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May 2020

May 2020 issue of Foodservice and Hospitality magazine.

May 2020 issue of Foodservice and Hospitality magazine.

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Coming<br />

Together<br />

Chefs, culinary<br />

leaders and personalities<br />

from<br />

across Canada<br />

joined forces to<br />

launch Takeout<br />

Day to support the<br />

restaurant industry<br />

by encouraging<br />

Canadians to order<br />

takeout/delivery on<br />

April 15 and every<br />

Wednesday<br />

following the<br />

launch. The<br />

campaign is<br />

promoted by<br />

#CanadaTakeOut<br />

and includes the<br />

canadatakeout.<br />

com website, which<br />

features a restaurant-finder<br />

map<br />

of participating<br />

establishments.<br />

Association, “in these challenging<br />

times, all services who are working<br />

with hospitality operations should<br />

be accommodating in reducing their<br />

prices. Delivery providers whose total<br />

success rests on the existence of restaurants<br />

must reduce their high commissions<br />

as the industry is hurting.<br />

When this crisis is over the industry<br />

will remember those who were<br />

flexible and compassionate.”<br />

Some aggregators, such as<br />

DoorDash, have implemented<br />

various changes. For example, from<br />

March 17 through the end of April,<br />

it allowed independent restaurants<br />

in Canada to join the platform for<br />

free and pay zero commissions for 30<br />

days. And then in April, the company<br />

announced a 50-per-cent reduction<br />

in commission fees for local restaurant<br />

partners. In March, it had eliminated<br />

commission fees on pickup<br />

orders for existing DoorDash partners<br />

and added “more than 100,000<br />

independent restaurant partners”<br />

across its network to its $0-delivery<br />

subscription program DashPass.<br />

These programs are currently set to<br />

continue through the end of <strong>May</strong>.<br />

DoorDash also launched a ‘Local-<br />

Restaurant-Saturdays’ promotion,<br />

which offers no delivery fee on orders<br />

over $15 from local restaurants.<br />

Additionally, the company committed<br />

up to $20 million in merchantmarketing<br />

programs. This included<br />

the #OpenForDelivery multi-platform<br />

campaign that launched<br />

in the U.S. and Canada to<br />

let consumers know restaurants<br />

are open, delivery<br />

is safe and restaurants<br />

need patronage to weather<br />

COVID-19. The campaign<br />

also included the launch<br />

of the openfordelivery.<br />

com website.<br />

SkipTheDishes<br />

launched a 30-day support<br />

package (on March<br />

19) that includes an automatic<br />

15-per-cent rebate<br />

on commissions for all<br />

orders through the platform. It also<br />

introduced an option for customers<br />

to leave a tip for restaurants through<br />

their menus, with 100-per-cent of the<br />

tip going directly to the restaurant.<br />

SkipTheDishes has indicated it continues<br />

to work on immediate and longterm<br />

initiatives as COVID-19 evolves.<br />

For its part, foodora has not introduced<br />

sweeping measures to aid the<br />

restaurant industry. However, in a<br />

newsletter announcing an exclusive<br />

free-delivery deal with the platform,<br />

Toronto-based restaurant Salad King<br />

stated: “We will continue to work<br />

exclusively with [foodora] for delivery<br />

because we believe good businesses<br />

should support other good businesses.<br />

Unfortunately, they don’t have the<br />

deep pockets of the other companies<br />

and can’t offer free delivery for all,<br />

and we’re grateful that foodora is able<br />

to work with us to present this offer<br />

to our customers. Please continue to<br />

support your favourite restaurants<br />

and foodora — and not just the ones<br />

who can afford free delivery.”<br />

While it hasn’t announced broad<br />

free-delivery offerings, foodora already<br />

had a program in place where it partners<br />

with a selection of top restaurants<br />

in the cities it operates in — on a rotating,<br />

month-long basis — to offer free<br />

delivery. This program is still in place.<br />

foodora’s parent company, Berlinbased<br />

Delivery Hero, has stated it’s<br />

“implementing measures according<br />

to local need, including more<br />

Suds<br />

Delivery<br />

for<br />

Many provinces have made<br />

regulatory changes amid<br />

the COVID-19 crisis to allow<br />

alcohol to be delivered with<br />

restaurant takeout and delivery<br />

orders. The provinces<br />

allowing alcohol delivery<br />

include Alberta, B.C. Ontario,<br />

Manitoba, Nova Scotia and<br />

Saskatchewan. Manitoba had<br />

already introduced legislation<br />

to allow the inclusion<br />

of liquor with takeout and<br />

delivery meals in December<br />

2019, however the bill never<br />

received a second or third<br />

reading. After being pressured<br />

by restaurants to allow<br />

them to deliver alcohol,<br />

the province put temporary<br />

measures in place, in early<br />

April, to allow alcohol with<br />

meal orders.<br />

frequent payment. For new restaurants<br />

joining our platform, we aim to<br />

onboard as fast as possible in order<br />

to support them in maintaining<br />

order levels as well as provide more<br />

choice for our customers.” But there<br />

is no indication of how or if this will<br />

impact foodora Canada.<br />

A report from Toronto-based<br />

business-law firm, Osler, recommends<br />

franchisors/operators<br />

“research which services offer the<br />

best value and consider negotiating a<br />

commission waiver if none is<br />

being offered.” FH<br />

ISTOCK.COM/ ROCKDRIGO68 [UBER EATS] ISTOCK.COM/ MYSTERYSHOT [FOODORA]<br />

28 FOODSERVICE AND HOSPITALITY MAY <strong>2020</strong> FOODSERVICEANDHOSPITALITY.COM

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