Delivery Margin Optimization

Are Uber Eats And Doordash Worth It For Restaurants

Third-party apps promise more orders but often deliver thinner margins. Use real math to decide if the volume justifies the fees, and optimize your menu for delivery profitability in 2026.

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The short version

For most restaurants, Uber Eats and DoorDash are worth it if you adjust pricing and menu mix to offset 15–30% commissions. But without optimization, they can turn profitable items into losers.

Delivery math is tricky. Factor in commissions, packaging, and hidden costs to see your true margin.

The real math: delivery order breakdown

Don't just look at top-line sales. Break it down with current 2026 fees:

  • Commissions: 15–30% of order subtotal (average 25% for basics).
  • Packaging: $0.50–$2.00 per order (tamper-proof bags, boxes).
  • Food cost: Same as in-house, but add 5–10% for portion variance and waste.
  • Promo fees: 5–10% extra if you run deals through the app.

Total added cost per $20 order: $5–$8. That leaves $12–$15 before your prime costs.

Example: $20 order - 25% commission ($5) - $1 packaging = $14 left. Subtract $6 food cost = $8 gross margin (40%).

Factors that make delivery apps worth it in 2026

Volume can offset fees, but only if you control these:

1. Order volume and frequency

  • Low volume (<20 orders/day): Not worth it—fees eat all profit.
  • Medium (20–50/day): Break even with pricing tweaks.
  • High (>50/day): Profitable if margins hold.

2. Menu optimization

  • High-margin items: Push desserts, drinks (easy to package, low cost).
  • Delivery-only menu: Slim it down to travel-well items.
  • Pricing uplift: Add 10–20% to app menus to cover fees.

3. Operational impact

  • Kitchen flow: Delivery rushes can slow dine-in service.
  • Staffing: Add labor for packing/handling ($2–$3/order).
  • Error rates: Wrong orders cost refunds + remakes.

4. Hidden upsides

  • Marketing reach: Apps expose you to new customers.
  • Data insights: Use app analytics for menu tweaks.
  • Off-peak boost: Fill slow hours without extra staff.

Quick delivery app audit

Check if apps are helping or hurting in under 10 minutes:

Step 1: Calculate true delivery margin

  • Pull last month's app sales and fees.
  • Subtract commissions, packaging, promos.
  • Divide by orders for per-order profit.

Step 2: Compare to in-house

  • Delivery margin vs dine-in/takeout.
  • If under 20%, optimize or pause.

Step 3: Test changes

  • Raise app prices 10% on low-margin items.
  • Track sales drop vs margin gain.

How to make Uber Eats/DoorDash profitable without losing orders

Fees aren't going away, but you can fight back:

  • Selective menu. Hide low-margin items from apps—keep them for in-house only.
  • Packaging hacks. Bulk buy seals/bags to cut costs 30–50%.
  • Own your delivery. Promote in-house pickup for full margin.
  • Negotiate fees. High-volume spots can push for 15–20% rates.

Use our Delivery Margin Calculator from the calculators page to run scenarios.

Where the RPS tools plug in

Apps change fast. Our stack keeps your margins honest:

  • Delivery Margin Calculator: Plug in fees and costs for per-item profitability.
  • Menu Costing System: Auto-adjust prices as commissions or ingredients change.
  • Contribution Margin Tracker: See which app items actually contribute after fees.
  • Live Menu Engine service: We integrate app menus with real-time costing.

If you’re comparing DIY spreadsheets and delivery optimization to the big all-in-one restaurant platforms, our Us vs Them page breaks down why Restaurant Profit Systems is different.

For beginners, start with our fillable templates like the Restaurant Waste Log Template. Ready for pro-level? Dive into the calculators in The Vault.

Simple next step for this week

Pull your last Uber/DoorDash statement. Run the margin math on your top 5 items. If under 25%, hike prices or cut them from apps.

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FAQs

Why do delivery orders hurt profit?

High commissions and packaging costs.

What is delivery margin?

Profit left after delivery fees and food cost.

How do I improve delivery profits?

Adjust delivery pricing and menu mix.