Let’s start with a question you’ve probably asked yourself: Why does a $20 meal from your restaurant only put $12 in your pocket when sold through an aggregator?
It’s not just about the money. It’s about who owns your customers, your brand, and your future. The choice between relying on food delivery giants or building your own direct sales channel isn’t just tactical-it’s existential.
The Aggregator Trap: Fast Customers, Slow Death
Aggregators are like that friend who introduces you to everyone at the party-but charges you $8 for every conversation. Let’s break down the deal:
Pros:
- Instant Crowds: They bring the eyeballs. Most diners check aggregators first when hungry.
- Zero Tech Headaches: No need to build an app-just upload your menu and watch orders roll in.
- Delivery Done For You: Their drivers, their logistics, their problem (until the food arrives cold).
Cons:
- The 30% Tax: Every order costs you 20-40% in commissions. That’s your profit margin walking out the door.
- Strangers Eating at Your Table: You’ll never know who’s ordering. Most aggregator customers can’t name the restaurant they ordered from last week.
- Brand? What Brand?: Your beautiful dishes arrive in generic boxes with the aggregator’s logo front and center.
Going Direct: The Slow Burn That Pays Off
Building your own channel is like planting an orchard-it takes time, but eventually you own all the fruit. Here’s what happens when you cut out the middleman:
Pros:
- Keep the Whole Pie: That 30% commission stays in your pocket. For a $500k/year business, that’s $150k reclaimed.
- Know Your People: Get emails, phone numbers, order history-the goldmine aggregators hoard.
- Control the Experience: Custom packaging, handwritten notes, loyalty programs-the little things that turn one-time buyers into regulars.
Cons:
- Upfront Costs: Building a good website/app costs money. Delivery logistics? That’s another headache.
- The Visibility Game: You’re competing with aggregators’ billion-dollar marketing budgets.
- Staffing Complexities: Many customers won’t order direct without delivery tracking.
The 1% Shift That Changes Everything
Here’s the math most restaurants miss: Shifting just 1% of annual sales from aggregators to direct channels compounds like crazy.
Example:
- Year 1: 1% shift → 99% aggregator / 1% direct
- Year 2: Another 1% shift → 98% / 2%
- ...
- Year 7: 93% / 7%
Seems small? At $1M annual sales:
- Year 1: $10k direct → $3k saved in fees
- Year 7: $70k direct → $21k saved + customer data worth much more in lifetime value
Suddenly, you’re funding next year’s marketing with last year’s reclaimed fees.
Future-Proofing: The Hybrid Warrior’s Playbook
The winners will be those who play both sides:
- Use Aggregators as Billboards: Run limited-time “aggregator-only” dishes to drive discovery.
- Convert with Every Order: Slip direct ordering coupons into aggregator deliveries-“Next order: 15% off if you order direct.”
- Tech Stack Like a Pro: Use tools to build direct channels that rival aggregator UX.
- Own the Data: Track which aggregator customers convert to direct-then double down on those channels.
The Final Course
Aggregators are the methadone of the restaurant world-helpful for survival, dangerous for long-term health. The restaurants that thrive will be those who:
- Treat aggregators as customer acquisition channels, not revenue sources
- Systematically shift high-value customers to direct channels
- Invest reclaimed fees into building memorable brand experiences
Your choice isn’t between aggregators or direct sales. It’s between being a commodity supplier or building a lasting brand. The first pays bills today. The second builds a business that outlives you.