The real cost of food delivery services

Welcome to the community, @Roscoe63.

If you can offer some more feedback it might help us to understand more fully. How often does that happen? Once a week, or more often?

Is it possible to indicate which service providers have behaved as described? Best not to mention the cafe.

It would seem a very unfair and unreasonable contract condition. The cafe looses out twice. Once for the loss of the sale along side the wastage. A second time by reputation and not being able to deliver. Who advises the customer and what impression is the customer left with as to who failed? The delivery service or the cafe?

Perhaps it’s not adequately covered in the terms of service? The ACCC has the ability to investigate such T&Cs. They may be found to be unfair contract terms, or the conduct unconscionable. If indeed that’s how it is?

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Not a win for the poor delivery people

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Why? The restaurants will need delivery people to deliver the increased orders.

So you suggest going back to previous business models where all restaurants have to employ delivery staff rather than use third parties? Eg like Dominoes?

It’s often more efficient for many restaurants to contract out as they don’t know how many take out orders they will have as well as the number of staff they need and their “ on costs”. I cannot see how the costs would be less or the benefits for the delivery people.

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One significant concern is whether the business models of the well known platforms are good for their delivery providers and good for the cafe/restaurant or food provider.

A perception right or wrong is that the platforms are virtual entities beyond regulation and corporate law. Like Facebook the platforms get to make up the rules to suit themselves. Both social media and the Gig economy platforms are the subject of ongoing criticism, including calls for better regulation.

Uber in all of it’s forms exploits independent contractors by removing itself from responsibility for the costs of labour. Australian regulation does not extend to independent contractors or self employed in small family businesses to require a minimum equivalent hourly pay rate. Fair Work Australia has made several determinations to clarify in the instance of services booked through Uber.

It’s unlikely to change what has been the way of business for centuries.

Although in this instance,
https://www.businessinsider.com.au/uber-drivers-legal-challenge

On March 17, Uber announced all of its British drivers would be reclassified as workers, as opposed to contractors, guaranteeing them the minimum wage, as well as paid holiday leave, the pension and other conditions.

The cost of a home delivered meal could become a lot more than many might be prepared to pay.

Whether the recent UK ruling assists, we will need to wait a while.

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Absolutely. So I’ve taken to ordering from restaurants which do their own delivery.

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Until very recently I ran a successful accommodation business.

Every night that I added to AirBNB, Stayz and Booking.com’s websites, I inflated by 14%, as that’s the (outrageous) commission that they charged me to list on their sites.

If you want a reasonable price, sure, use those websites to check what’s out there, but then search further to contact the venue directly and you’ll be rewarded for your time. Better still, all your money stayz (couldn’t resist the pun) in Australia :slight_smile:

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Our experiences are varied. There is nothing to loose as a potential customer in making that call. However the business may risk the agreements they have in place with Uber or AirBNB etc.

A Different Topic:

Many businesses are in limbo or worse, although others including real estate and Harvey Norman have owners or investors crying tears of joy for the profits being made.

It was the Federal Govt and the PM who shut down Australia’s international borders. They are still shut.

Health Orders are Health Orders. The nation has them. Every State and Territory has them.

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AirBNB is so overwhelmed with business, and the customer service is so poor, I promise you, they have no time to check whether I’m inflating the prices that I charge through them.

Our business had no international customers, just weekenders, mostly from Melbourne with the occasional one from Adelaide or country Victoria. So it was 100% the Victorian lockdowns that destroyed 9 years’ work.