Benefits of both In-house Delivery & Third-Party Delivery Services

Revel Blog | Revel | November 18, 2022 |

Delivery service was once reserved for foods like pizza and Chinese take-out. It later evolved to the ability to order from your city’s most prestigious eating establishments. Fast forward into a new decade and post-pandemic, and the ability to order food right to your doorstep has taken the food delivery game to another level. 

Inevitably, the ability to order what you want, when you want, where you want and how you want it will continue to evolve. Consumer choice and the convenience you bring is predominant in the delivery restaurant  industry. 

The online food delivery services market will surpass $97 billion by 2032 and a platform-to-consumer interface will comprise 55% of total delivery demand. Platform-to-consumer delivery services like DoorDash are powerhouses in this market and only continue to grow.

The question of “should I offer delivery services?” is no longer a question in today's world. Food delivery has proven to be something consumers desire, but a bigger question is whether restaurants should go with an in-house delivery service or a third-party delivery service with delivery apps. Let’s dive into the pros for both and why a hybrid model could prove to be the best option for your business. 

3 Benefits of In-House Delivery 

1. Increase and retain all profits

By offering food delivery you’ll likely see an increase in both business volume and revenue because, with delivery, you expand your customer reach beyond the walls of your physical restaurant. 

As you explore food delivery options, make sure you are prepared to handle the additional order volume. This means increasing staff, including drivers, and identifying a way to track orders and delivery times so your meals arrive fresh and hot to your customers. Implementing an in-house delivery system that’s fully integrated with your point of sale (POS) will optimize your door-to-door operations and help you track and manage all orders in real-time. 

Of course, if you don’t want to utilize in-house delivery staff for drivers, you can outsource them while still continuing to control the delivery experience. For example, Revel’s solution—Driver XT—offers  full-service delivery without maintaining an in-house driver fleet. Driver XT is the perfect food delivery software for merchants that want a new revenue stream and don't currently have an in-house delivery system. It allows you to retain all the order profits and full control of the consumer experience for delivery orders.

2. Control the consumer experience

With an in-house delivery system, you are able to control the delivery  experience from start to finish. From order placement to delivery, track the order in real-time every step of the way. On the backend, you can assign orders, estimate delivery times, and view driver progress on the road as they fulfill each online food delivery. This ensures you can keep an eye on every aspect of your delivery operations and make sure the customer is getting the best consumer experience possible. 

3. Leverage data to improve operations 

With an in-house delivery service, you are able to collect data to drive more efficient deliveries with each order. Data can be aggregated into one central console, so it is easy for you to analyze items like estimated delivery times, driver routes, see live tracking on a virtual map, calculate delivery costs and more. Having these key insights can help improve your overall operations and help you continue to fine-tune your restaurant delivery services in the future.

3 Benefits of Third-Party Delivery Services

1. Gain exposure

Your restaurant will be exposed to an entirely new customer base when you start delivering through third-party delivery apps. You’ll likely see an increase in traffic from third-party sites, like DoorDash. In fact, DoorDash has over 20 million active users

With DoorDash Marketplace, merchants like yourself have even greater market reach for both new and repeat patrons alike. DoorDash Marketplace has 57% market share in the US and operates in three international markets: Australia, Canada, and Japan. Integrating with a third-party delivery service exposes your business to people you may have connected with previously. It is great for fast food delivery and local food delivery services. 

2. Gain more customers

DoorDash Marketplace is a powerhouse in the food delivery space. According to a survey of 736 U.S. DoorDash merchants from May 26 to June 2, 2022, 52 percent of respondents said customer growth would have been lower without the online food delivery service. DoorDash Marketplace is a great marketing tool to gain recognition and convert new customers. 

3. Outsource delivery drivers

Third-party delivery services relieve you of the extra work of having to maintain your own fleet of drivers. These services make it very easy for the customer to order food online and track when their order is on the way and delivered. The intuitive user experience entices users to keep using these delivery apps, and they only continue to grow in popularity. 

Hybrid Food Delivery Model

Hybrid food delivery models are when a restaurant uses both in-house delivery and third-party delivery services. You saw above all the pros to having both types of delivery service. With both models, you get to control the user and brand experience from start to finish with an in-house delivery model, but also get to take advantage of the exposure that comes with powerhouse third-party delivery services, like DoorDash or Grubhub.

Choose Revel Systems® for All Your Food Delivery Service Needs

Control your own destiny and choose the right delivery service software for your business. Whether you want to go with one option or all, Revel provides the flexibility and resources you need to be successful in your delivery restaurant journey. Get a free demo!