nod to Oakland’s favorite daughter — that in 2018 it …

92% Of NYC Restaurants Unable To Pay Rent In December, Study Finds

Another week, another restaurant doomsday story. According to the latest NYC Hospitality Alliance survey, it’s becoming increasingly difficult for restaurants across the metro area to pay their rent in full and on time. The return of indoor dining couldn’t come soon enough as struggling eateries cling on for dear life.  The survey found 92% of more than 400 respondents …

DoorDash Is Hiking Customer Fees to Pay for a Law It Helped Write

In the months since a coalition of app-based gig companies successfully passed Prop 22 in California, exempting themselves from reclassifying their workers as employees, DoorDash has been silently passing costs onto consumers. The company-funded Yes on Prop 22 campaign claimed that not passing the ballot initiative would result in higher prices for consumers, and in early December, …

Grubhub gig workers react angrily to change in tipping policy

California-based workers for food delivery app Grubhub have reacted angrily to changes to the platform which they say discourage tipping, saying they would wipe out the supposed benefits of new gig worker rules in the state. Last month, California passed Proposition 22, which though falling far short of the benefits received by full-time employees, gave …

Oregon caps delivery app fees charged to restaurants

MILWAUKIE, Ore. — Gov. Kate Brown signed a bill on Wednesday that limits fees charged to Oregon restaurants by third-party apps like Uber Eats, GrubHub, PostMates and DoorDash.   Senate Bill 1801 passed the state legislature on Monday, a win for restaurant owners across the state.  Sean Sexton, co-owner of Ovation Bistro in Milwaukie, said fees …

DOORDASH TESTS NEW WAYS TO OFFSET COMMISSION CAPS

As governments across the country clamp down on third-party delivery services by limiting what they can charge restaurants, the largest of those companies is testing ways to offset the impact of the caps. In the past month, DoorDash introduced extra fees for consumers in Denver and Chicago. It also announced—and quickly abandoned—a plan to raise fees …

Greg Bensinger column: Apps are killing the restaurant industry

The sudden onset of the pandemic in March sent the restaurant industry into a death spiral. Working in a notoriously low-margin business, many couldn’t withstand weeks of limited or no indoor dining. As a result, about 1 in 6 restaurants nationwide has closed permanently, and as of September nearly 3 million restaurant workers had lost …

Colorado county governments will soon be able to limit 3rd-party delivery fees to restaurants

Counties and cities throughout Colorado soon can limit fees charged by third-party delivery companies to restaurants, following passage of a bill Wednesday that drew far more opposition than arose when Denver became the first city in the state to pass such a restriction in October. House Bill 1005 gives authority to local governments to limit the companies’ …

Colorado lawmakers pass bill to let counties cap food delivery fees

DENVER — A bill that allows local governments to place caps on food delivery services like DoorDash and GrubHub passed in a special session of the Colorado state legislature. The bill comes as restaurants in areas across the state have had to close down their indoor dining as case numbers from the novel coronavirus continue …